News Contact Us

BP announces its plan to lay off 15% workforce due to COVID-19 crisis

Author : Saipriya Iyer | Published Date : 2020-06-09 

BP plc, a multinational oil and gas company, has recently announced its plan to lay off 15% of its workforce due to the ongoing coronavirus crisis. This announcement goes in line with the plan of Bernard Looney, the company’s Chief Executive to shift its focus from the oil & gas major to renewable energy.

The layoff plan of the London-based company will impact over 10,000 jobs from the current strength of 70,100 employees by the end of 2020. The employees who are likely to be affected by the recent plan are those with senior office-based positions, not the operational staff who are on the frontline.

The shares of the company increased by 3.3% against a 2.2% gain for the broader energy sector in Europe.

The office based in Britain, with a 15,000-employee strength, will reportedly face nearly one-fifth of the job cuts. Due to the unprecedented drop in the oil demand during the COVID-19 pandemic, several top energy companies, including BP, have reduced their spending plans for 2020. The company has flagged a reduction of 25% to $12 billion in 2020. It further intends to have $2.5 billion in cost savings via integration and digitalization of its businesses by 2020 end.

The oil & gas company is also reportedly not offering pay rises for senior employees until March 2021 & is unlikely to give any cash bonus in 2020. This will effectively contribute to Looney’s transition plan to transform BP into a faster-moving, low-carbon company, highly accelerated and amplified by the current pandemic.

In addition to BP, several other oil producers have also planned to reduce their global workforce. For instance, in May, Chevron has stated that it will reduce around 10% to 15% of its workforce globally, as a part of its ongoing restructuring plan. Additionally, Royal Dutch Shell has also initiated a program for voluntary redundancy.

Source credit:


About Author

Saipriya Iyer

Saipriya Iyer

Saipriya Iyer presently works as a content developer for fractovia.org. Having dabbled with the domain of content creation for nearly half a decade, she now boasts of an enviable portfolio, holding substantial experience in penning down pieces related to technology, finance, and a wide spectrum of other industry verticals. A qualified computer engineering graduate from the University of Pune, Saipriya can often be found leveraging her knowledge of software technology and electronics in her write-ups. She can be contacted at- [email protected] | https://twitter.com/saipriya_i

Related News

Ramping production of lithium-ion batteries to accelerate tert-amylbenzene demand in Asia Pacific

Published Date: 2021-01-05         Author: Saipriya Iyer

As an active pharmaceutical ingredient (API) used in various clinical products to being used as an electronic additive in the making of lithium-ion batteries, tert amylbenzene (TAB) has gained wide-spread recognition across diverse industries. The chemical substance acts as a crucial intermediate in... Read More

FMCG firms to explore oral care market amidst rising hygiene concerns

Published Date: 2021-01-04         Author: Saipriya Iyer

Fast-moving consumer goods businesses in India are reportedly expanding their range of oral care, joining new and niche categories including mouthwashes, ayurvedic mouth cleansers, and mouth sprays as customer issues around general hygiene persists. For the record, Dabur India and Colgate Palmoli... Read More

Microsoft to introduce ‘Google assistant’ alternative for Windows

Published Date: 2020-12-28         Author: Saipriya Iyer

Microsoft Corporation, an American multinational technology giant, is reportedly testing a new voice launcher feature which will enable users to interact with files and applications using voice commands. According to trusted sources, the feature is currently available to select group of users who... Read More

© 2021 Fractovia. All Rights Reserved