Maersk to Cut Global Workforce by 10-12%
Maersk Oil announced Monday that it will cut its global workforce by 10-12 percent, as a response to the continued low oil price.
The move, which is part of the company’s drive to reduce operating costs by 20 percent by the end of 2016, follows an extensive internal review of Maersk’s business activities. The cuts will see a reduction in the number of employee and contractor roles in a range of Maersk Oil business locations, including the company’s headquarters, and brings the total number of positions taken out of the organization during 2015 to approximately 1,250.
Maersk Oil CEO Jakob Thomasen commented in a company statement:
“These are difficult decisions for any business and my immediate concern is for the welfare of those affected directly by today’s news.
“We are operating in a materially changed oil price environment and have taken necessary decisions to reduce activity levels through 2015, and ensure we focus where we can see adequate returns from our most robust projects. This approach has seen us sanction mega-projects like Johan Sverdrup and Culzean during the year. We remain focused on longer term growth opportunities, which play to our technical strengths, and the continued safety of all our people and assets.
“We expect the pressure to continue into 2016 and we must remain cost-focused to grow in this market. I commend our people for the improvements in our operating performance whilst we have been managing down costs across the organization.”
Business units in Qatar and Norway will implement reductions in the range of 10-12 percent, with slightly lower levels expected in Danish operations, Kazakhstan and the company’s Copenhagen headquarters. In the UK, the business has already outlined plans to reduce headcount by around 220 positions and last month it was announced that 60 roles in Angola and the United States would be cut.
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
- Falcon Oil Declares Commercial Flow Test Results for Shenandoah Well
- Macquarie Strategists Expect Brent Oil Price to Grind Higher
- Japan Failing to Meet Corporate Demand for Clean Power: Amazon
- UK Oil Regulator Publishes New Emissions Reduction Plan
- Pennsylvania County Joins List of Local Govts Suing Big Oil over Climate
- PetroChina Posts Higher Annual Profit on Higher Production
- McDermott Settles Reficar Dispute
- US, SKorea Launch Task Force to Stop Illicit Refined Oil Flows into NKorea
- Russian Navy Enters Warship-Crowded Red Sea Amid Houthi Attacks
- USA Commercial Crude Oil Inventories Increase
- New China Climate Chief Says Fossil Fuels Must Keep a Role
- Oil Demand Outpaces Expectations, Testing Calculus on Peak Crude
- House Passes Protecting American Energy Production Act
- TotalEnergies Restarts Production in Denmark's Biggest Gas Field
- USA Oil and Gas Job Figures Jump
- Republican Lawmakers Say IEA Has Abandoned Energy Security Mission
- Blockchain Demands Attention in Oil and Gas
- Houthis Warn Saudi Arabia of Retaliation If It Backs USA Attacks
- Macquarie Sees USA Oil Production Exiting 2024 at 14MM Barrels Per Day
- Summer Pump Prices Set to Hit $4 a Gallon Just as Americans Hit the Road
- New China Climate Chief Says Fossil Fuels Must Keep a Role
- Chinese Mega Company Makes Major Oilfield Discovery
- VIDEO: Missile Attack Kills Crew Transiting Gulf of Aden
- Norway Regulator Blasts Proposal to Halt New Oil and Gas Permits
- Chinese Mega Company Makes Another Major Oilfield Discovery
- What Is the Biggest Risk to Offshore Oil and Gas Personnel in 2024?
- Vessel Sinks in Red Sea After Missile Strike
- Exxon Rights in Stabroek Do Not Apply to Hess Merger with Chevron: Hess
- Equinor Makes Discovery in North Sea
- Analysts Reveal Latest Oil Price Outlook Following OPEC+ Cut Extension