BP Plans Job Cuts for U.S. Operations

BP said it has made plans to cut approximately 1,000 jobs from its non-Alaskan U.S. operations. Upstream operations in Houston will scaled back by 350 jobs and there will also be a reduction of 80 - 160 jobs from a total of 1,600 workers at various oil and gas fields on and offshore. About 70 of the field job cuts will come from operations in the Gulf of Mexico. Last week BP sold 61 shallow water fields to Apache Corp.

On the downstream side approximately 400- 500 retail and marketing jobs are also being eliminated. This is of a total of around 20,000 positions and is the result of continued rationalization following the Amoco merger in 1998 and the acquisition of Arco in 2000. Some of the cuts have come from the company consolidating its retail and marketing operations by eliminating Atlanta from a trio of national offices that include Chicago and Los Angeles.

No more cuts are planned for Alaskan operations as the company had already reduced its salaried staff by 20% in the Anchorage office last year.