Apache Won't Resort to Layoffs at This Time



HOUSTON (Dow Jones Newswires), Feb. 5, 2009

Oil and gas producer Apache Corp. will hold on to its employees despite the fact that energy prices -- and profits -- have plummeted in recent months, a company executive said Wednesday.

"We have decided not to have layoffs at this time," said Mike Bahorich, the Houston company's executive vice president for exploration and production technology.

Bahorich told Dow Jones Newswires on the sidelines of the NAPE International Forum here that the company had also avoided layoffs in the last downturn, which occurred in the 1990s. That move enabled Apache to retain a "loyal" workforce when the sector recovered a few years later, he said.

For a long time the energy sector, which saw record profits last year, had trouble getting enough talent to staff a massive expansion. Now that the economic downturn and falling demand have taken a toll on oil and gas prices, some companies are shedding jobs. ConocoPhillips said it would lay off 4% of its workforce while slashing its capital spending budget. Oil service companies like Schlumberger and Baker Hughes have also announced cutbacks in staff.

Other companies seem to be holding the line, however. Chevron and Exxon Mobil have said that their spending plans would remain in line with what they spent last year.  

Copyright (c) 2009 Dow Jones & Company, Inc.


RELATED COMPANIES
Company: Apache Corp. more info
Operates 3 Offshore Rigs
 - Ancala Acquires Apache's Two North Sea Gas Pipeline Assets (Nov 20)
 - Apache Raises North America Output Forecast, Swings To Profit (May 04)
 - Oil Producer Apache Posts Smaller-Than-Expected Loss (Nov 03)
Company: Exxon Mobil Corporation more info
Operates 15 Offshore Rigs
 - ExxonMobil's Reserves Jump 19% On Growth In US Shale, UAE (Feb 09)
 - ExxonMobil Hits Baytown Ethane Cracker Milestone (Feb 07)
 - ExxonMobil Stock Rout Deepens as Profit Flub Meets S&P 500 Plunge (Feb 05)
Company: ConocoPhillips more info
Operates 13 Offshore Rigs
 - Shale Producers Urge FERC To Deny White Cliffs Oil Pipeline's Fee Request (Feb 23)
 - Why Canada Is The Next Frontier For Shale Oil (Jan 29)
 - Exxon, BP Targeted in NYC Suit That Relies on 'Nuisance' Theory (Jan 10)
Company: Baker Hughes more info
 - Baker Hughes: US Oil Rig Count Rises For Fifth Straight Week (Feb 23)
 - Baker Hughes: US Drillers Add Oil Rigs For Fourth Consecutive Week (Feb 16)
 - BHGE CEO: Oil, Gas Industry Outlook 'A Lot Brighter' in 2018 (Jan 29)
Company: Chevron Corporation more info
 - Chevron Restarts Drilling In Kurdistan Region Of Iraq (Feb 19)
 - Chevron Mulling Participation in Brazil's March Oil Auction (Feb 06)
 - Chevron Sells First Condensate Cargo From Australia's Wheatstone LNG (Feb 05)
Company: Schlumberger more info
 - Egypt Says Signs Seismic Survey Deal With Schlumberger (Feb 14)
 - Halliburton Takes Fracking Fight From Oil Field to Patent Office (Feb 06)
 - Schlumberger Profit Beats, Predicts Strong 2018 For Shale (Jan 19)