Lipow Oil Associates President Andy Lipow discusses OPEC+ cutting nearly 10 million barrels of oil per day through July and demand amid coronavirus recovery.
LONDON (AP) — Energy company BP said Monday that its global workforce will be trimmed by 10,000 jobs as the COVID-19 pandemic slams the oil and gas industry.
Continue Reading Below
Chief Executive Bernard Looney said that the roles will be office-based and come mostly this year. The company’s current global workforce is 70,000.
The changes are expected to significantly impact senior levels, cutting the number of group leaders by a third. The company said it will make the senior structure flatter.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| BP | BP PLC | 27.71 | +2.02 | +7.86% |
The job cuts come amid a time of tremendous change for BP. The energy producer has said it wants to eliminate or offset all carbon emissions from its operations and the oil and gas it sells to customers by 2050, an ambitious target born out of pressure to help combat climate change and keep making money.
OIL PRICES MOTOR TO LEVELS NOT SEEN IN MONTHS AS OPEC+ EXTENDS HISTORIC CUTS
The global energy industry has meanwhile been hit hard by the pandemic as the widespread limits on business, travel and public life reduced the need for oil, gas and other fuels. Supply was also particularly high when the outbreak began, creating a perfect storm for the industry. With storage facilities filling up, the U.S. price of oil went below zero in April for the first time ever.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
The U.S. contract for oil began the year at over $60 a barrel, collapsed to below -$37 in April and recovered to about $39 a barrel as of Monday.
