BP to axe thousands of job in cost cutting drive
BP is to cut thousands of jobs across its global workforce as it looks to cut costs and turnaround its share price.
The FTSE 100 oil giant told staff on Thursday its plans would impact around 4,700 roles, around five per cent of its global workforce of 90,000, 14,000 of which are based in the UK.
BP also said it would reduce contractor numbers by 3000.
It comes amid mounting pressure on boss Murray Auchincloss, with shares losing ground on rivals ExxonMobil, Chevron and Shell since his appointment last year.
“Last year we began a multi-year programme to simplify and focus BP. We are strengthening our competitiveness and building in resilience as we lower our costs, drive performance improvement and play to our distinctive capabilities,” the company said in a statement.
“As our transformation continues our priority will – of course – be safe and reliable operations and continuing to support our teams.”
Investors have been concerned over the BP’s vague strategy, high debt and a string of underwhelming results.
The energy major on Tuesday warned its fourth-quarter results would be hit by weaker oil and gas production, refining margins and trading.
Formerly CFO, Auchincloss replaced Bernard Looney last January after the latter was embroiled in a scandal over his relationships with colleagues.
Auchincloss has previously outlined his intention for the company to deliver at least $2bn (£1.6bn) in cash savings by the end of 2026.