BP cuts hundreds of jobs, oil price slump & Deepwater Horizon spill blamed

image

A section of the BP Eastern Trough Area Project (ETAP) oil platform (Reuters / Andy Buchanan)

Oil giant British Petroleum (BP) plans to cut hundreds of jobs, many of them in the US and the UK, owing to the recent drop in oil prices and rising costs due to the Deepwater Horizon disaster in the Gulf of Mexico.

In a bid to remain cost-effective and profitable, the company has decided to axe middle managers and is considering freezing projects costs.

“The fall in oil prices has added to the importance of making the organization more efficient,” a BP spokesman told the BBC. “The right size for the smaller portfolio we now have.”

BP has 84,000 employees worldwide, 15,000 of whom are based in the UK and 20,000 in the US.

“What you’ll see with this simplification plan is that headcounts are starting to come down across all of our activities in upstream, downstream and in the corporate centers – essentially the layers above operations,” BP finance director Brian Gilvary told the Sunday Times.

Read more at RT News

Leave a Reply