BP, the British energy giant, has revealed plans to reduce its workforce by approximately 7,700 positions globally. This figure includes ...

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BP, the British energy giant, has revealed plans to reduce its workforce by approximately 7,700 positions globally.

This figure includes 4,700 staff jobs, representing over 5% of the company’s total workforce, and 3,000 contractor roles.

The job cuts are part of a broader cost-saving initiative aimed at streamlining operations and improving financial performance.

This move is aligned with BP’s previously announced goal to achieve $2 billion (£1.6 billion) in savings by the end of 2026. 

The company’s share price has experienced a decline of about 20% since last spring, which may have influenced this decision.

While BP has not specified the number of job losses per country, it has confirmed that the 6,000 employees working in UK petrol and service stations will not be affected. 

The company has stated that support will be available for those impacted by the cuts.

In addition to the job cuts, BP has reportedly paused or stopped 30 projects since June 2024. The company has also scaled back its involvement in various renewable energy initiatives.

BP’s CEO, Murray Auchincloss, communicated the decision to employees, noting that these reductions account for much of the anticipated reduction this year.

He said: “We began a multiyear programme to simplify and focus BP last year – strengthening our competitiveness and building in resilience as we lower our costs, drive performance improvement and play to our distinctive capabilities.

“We have got more we need to do through this year, next year and beyond, but we are making strong progress as we position BP to grow as a simpler, more focused, higher-value company.

“I understand and recognise the uncertainty this brings for everyone whose job may be at risk, and also the effect it can have on colleagues and teams.”

Scottish Conservative shadow secretary for energy and net zero, Douglas Lumsden MSP, said: “This devastating announcement from BP is a hammer blow to the North East and illustrates the economic damage which is being caused by both Labour and the SNP’s opposition to oil and gas.

“The consequences of Labour’s shortsighted sanctions of increasing the windfall tax, ending the investment allowance and opposing all new oil and gas licences are now being felt, resulting in the loss of thousands of jobs.

“Keir Starmer’s desire to kill off the industry will force us to import expensive fossil fuels from overseas with a far higher carbon footprint.

“BP’s decision is disastrous for Scotland and must act as a catalyst for both Labour and the SNP to show some common sense for a change by supporting the sector, instead of turning their backs on it.

“Only the Scottish Conservatives are standing up for the oil and gas industry and recognising its importance to our future energy security, jobs and Scotland’s economy.”

As BP navigates these changes, it maintains that it is uniquely positioned to enhance value through the energy transition. 

However, the company acknowledges the need to adapt to market conditions and customer demands in an evolving energy landscape.

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