ConocoPhillips Announces Job Cuts At Southern North Sea

ConocoPhillips, like many other oil companies, is trying to save its business from the decline in the oil industry by downsizing. It is planning to cut 50 jobs at Southern North Sea.

It does not come as a shock that oil companies are considering desperate measures due to the low prices of their products worldwide. The oil market is suffering terribly because of the deep fall in oil and gas prices, and ConocoPhillips has to make difficult decision in order to cut costs and avoid or reduce the damage taken form the industry. The headcount is expected to reduce by almost 50 at Southern North Sea by the oil company.

ConocoPhillips is cutting only those jobs, which it considers no longer necessary for the business. A spokesman for the company confirmed this reports by saying, “We estimate there will be reduction of approximately 50 positions, split between ConocoPhillips and contractor personnel.” This has made the workers furious and disappointed.

Many employees at the North Sea are quitting their jobs regardless, because they are now losing hope and actually looking for ways to get out. This is not a good sign for the oil business because once the oil prices rise; the oil companies will find it very difficult to recruit employees again. Workers will be aware of what they are getting into and how they can easily lose these jobs.

It is not just about recruiting later, which should bother the oil and Gas Company, but the money that the business will have to invest yet again to train the new employees. This will lead to huge expenditures and economic meltdown for the company. ConocoPhillips is not the only business in the market that has taken the decision to reduce the headcounts; BP Plc. has announced to make 600 job cuts in Northern Sea facility in order to extra costs and expenditures. Similarly, Petrofac also announced of downsizing 160 employees.

The acknowledgement has to come to workers in many oil companies, which is causing them to turn away from working in such businesses anymore. Labor rights matter in the world today but mistreatment is still witnessed under the eyes of such agencies that are making efforts to protect the employees. Many workers are leaving regardless of the company’s decision to reduce headcount, which is also expected to be seen more in time.

ConocoPhillips has not lost all; it did make reports of its first shipment setting sail from Australia Pacific LNG. It has a share of 37.5% in this shipment while Australia Origin Energy owns the other 37.5%. This shipment helps the business of the company immensely while making it flexible. The ban for shipment of oil and gas to US was also uplifted, which is good news.

Conoco stock closed at $36.46, going red by 7.38% on January 19.