Oil major BP is set to cut around 700 jobs as part of its ongoing effort to simplify its business, reduce costs and improve profitability, according to an internal company email seen by Reuters.
The planned reductions will affect about 8% of BP's 8,500 non-frontline roles, primarily within the company's production and operations business. The move is part of a broader restructuring strategy as BP shifts its focus back to its core oil and gas operations.
Which Employees Will Be Affected?
According to the internal email, the proposed changes mainly target non-frontline positions. These include office-based and support roles rather than operational staff working at production sites.
BP said it does not expect any material changes to frontline employees such as plant operators, technicians and maintenance workers.The email also stated that employees whose positions are affected may see their roles eliminated, significantly changed or moved to another part of the organisation.
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Why Is BP Cutting Jobs?
The latest workforce reduction comes as BP continues to reshape its business after scaling back its investments in renewable energy earlier this year.
The company has been focusing on reducing debt, improving returns for shareholders and increasing investment in its traditional oil and gas business. Management has also been simplifying operations to make the organisation more efficient and lower operating costs.
A BP spokesperson confirmed to Reuters that the company is proposing organisational changes that would reduce the number of roles but did not confirm the reported figure of around 700 job cuts.
"We are building a simpler, stronger, more valuable BP. As part of this process, we are proposing changes that would result in a reduction in roles," the spokesperson said.
Part Of A Wider Turnaround Strategy
The latest layoffs are part of BP's broader turnaround plan under CEO Murray Auchincloss, who has been reviewing the company's operations to improve financial performance. In recent months, BP has shifted its strategy by slowing parts of its energy transition plans and increasing its focus on higher-return oil and gas projects.
Like several global energy companies, BP is balancing shareholder demands for stronger returns while exploring changing energy markets and higher investment requirements.
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