Offshore Job Slash Continues Globally

Published at 02:05PM - 21/09/16

Since the start of the week, various oil and gas companies have already announced significant offshore job cuts across the industry, affecting different parts of the globe.

The move follows the continued challenges hitting the oil and gas industry as well as the uncertainty surrounding the evolution of crude oil prices.

The list of companies reducing their taskforce includes Technip, Petronas, Boskalis, Farstad and Shell and their decisions should impact different continents.

Offshore Job Slash Continues Across the Industry

Royal Boskalis Westminster started the trend after announcing it is moving ahead with plans to take a series of vessels out of service and lay off hundreds of workers.

Over the next two years, the company will see 24 vessels taken out of service, which is expected to result in the loss of 650 jobs worldwide.

On Monday, Technip also announced it is set to cut 130 jobs in Aberdeen. The company is undergoing consultation on the redundacies, with proposals that reflect “significantly reduced activity levels being experienced” across the industry.

Offshore Oil Jobs Slashed Across the Industry
Shell is shedding jobs in Norway

In Malaysia, Petronas is also reportedly planning to cut down its workforce by several hundreds as it continues to struggle with low oil prices.

In March, the firm had already implemented a restructuring, which resulted in redundancies of around 1,000 jobs.

Norway Affected by Job Cuts

Further East, in Australia, Farstad Shipping also announced job cuts following the closure of its Melbourne office, shedding from 65 to 30 employees as it moves all its activities to Perth.

Back in Europe, Shell had already warned that its merger with the BG Group would lead to thousands of offshore job cuts across its global operations. The company will now implement a reduction of 145 positions.

As well as this, according to media reports, the supermajor confirmed it will also discontinue 110 contractor agreements, on top of those 145 positions.

However, Shell is not the only firm to take the leap in Norway. FMC Technologies and Aker Solutions are also reportedly shedding jobs in the North European country, laying off 200 and 100 offshore workers, respectively.