BP is reducing its workforce by over 5%, with approximately 4,700 staff members set to be let go this year. The company aims to cut another 3,000 contractor positions as part of its cost-cutting efforts. CEO’s goal is to save at least $2 billion in costs by 2026.
BP’s cost reduction strategy is part of a broader effort to navigate the energy industry’s challenges and shifts towards renewable energy. The move comes after the company faced significant turmoil during the COVID-19 pandemic and Russia’s invasion of Ukraine, which impacted its operations and profitability.
As BP focuses on reducing costs, it aims to increase its competitiveness in the low-carbon energy sector, where the company is investing heavily. The cost-saving measures are expected to have a positive impact on the company’s bottom line, allowing it to better navigate the challenges ahead.
Source: https://www.reuters.com/business/energy/bp-cut-over-5-workforce-ceo-cost-cut-drive-2025-01-16