Energy giant BP plans to cut 7,700 jobs globally, including 4,700 from its workforce and 3,000 contractors.
The company, employing approximately 90,000 people worldwide, aims to streamline operations and save $2 billion (€1.9 billion) by 2026. CEO Murray Auchincloss announced in October plans for £500 million (€486 million) in cuts for 2025.
In a statement today, BP said: “Last year, we launched a multi-year programme to simplify and focus our operations. We’re enhancing competitiveness, building resilience, and leveraging our unique capabilities by cutting costs and improving performance.
“Today, we informed staff that around 4,700 BP roles and 3,000 contractor positions will be affected this year. These reductions form a key part of our transformation strategy. Throughout this process, our priority remains maintaining safe, reliable operations while supporting our teams.”
Maintaining Competitiveness in a Changing Landscape
In an email to employees, Auchincloss acknowledged the difficulty of the changes. “I understand the uncertainty this creates for those at risk and the impact on colleagues and teams,” he wrote.
He emphasized BP’s strengths, stating: “We have great people, exceptional businesses, and strong assets. However, this doesn’t guarantee success. To remain competitive, we must keep improving and adapt to the pace of our customers and society.”
Oil and gas companies face mounting pressure to invest in renewables such as wind and solar energy, driven by global net-zero targets.
BP previously committed to reducing oil and gas production by 40% by 2030. However, rising costs and disappointing returns forced a strategic review.
A Shift Back to Oil and Gas
The company has since adjusted its focus, prioritizing oil and gas investments over green energy projects.
BP’s pivot signals a return to its traditional strengths as it navigates the challenges of transitioning to a low-carbon future.
Auchincloss reiterated BP’s commitment to delivering value through energy transition strategies while ensuring operational excellence and resilience.
