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BP to cut over 6,000 office jobs as part of cost reductions
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The energy conglomerate has already cut thousands of jobs earlier this year as part of a broader ‘reset’ strategy.
Multinational energy giant BP will terminate 6,200 positions, or 15% of its office-based workforce, by the end of 2025 as part of its cost reduction strategy, Chief Financial Officer Kate Thomson said during the company’s second quarter earnings presentation on Tuesday.
The announcement marks a 32% increase of 4,700 layoffs the company announced earlier this year and is expected to significantly affect its offices in Houston, which is home to BP’s largest employee base.
Aside from full-time employees, BP said that it also expects to end work agreements with over 4,000 contractors by the end of the year. The company said it has also slashed 3,200 contract-based roles since January and would ‘continue to rigorously review the remaining contractor activity across our businesses and functions.’
Thomson said that the affected jobs are part of BP’s 40,000 corporate positions and that most of the layoffs will take place in the fourth quarter of this year.
The layoffs are seen as part of BP’s company-wide ‘reset’ strategy, which it first announced in January, aimed at cutting costs by $2 billion in 2026. It included laying off about 5% of its 100,000-strong global workforce and shifting its focus back to traditional oil and gas production - a notable pivot from its green energy ambitions.
The restructuring is also expected to impact BP’s convenience store segment, which includes more than 1,500 stores under the TravelCenters of America, ampm, and Thorntons brands. While the company confirmed the division has been affected by the reset, it did not disclose the extent of its impact.
Despite these challenges, BP claims that its reset strategy is already starting to pay off - the company said that it has reached $1.7 billion in structural cost reductions, including $400 million from corporate and overhead.
“Progress in our structural cost reduction program reflects the significant changes we have made to performance culture across the organisation to further embed discipline and accountability,” Thompson said.
The company also recently announced its discovery of new oil and gas deposits off the coast of Brazil, which officials described as the company’s biggest in at least a quarter of a century.
BP is not the only oil producer to trim its workforce this year. In February, Chevron announced that it will lay off 8,000 workers by the end of 2026 in a bid to streamline its operations and curb expenses. Malaysia’s state-owned Petronas also announced in June that it will reduce its total workforce by 10% as part of a restructuring program.
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