Overview

• The reductions equal roughly 2,600 to 3,250 positions from a global workforce of about 13,000, including employees and contractors.
• Most job cuts are expected before year-end, with the new structure and management to be unveiled in mid-September and full implementation running through 2026.
• CEO Ryan Lance told employees in a video that rising costs have left the company behind peers, citing controllable costs up to $13 per barrel from $11 in 2021.
• Shares fell roughly 4% to 5% on the announcement, following second-quarter net income of about $2 billion, the weakest since early 2021.
• The overhaul, advised by Boston Consulting Group under the internal “Competitive Edge” program, tracks similar cost-driven cuts at Chevron, BP and SLB as oil prices soften.