TIGHTEN YOUR BELTS: ConocoPhillips warns employees to brace for lay offs and pay freeze
February 1, 2015ConocoPhillips told employees Friday to brace for lay offs and pay freezes as the company prepares for prolonged oil price weakness.
The company hasn’t disclosed how many jobs will be cut or when the lay offs will begin.
Houston-based ConocoPhillips said earlier this month that it will cut 230 jobs in the UK by March.
The head count reductions are part of a broader cost control plan that has already seen ConocoPhillips slash its 2015 capital budget to $11.5 billion, a 20 percent drop from 2014 levels.
The cost cuts will mainly come from onshore drilling and exploration deferrals in the continental United States.
“As with our capital program we will be deferring, delaying or eliminating controllable costs where we can…We’ve informed our workforce that reductions should be expected,” a ConocoPhillips spokesman told Fuel Fix.
ConocoPhillips missed analysts earning targets Thursday after reporting a $39 million loss for the fourth quarter of 2014, down from earnings $2.5 billion during the same period last year.