BP to cut 3,000 more jobs after profits crumble

Oil giant BP has announced it will cut up to 3,000 new jobs after it reported a fall in profits. It revealed annual profits fell by 51% to $5.9 billion […]

By Priyanka Shrestha

Oil giant BP has announced it will cut up to 3,000 new jobs after it reported a fall in profits.

It revealed annual profits fell by 51% to $5.9 billion (£4.1bn) last year compared to $21.1 billion (£14.7bn) in 2014.

Its fourth-quarter profits also plummeted to $196 million (£136m) from $2.2 billion (£1.5bn) during the same period the previous year.

Last year BP announced it would cut 4,000 jobs in 2016 in its upstream division, which covers exploration and production, as part of a $2.5 billion (£1.7bn) restructuring programme.

The additional 3,000 jobs will be reduced from its downstream division, which includes refined oil products such as fuel and petrochemicals, by the end of 2017.

Overall production of oil and gas in the fourth quarter averaged 3.4 million barrels a day.

Group CEO Bob Dudley said: “We are continuing to move rapidly to adapt and rebalance BP for the changing environment. We’re making good progress in managing and lowering our costs and capital spending while maintaining safe and reliable operations and continuing disciplined investment into the future of our portfolio.

“Our plans set out a clear course for BP for the medium term and will allow us to deliver growth in the longer term. All of this underpins our commitment to sustaining our dividend and then growing free cash flow and shareholder distributions over the long term.”

Latest Podcast