BP to Cut 700 Jobs in Shake-Up Under New Chief Meg O'Neill
The energy giant is streamlining its upstream division to boost returns amid market pressures and a strategic pivot back towards fossil fuels.
BP is set to eliminate 700 jobs as part of a significant restructuring initiative led by its new chief executive, Meg O'Neill. The cuts will affect roles within the company's upstream division, which is responsible for the discovery and extraction of crude oil and gas. However, front-line positions such as technicians will not be impacted, according to an internal staff communication.
The stated objective of this shake-up is to streamline BP's operations and enhance financial returns. This move comes in response to indications of potential oversupply in the market and the prevailing lower oil and gas prices. O'Neill, who has been tasked with steering BP, is reportedly leading a strategic shift back towards fossil fuels, a departure from a previous, less successful renewable energy focus.
O'Neill has articulated that the restructure aims to forge a company described as “simpler, stronger, more valuable.” This organizational change follows a period of increased pressure on BP from activist investor Elliott Investment Management. The company has also seen recent leadership changes, including the departure of former chief executive Murray Auchincloss after less than two years in the role and the removal of chairman Albert Manifold after only eight months.