Energy ser­vices firm Wood Group cuts jobs

The China Post - - WORLD BUSINESS -

UK energy ser­vices com­pany Wood Group said Tues­day it had cut its head­count by 13 per­cent since the end of last year amid an oil-price col­lapse.

The ac­tion, equiv­a­lent to an em­ployee re­duc­tion of about 5,000, mir­rors plans by sev­eral oil ser­vices groups and ex­plor­ers as crude prices have tum­bled by more than half in value over the past year.

“Group head­count is down 13 per­cent from the po­si­tion in De­cem­ber and 17 per­cent from June 2014,” Wood Group said in a state­ment.

“Con­di­tions in oil and gas mar­kets re­main very chal­leng­ing and we are wit­ness­ing a sus­tained pe­riod of low oil prices in 2015 fol­low­ing the in­crease in fo­cus by op­er­a­tors on ef­fi­ciency in 2014,” it added in an earn­ings state­ment.

Wood Group, heav­ily present in the North Sea and the Amer­i­cas, added that its net profit fell 17 per­cent to US$116.8 mil­lion in the six months to the end of June com­pared with the first half of 2014.

Rev­enue was down 19 per­cent at US$3.07 bil­lion over the same pe­riod.

Last month energy

ser­vices group Saipem — a sub­sidiary of Ital­ian oil gi­ant Eni — said it was ax­ing 8,800 po­si­tions over three years.

Royal Dutch Shell mean­while plans to re­duce its head­count by 6,500 this year and the UK’s big­gest do­mes­tic energy provider Cen­trica said it would re­duce its work­force by a net 4,000 po­si­tions.

Newspapers in English

Newspapers from Taiwan

© PressReader. All rights reserved.