Chevron Nigeria Limited (CNL) says it will cut down its workforce in Nigeria by 25 percent across various levels.
CNL disclosed this in a statement titled ‘Chevron Nigeria Limited Reviews Workforce in Accordance with Business Exigencies’, on Friday.
The company said the decision was taken as a result of the prevailing business climate caused by the COVID-19 pandemic and low crude oil prices.
Esimaje Brikinn, CNL’s general manager policy, government and public affairs, in the statement, added that the 25 percent job cut was to reposition the oil firm for greater efficiency and competitiveness.
“CNL and its affiliates, confirms that it is reviewing its manpower requirements in the light of the changing business environment, while continuing to evaluate opportunities to improve capital efficiency and reduce operating costs,” Brikinn said.
“In this process, the company will be streamlining its workforce and improving service delivery and overall performance at all levels. This will increase efficiency and effectiveness, retain value, reduce cost, and generate more revenue for the federal government of Nigeria.
“It is important to note that all our employees will retain their employment until the reorganisation process is completed.”
Brikinn also dismissed speculations that the exercise was to outsource jobs done by Nigerians to foreigners, adding that CNL is working with its joint venture partners, the Nigerian National Petroleum Corporation (NNPC), and the Department of Petroleum Resources (DPR), on the process.
“We have prospects for our company in Nigeria; however, we must make the necessary adjustments in light of the prevailing business climate; and we need everyone’s support to get through these tough times stronger, more efficient and more profitable, in order to sustain the business,” he said.
“We are actively engaging our workforce to ensure they understand why this is being done. We will continue to consistently engage all relevant stakeholders, including the leadership of the employee unions as we continue this process of business optimisation.
“Making changes to the organisation is never easy for anyone that will be impacted, but it is necessary to improve our ability to remain competitive in Nigeria.”
However, according to NAN, CNL workers under the auspices of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), during a protest on Friday in Lagos, said 600 employees of the company risked losing their jobs.