Finning is the latest oil sands company impacted by COVID-19 uncertainty and the ongoing oil price war.
Director of Global Communications Elisha McCallum said while it’s never easy, Finning is “facing the regrettable choice to implement workforce reductions” this week.
“We are handling these layoffs thoughtfully and with compassion, as it never easy to make this kind of decision.”
McCallum said the layoffs are due to market uncertainty and low oil prices.
On April 19, Alberta Premier Jason Kenney stated on Twitter that Western Canadian Select is trading at negative prices.
“Today, we have seen for the first time in history our energy prices trading at negative values. This is sadly something I predicted was quite possible a month ago, and it further underscores the devastating impact of recent events on the largest industry in this province [and] the largest subsector of the Canadian economy.”
Kenney said this would impact around 500,000 direct or indirect Canadian jobs tied to the energy industry.
Finning is one of those companies invested in that industry.
McCallum said Finning would not release the number of positions at risk in the layoffs.
She added its union partners are aware of the layoffs, which are in line with the collective agreement.
“Our goal above all else is to continue to ensure the health and safety of our employees and the community as we continue to deliver services as needed to our customers in the region.”
The price of West Texas Intermediate was also below zero but recovered to around eight dollars per barrel.
