CALGARY – Oil and gas giant Suncor Energy Ltd. said it will eliminate as many as 1,930 jobs over the next 18 months as a result of cost-cutting to deal with low oil prices and market volatility.
Spokeswoman Sneh Seetal said CEO Mark Little told employees on a conference call Friday morning the company will aim to reduce total staff by 10 to 15 per cent over the next 18 months, starting with a five per cent cut over the next six months.
A spokesperson for Suncor Energy $SU.T confirmed that the company will reduce its workforce by about 10-15% over the next 12 to 18 months. A 5% reduction is expected in the next 6 months. https://t.co/o1OkQPCdzq
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The Calgary-based company had 12,889 staff at the end of 2019.
Five per cent would equate to 644 positions and 15 per cent would equal 1,933.
Seetal said the cuts will be made across the entire organization and will also affect Suncor’s ranks of contracted workers, although she was unable to give those numbers.
In March, Suncor put projects on hold and cut its 2020 capital budget by $1.5 billion to a range between $3.9 billion and $4.5 billion to deal with lower oil prices from a glut of oil in the market and the impact of the COVID-19 pandemic.
At the time, a spokeswoman said the cutbacks would result in fewer jobs for contract workers and could “potentially” hit employees as well.