Home » Business » Shell is slashing its workforce months after cutting its dividend. Here's everything we know about the oil giant's dramatic overhaul — including which roles might be at risk.
Shell is slashing its workforce months after cutting its dividend. Here's everything we know about the oil giant's dramatic overhaul — including which roles might be at risk.
Shell on Wednesday said it expects to cut up to 9,000 jobs, more than 10% of its workforce.
The cuts are part of a broader reorganization known as Project Reshape that seeks to transform the European major into an energy business that produces fewer greenhouse-gas emissions.
Shell will dramatically reduce the number of refineries it operates while focusing on lower-carbon energy sources like biofuel, hydrogen, and wind power. The company will still produce some oil in 2050.
Do you have information about Shell's job cuts? Reach out to this reporter at [email protected] or through Signal at 646-768-1657.
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European oil giant Royal Dutch Shell expects to cut up to 9,000 jobs, or more than 10% of its workforce, as it seeks to transform into a more sustainable energy producer, the company said Wednesday.
That transformation — known internally as Project Reshape, according to Reuters — will result in a number of other dramatic changes to Shell, the third-largest oil company in the West.
Shell plans to shrink the number of refineries it operates to fewer than 10, down from 55 a decade and a half ago. Based in The Hague, Netherlands, the company will also focus on producing more clean energy from sources like wind and solar while investing in biofuels and hydrogen gas.
In April, Shell committed to becoming a net-zero emissionscompany by 2050, meaning it will produce no more greenhouse gas emissions than it captures.
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"We will have some oil and gas in the mix of energy we sell by 2050, but it will be predominantly low-carbon electricity, low-carbon biofuels, it will be hydrogen and it will be all sorts of other solutions too," Ben van Beurden, Shell's CEO, said in an interview published on the firm's website Wednesday.
Project Reshape is also about cutting costs. The price of oil — a major determinant of profit for Shell — crashed this spring as the coronavirus sapped demand for oil-based fuels like gasoline.
Five months ago, Shell cut its dividend for the first time since World War II. Other major energy companies including BP and Equinor have also axed their dividends this year to cut costs.
Shell has a workforce of 86,000 and a market value of about $97 billion.
Do you have information about job cuts at Shell? Reach out to this reporter at [email protected] or through Signal at 646-768-1657.