SLB Announces New Business Structure and Job Cuts: A Detailed Look
In a recent announcement, Schlumberger Limited (SLB), the world’s largest oilfield services company, disclosed plans for a new business structure and further job cuts. The company aims to save costs as it braces for slower industry growth. In this article, we’ll delve into the details of SLB’s announcement and discuss potential implications.
SLB’s New Business Structure
SLB intends to create three business segments: New Energy, Oilfield Services, and Technology. The New Energy segment will focus on renewable energy and carbon services. Oilfield Services will continue to provide traditional oil and gas services. Technology will encompass digital and automation technologies. This restructuring is expected to improve operational efficiency and better position SLB for the energy transition.
Job Cuts and Cost-Saving Measures
SLB plans to reduce its workforce by around 11,000 employees, or about 11% of its global workforce. This decision comes after the company announced 9,000 job cuts in 2020. The majority of the cuts will reportedly occur in its oilfield services division. SLB aims to save $1.5 billion annually through these cost-saving measures.
Implications for You
If you work in the oil and gas industry, particularly in the oilfield services sector, this news may be concerning. The job market could become more competitive as companies like SLB reduce their workforces. However, the transition to renewable energy and digital technologies may also present opportunities for those with the necessary skills. Consider upskilling or re-skilling to stay competitive.
Implications for the World
SLB’s announcement is a clear indication of the ongoing challenges facing the oil and gas industry. With more companies focusing on cost-cutting measures and restructuring, it’s likely that the industry will continue to face job losses and operational changes. However, the transition to renewable energy and digital technologies also presents opportunities for economic growth and job creation. Governments and organizations must work together to ensure a smooth transition for workers and support the development of new industries.
Conclusion
SLB’s announcement of a new business structure and job cuts is a significant development in the oil and gas industry. The company’s plans to focus on renewable energy and digital technologies reflect the ongoing shift towards a more sustainable energy future. However, the job losses and cost-saving measures will have immediate impacts on workers and the industry as a whole. It’s essential that governments and organizations provide support and opportunities for workers during this transition. As individuals, we can also play a role by upskilling and staying informed about the latest industry trends.
- SLB announces new business structure focusing on renewable energy, oilfield services, and technology.
- Company plans to reduce workforce by around 11,000 employees, primarily in the oilfield services division.
- Cost-saving measures aim to save $1.5 billion annually.
- Implications for workers include increased competition and potential opportunities.
- Implications for the world include economic challenges and opportunities for growth.
