Chevron increases planned job cuts to 8,000

HOUSTON – Chevron Corp. plans to shed 8,000 jobs, or 12 percent of its workforce, by the end of the year as anemic oil prices make it too expensive to keep many drilling rigs in the field, executives said Friday.

The No. 2 U.S. oil company has already cut more than 4,000 of those permanent jobs and trimmed another 6,500 contractors since the downturn began in the summer of 2014. Chevron executives had previously said the company would cut a total 7,000 jobs.

Chevron lost $725 million in the first three months of the year, its first quarterly loss in more than 20 years. Cutting jobs is part of the industry’s desperate effort to curb costs while companies pay off a huge debt pile taken out in the days of $100 oil.

More than 60 drillers based in the U.S. and Canada have filed bankruptcy papers, and across the United States, oil producers and their service providers have cut nearly 120,000 jobs. Schlumberger, Halliburton, Baker Hughes and National Oilwell Varco have in recent weeks announced 24,000 job cuts.

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