NEW YORK — On Sept. 3, 2025, ConocoPhillips announced plans to reduce its global workforce by as much as 25%, a move that would affect roughly 2,600 to 3,250 employees and contractors as the company pursues broader cost-cutting and margin-improvement measures.
Key Takeaways
- ConocoPhillips confirmed cuts affecting 20%–25% of staff and contractors worldwide.
- The company’s reported global headcount is about 13,000, implying 2,600–3,250 jobs at risk.
- ConocoPhillips expects the majority of reductions to occur before the end of 2025.
- Shares fell about 4.3% on the announcement and trade below $95, roughly 14% lower than a year ago.
- Quarterly net income was $1.97 billion, down from $2.33 billion year‑over‑year.
- Leadership has said it has identified more than $1 billion in cost reductions; the company is also selling Anadarko Basin assets for $1.3 billion.
Verified Facts
A ConocoPhillips spokesperson confirmed on Sept. 3 that the company plans workforce reductions that would affect between 20% and 25% of its employees and contractors. With about 13,000 people on the company’s global payroll, that range equates to approximately 2,600 to 3,250 roles.
The company signaled that the bulk of the cuts are expected to be completed before the end of 2025. ConocoPhillips has publicly described the moves as part of ongoing efforts to boost efficiency and optimize margins.
ConocoPhillips reported second-quarter 2025 net income of $1.97 billion, a decline from about $2.33 billion in the same quarter last year. The company has said it identified more than $1 billion in cost savings and has agreed to sell Anadarko Basin assets for $1.3 billion as part of portfolio reshaping.
Market reaction was immediate: shares dropped roughly 4.3% on the news, trading below $95 per share and down nearly 14% from their level a year earlier.
Context & Impact
Energy companies have been balancing shareholder returns with capital discipline amid volatile commodity prices and rising operating costs. Large workforce reductions at a major oil producer can ripple across supplier chains and local economies, especially in regions with concentrated industry employment.
For ConocoPhillips, the announced cuts and asset sale aim to deliver near‑term cash and structural cost savings. Investors typically reward demonstrable margin improvement, but layoffs carry near‑term expenses (severance, contract terminations) and longer‑term reputational and operational risks.
- Likely affected groups include both salaried staff and contractors supporting field operations, corporate functions and project teams.
- Contractor reductions could accelerate as the company seeks quicker cost relief than permanent headcount changes alone provide.
- Regions with significant ConocoPhillips operations—such as Houston and parts of the U.S. oil patch—could see local economic impacts.
“We are always looking at how we can be more efficient with the resources we have,”
ConocoPhillips spokesperson
Unconfirmed
- Precise breakdown of roles, departments and geographic sites to be cut has not been released publicly.
- Reported details about an internal CEO video briefing were attributed to anonymous sources and have not been published in a company release.
Bottom Line
ConocoPhillips’ announced plan to cut up to a quarter of its workforce signals an aggressive push to lower costs and protect margins amid a tougher operating backdrop. The company’s identified savings and planned asset sale may soften near‑term financial pressure, but the human and local economic impacts will be significant and will unfold over the coming months.