{"id":808,"date":"2025-09-04T06:04:02","date_gmt":"2025-09-04T06:04:02","guid":{"rendered":"https:\/\/readtrends.com\/en\/conocophillips-workforce-cuts\/"},"modified":"2025-09-04T06:04:02","modified_gmt":"2025-09-04T06:04:02","slug":"conocophillips-workforce-cuts","status":"publish","type":"post","link":"https:\/\/readtrends.com\/en\/conocophillips-workforce-cuts\/","title":{"rendered":"ConocoPhillips to Cut 20\u201325% of Workforce; Shares Drop"},"content":{"rendered":"<article>\n<p>ConocoPhillips announced on Sept. 4, 2025 that it will reduce 20\u201325% of its roughly 13,000 global employees in a broad restructuring, a move CEO Ryan Lance outlined in a company video that coincided with a sharp drop in the company\u2019s shares.<\/p>\n<h2>Key Takeaways<\/h2>\n<ul>\n<li>ConocoPhillips plans to cut 20\u201325% of its workforce, affecting about 2,600\u20133,250 employees.<\/li>\n<li>Shares fell about 4.5% on the announcement, trading near $94.55; the stock is down roughly 4.7% year\u2011to\u2011date.<\/li>\n<li>Leadership cited rising controllable costs \u2014 about $13 per barrel in 2024 versus $11 in 2021 \u2014 and weaker oil prices as drivers.<\/li>\n<li>Most job reductions are expected by year\u2011end; the new structure will be disclosed mid\u2011September and the reorganization completed by 2026.<\/li>\n<li>ConocoPhillips identified more than $1 billion in additional cost savings on top of roughly $1 billion from last year\u2019s Marathon Oil acquisition.<\/li>\n<li>Management has engaged Boston Consulting Group on the program, internally called &#8220;Competitive Edge.&#8221;<\/li>\n<li>Industry peers, including Chevron, SLB and BP, have announced or implemented cuts as producers respond to lower crude prices.<\/li>\n<\/ul>\n<h3>Verified Facts<\/h3>\n<p>ConocoPhillips employs about 13,000 people worldwide. A 20\u201325% reduction implies between 2,600 and 3,250 roles will be eliminated, the company told reporters and spokespeople. The firm said most of the reductions will occur before the end of 2025.<\/p>\n<p>The company\u2019s shares fell approximately 4.5% on the day of the announcement to $94.55, a move that outpaced a broader S&#038;P 500 Energy Index decline. Year\u2011to\u2011date the stock was down roughly 4.7% compared with a modest gain for the sector index.<\/p>\n<figure>\n<table>\n<thead>\n<tr>\n<th>Metric<\/th>\n<th>Reported Value<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Total employees<\/td>\n<td>~13,000<\/td>\n<\/tr>\n<tr>\n<td>Projected reductions<\/td>\n<td>2,600\u20133,250 (20\u201325%)<\/td>\n<\/tr>\n<tr>\n<td>Controllable costs<\/td>\n<td>$13\/ barrel (2024) vs $11\/ barrel (2021)<\/td>\n<\/tr>\n<\/tbody>\n<\/table><figcaption>Company figures and published financial context.<\/figcaption><\/figure>\n<p>Net income fell to about $2 billion in the second quarter \u2014 the lowest quarterly profit since Q1 2021 \u2014 a decline executives attribute to weaker commodity prices and rising per\u2011barrel costs.<\/p>\n<h3>Context &#038; Impact<\/h3>\n<p>Global benchmark U.S. crude futures have traded about 11% lower year\u2011to\u2011date amid higher OPEC+ output and competition for market share, pressuring U.S. producers\u2019 margins and prompting cost reduction programs across the industry.<\/p>\n<p>ConocoPhillips joins several majors that have cut or pared staffing and spending this year. Chevron earlier signaled potential workforce cuts of up to 20% in February, while equipment and services firms such as SLB and international producers like BP have also trimmed roles or spending.<\/p>\n<p>Management projects the reorganization will be phased: a new leadership and operating structure will be announced in mid\u2011September, with implementation continuing through 2026. The company is holding a town hall for employees on Thursday at 9 a.m. Central Time to discuss details.<\/p>\n<blockquote>\n<p>&#8220;I know these changes create uncertainty, and they are unsettling,&#8221;<\/p>\n<p><cite>Ryan Lance, CEO<\/cite><\/p><\/blockquote>\n<aside>\n<details>\n<summary>Explainer: &#8220;Controllable costs&#8221; per barrel<\/summary>\n<p>Controllable costs refer to expenses the company can influence directly, such as onshore operating expenses, field services, and some administrative costs. Management says these rose to about $13 per barrel in 2024 from $11 in 2021, narrowing margins when oil prices fall.<\/p>\n<\/details>\n<\/aside>\n<h3>Unconfirmed<\/h3>\n<ul>\n<li>Precise list of business units or regions where layoffs will be concentrated has not been publicly released.<\/li>\n<li>Details on severance packages, rehiring windows, or exact headcount timing beyond the year\u2011end target remain unspecified.<\/li>\n<\/ul>\n<h3>Bottom Line<\/h3>\n<p>ConocoPhillips is moving to shrink its workforce and restructure operations to cut costs after weaker oil prices and rising controllable costs squeezed margins. The steps mirror industrywide retrenchment and are intended to preserve cash flow and competitiveness, but will likely weigh on near\u2011term employee morale and local economies where cuts are concentrated.<\/p>\n<h3>Sources<\/h3>\n<ul>\n<li><a href=\"https:\/\/www.reuters.com\/\" target=\"_blank\" rel=\"noopener\">Reuters<\/a><\/li>\n<li><a href=\"https:\/\/www.conocophillips.com\/investor-relations\/\" target=\"_blank\" rel=\"noopener\">ConocoPhillips \u2014 Investor Relations<\/a><\/li>\n<li><a href=\"https:\/\/www.opec.org\/\" target=\"_blank\" rel=\"noopener\">OPEC<\/a><\/li>\n<\/ul>\n<\/article>\n","protected":false},"excerpt":{"rendered":"<p>ConocoPhillips announced on Sept. 4, 2025 that it will reduce 20\u201325% of its roughly 13,000 global employees in a broad restructuring, a move CEO Ryan Lance outlined in a company video that coincided with a sharp drop in the company\u2019s shares. Key Takeaways ConocoPhillips plans to cut 20\u201325% of its workforce, affecting about 2,600\u20133,250 employees. &#8230; <a title=\"ConocoPhillips to Cut 20\u201325% of Workforce; Shares Drop\" class=\"read-more\" href=\"https:\/\/readtrends.com\/en\/conocophillips-workforce-cuts\/\" aria-label=\"Read more about ConocoPhillips to Cut 20\u201325% of Workforce; Shares Drop\">Read more<\/a><\/p>\n","protected":false},"author":1,"featured_media":802,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rank_math_title":"ConocoPhillips to Cut 20\u201325% of Staff \u2014 Energy Brief","rank_math_description":"ConocoPhillips will reduce 20\u201325% of its roughly 13,000 employees to cut costs after lower oil prices and rising per\u2011barrel expenses; most cuts are expected by year\u2011end.","rank_math_focus_keyword":"ConocoPhillips, workforce cuts, layoffs, oil prices, restructuring","footnotes":""},"categories":[2],"tags":[],"class_list":["post-808","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-top-stories"],"_links":{"self":[{"href":"https:\/\/readtrends.com\/en\/wp-json\/wp\/v2\/posts\/808","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/readtrends.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/readtrends.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/readtrends.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/readtrends.com\/en\/wp-json\/wp\/v2\/comments?post=808"}],"version-history":[{"count":0,"href":"https:\/\/readtrends.com\/en\/wp-json\/wp\/v2\/posts\/808\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/readtrends.com\/en\/wp-json\/wp\/v2\/media\/802"}],"wp:attachment":[{"href":"https:\/\/readtrends.com\/en\/wp-json\/wp\/v2\/media?parent=808"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/readtrends.com\/en\/wp-json\/wp\/v2\/categories?post=808"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/readtrends.com\/en\/wp-json\/wp\/v2\/tags?post=808"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}