ExxonMobil to Cut 10-15% of Singapore Workforce by 2027
ExxonMobil has announced plans to cut 10 to 15 per cent of its workforce in Singapore by 2027, potentially affecting up to 500 jobs. This move is part of the company's global restructuring plan, which includes laying off 2,000 jobs worldwide, or 3 to 4 per cent of its workforce. The job cuts are a response to broader industry challenges and structural shifts in the oil industry.
The oil and gas sector is grappling with weakening demand and overcapacity, particularly with the growth of petrochemical plants in China. The global transition to cleaner energy, automation, and stricter regulations are driving these shifts. Additionally, companies face uncertainties from trade tariffs and pressures to restructure due to artificial intelligence.
ExxonMobil's job cuts in Singapore are not an isolated incident. Other major US oil companies, such as Chevron and ConocoPhillips, have also announced job cuts this year. Shell, for instance, sold its Bukom refinery in Singapore in 2021 as part of its restructuring plan, which included job cuts. Despite these challenges, ExxonMobil is expanding its production capacity in Singapore with new lubricant base oil facilities.
ExxonMobil's job cuts in Singapore reflect the broader challenges facing the oil and gas industry. While the company is expanding in certain areas, it is also restructuring to adapt to changing market conditions and global energy transitions. The impact of these changes on the regional refining hub of Singapore remains to be seen.
