KEY POINTS
- ExxonMobil to cut about 2,000 jobs, or up to 4% of its global workforce, mainly in Europe and Canada.
- Move forms part of a multi-year cost-cutting plan to save billions and streamline operations.
- Job reductions mirror broader industry layoffs as oil prices slump and regulatory pressures intensify.
ExxonMobil Corp. plans to slash roughly 2,000 jobs worldwide — about 3% to 4% of its total workforce — in the latest phase of a sweeping restructuring aimed at cutting costs and consolidating global operations.
The Texas-based energy major said the reductions will primarily hit its offices in Europe and Canada, with no layoffs currently planned in the United States. The move comes as the company races to simplify a sprawling corporate structure that executives say no longer fits the modern energy landscape.
In a memo to employees, ExxonMobil described its global office network as “a footprint built decades ago under very different circumstances.” The restructuring will merge smaller offices into regional hubs, bringing teams closer together and improving collaboration, the company said.
A new European Technology Centre will be established at ExxonMobil’s Antwerp refinery, absorbing most of its Brussels-based employees, while several smaller offices across the European Union will be shuttered over the next two years.
Push for Efficiency Amid Market Pressures
The overhaul underscores the mounting pressure on international oil companies to stay profitable in a volatile market marked by soft crude prices and tightening environmental rules. Benchmark West Texas Intermediate crude has hovered below $63 a barrel this year, while Brent remains under pressure from sluggish global demand.
ExxonMobil, which employed about 61,000 people worldwide at the end of 2024, has already trimmed nearly 20% of its workforce since 2014 as part of a $13.5 billion cost-cutting drive. CEO Darren Woods has said repeatedly that consolidation is critical to improving efficiency and competitiveness.
The company’s latest workforce reduction follows similar actions by peers including Chevron Corp., BP Plc, and ConocoPhillips, all of which have announced major layoffs this year. Industry analysts say the sector is undergoing a structural transformation as companies seek to adapt to shifting energy demand and regulatory scrutiny, especially in Europe.
About half of ExxonMobil’s planned global reductions are tied to Imperial Oil Ltd., its Canadian affiliate, which recently announced a 20% workforce cut of its own. Roughly 1,200 positions will also be phased out across Norway and the wider European Union by 2027 as part of the company’s gradual transition toward leaner operations.
Despite the layoffs, ExxonMobil said it remains committed to maintaining a “meaningful presence” in key markets and will continue investing in technology and energy innovation. The restructuring, the company added, aims not only to lower costs but also to “foster innovation through unified, collaborative workspaces.”
The move reflects an oil industry that is learning to operate with tighter margins, unpredictable prices, and evolving environmental standards. For ExxonMobil, it marks another step in a years-long transformation designed to make the 150-year-old energy powerhouse more agile — and more resilient — in a world moving toward cleaner and more efficient energy production.
