….reposting a thread that was deleted for no reason…..
Shell is trying to reduce OpEx by reducing number of engineers in North America (USA and Canada) and offshoring the jobs to cheaper countries like India.
But is it really working? I see TAO folks come here, work for some time in North America, and then go back to India and quit. They go to a competing company at a higher salary.
How does that make sense from cost reduction perspective? And how will all the technical knowledge be retained??
@1et Didn't you vote for Trump ? Talk about shortsightedness .... :)
At the assets, TAO is nothing but a headache. The quality is in the toilet. It can't last forever before something goes really wrong and costs us a bunch of money or reputation hit.
@1cj I appreciate the clarification and agree with you. My harsh focus was toward the brit and dutch “leadership.” I have no ill will toward anyone in Bangalore or the SBOs trying to make a decent living. I have a problem with shortsighted people at high level positions who are doing this simply trying to take advantage of people.
yep. the game has changed but companies are very slow to react. the rewards for indian talent came from being early, and now its a very questionable move. there is another oil and gas major who just barely started their india hub and is regretting it so far. other companies are beginning to do this like target and j.p. morgan chase.
let me be clear, i hope indian talent is wise to this and uses it to their advantage and has prosperous lives from this. we are all just people trying our best to get good jobs and have decent lives. it is the corporations who i hope have a harsh lesson about what it really takes to save money when you’re years late to an unsustainable trend.
@1aj the sad truth indeed. Another reason why this whole idea is shortsighted because those that joined shell in Bangalore and other SBOs early on realized that. They took a resume bump and moved on to other employers. We’ll never pay above market in those areas because as you said, that’s the whole point. That’s why I don’t see a permanent shift of moving people. It’s an idea that looks amazing on paper and to present to the board as cost savings for now. Then Indian employees will figure it out by living through shell taking advantage of them. Then the pendulum will swing back in 5-7 years.
it’s so funny to watch the indians ask for US pay and intercontinental travel
news flash to you - if shell wanted to do that, they wouldn’t be moving jobs from other countries to india. how thick can you be lol? literally so high on being able to job hop that they can’t understand why they’re valued
we are nothing but numbers, wake up.
@15e d Ty not understand state owned oil companies? How does your statement make sense? Our revenue is capped and we still have to pay to play.
And to the one complaining about US pay differential. We make the money. You guys add little to no value. We never needed you was the point of my post about RDS buying us out. We didn’t then and we don’t now. You aren’t relevant to us now and the biggest reason you’re still here is that big decisions have a lot of moving parts but it is happening. Remember Wael isn’t European. That alone is a big step toward the final decision. I don’t blame any of you for being scared between that and dealing with people gluing themselves to the front door of OSC.
@1a1 fu-k yes, the past 5 years of listening to these Brit fu--s talking about bullsh-t ideals. The hypocrisy they choke on is thicker than Alberta heavy. They love the paycheck Shell provides but want to hide behind the money we provide them and talk about how they’re making the world better with a convenience store selling hydrogen. Hey d-mbasses you guys closed all of those in 2022 and Brent field is gone. So now what? You’re without your high horse and no way to make money. You’re a dead HQ standing. Days are numbered until we’re a US company and I’ll be laughing as the FTSE hemorrhages without Shell (US giving you money) to prop it up.
yep, hate it, try to outsource it all to india, do whatever you want. but we’re a gulf of mexico company playing in american territory and that’s the only reason we make money today. we are not a dutch hydrogen and wind company despite many negative EV efforts. he-l we aren’t even a north sea company.
this pi---s the europeans off to no end, and causes them to deny the plausible idea that we may see another headquarter move to houston to get the clear as day financial benefits. better taxes and easier regulations.
@17k wholeheartedly agree with this. I think YL was a message from the board being the first non European CEO. Anyone thinking the HQ being in London matters should be reminded of what EU thinks of us. The board doesn’t care about nostalgia, history or tradition and nor should they. O&G companies are welcomed here, not the EU. Oh they’ll use our finished products but they don’t want to be anywhere near industry that’s needed to provide those finished products. I don’t think they can help that thinking, it’s too ingrained over generations. Plunder the world and bring the spoils back. That mindset just doesn’t work anymore. No sympathy for brits or dutch driving the industry out with ideals that aren’t pragmatic. Have a conversation with anyone familiar with Shell prior to 1985. SOC was essentially its own entity despite being majority owned. We couldn’t even use the same pecten the rest of the world did. SOC sued RDS is US district court in Delaware to prevent RDS full takeover. They knew back then RDS would fu-k it up and did. Shell needs the US and it pi---s off every European that can’t admit. Read the article from LA Times in 1985. We (SOC) made $1.8 billion off of $20.9 billion revenue in 1985. Meanwhile RDS managed $4.9 billion off of $86.7 billion. 8.6% compared to 5.6%. That’s why RDS was desperate to finally buy us out since 1922. Moved our HQ from St. Louis, to NYC, to Houston making bank and building legacy. Dutch and Brits couldn’t let the US thrive and make money, they fu---d it up to take control and look where we are. 30k more employees than Exxon with half the profit. Move Shell to Houston ffs and make money. Turn one shell centre into expensive condos; it’ll fit right in next the London eye.
https://www.latimes.com/archives/la-xpm-1985-06-10-fi-5986-story.html
the head office was in the netherlands until less than 4 years ago and was moved to avoid court outcomes for scope 3 emissions and other tax benefits. after over 100 years as royal dutch shell, we became shell plc to save a buck.
i’m pretty sure london HQ isn’t forever, this is new shell. the culture now is to do literally anything to save a buck. as long as senior LT hits their 4 year vesting period and can liquidate right after, it will be done.
@15e doubt it. Petrobras is good at shooting fish in a barrel, wasting money, and hiding behind corporatism.
They have proven ineptitude in the Gulf of America.
@14y Brazil staff haven’t done a damn thing but wrote checks to Petrobras. Case in point, there hasn’t been anything successful that Petrobras hasn’t operated
Maybe Petrobras will buy gom. They’d be more successful than shell gom that’s for sure.
@14y Brazil is operated by Petrobras outside of the BC 10 fiasco so it’s hard to make an argument this owing to the prowess of Shell’s Brazilian or UK staff.
Every country is a lower cost option than USA and some are better technically too.
USA staff wages are the highest and there’s no point having group technical expertise there. Brazil has been super successful and has a future, so better to continue to build group expertise there and they can also support end of life goa.
Uk staff are also half the price of USA and the head office is there, so that’s another more attractive option. Yes, India is ‘cheaper’, but the operational experience just isn’t there.
Does Shell need to revisit its difficult era? Coming right up…
Management is only doing what they’re incentivized to do. If attracting, growing and retaining talent were included in their performance metrics, they’d be doing that. It’s not, so they don’t care about that aspect of the Company’s future.
@zg not when you give the Indians visas to work here.
americans cost double their salaries due to benefits
indian projects having 1/10th the labor cost but 22% project profit tax is still cheaper
@yt kind of blows up the so-called ‘lower cost’ argument?
Technical knowledge can be retained by issuing Green Cards to arriving TAO folks.
it’s so funny that people think bangalore does good work instead of cheaper work
Shell engineers at Woodcreek hate going offshore. They prefer the comforts of home and office. Lay off your next batch of engineers based on least visits and contributions offshore or in the field. Supplement the list by asking key offshore leadership which techs, engineers provide the best support…
Shell does not need any more PowerPoint presentation artists….
My best advice is to prepare for separation. Save your cash, invest, network outside of Shell. Probably most (90%) of you will still be working for Shell for the next 2-3 years, It is very unlikely to work for Shell through 2035 (statistically, <25% stay that long). Does it really matter how well you do your job? Well not as much as you'd think. You've got to be in the right place at the right time otherwise they get rid of you. For the majority, you might get sick of Shell or Shell will get sick of you but most of you are going to leave before 10 years. That's based on past statistics, you might argue that the attrition rate is going to be higher?
@OP same logic as firing your old white workers here for a bunch of slantlings. They's cheaper. Churn n burn.