Thread regarding Chevron Corp. layoffs

From EM. Can someone from CTX confirm the SPOSA package terms offered retirement eligible folks?

Have heard that 2+2+2 was our industry average.

However, we were shocked to learn that our new EM SPOSA was actually, 0+0+4 months only.

Would also welcome any SPOSA info related to Shell/BP in US.

@4qgr+17eNMuQ6:

Yes, someone should tell CBRES (now CEMREC) to do something about our office space. Might be tough to so since top 3 real estate guys either left or will soon be out the door and new leader is coming feom. Lubricants China. This might be CEMREC pres MB most questionable move from Round 3. Go figure.

The CEO "Dareen Woods".....made some good message to all employees today.. a bit late, but frankly it was good... #WeAreExxonMobil
I hope all goes well for everyone...and situation improves sooner for all companies...my prayer goes to all brothers and sisters in the oil patch....
lets end the negativity .... it's going to be hard and very bumpy this time...but we all are resilient and have seen these storms ...lets break the negative mental cycle ...I am not naive , our jobs are at risk...but lets not give up... we all ( XOM, CVX, B,Shell...) will beat it and come out of this stronger, I am sure of that...
#WeAreExxonMobil

"
I hope that you and your loved ones are staying safe and healthy as we continue to manage through this unprecedented time. Today’s environment is one of the most difficult our people and our company have faced.

I’m extremely proud of the work we have done to respond to these challenges. Together we have stepped up, keeping our businesses running and ensuring uninterrupted supplies of essential products, while significantly improving safety and environmental performance. We have also taken difficult but decisive action to reduce spending and protect the long-term value of our company.

This response has required extraordinary effort by all of you and is especially impressive given the personal impacts associated with the pandemic. The management committee and I are deeply grateful for all you have done. Once again, you’ve demonstrated the qualities that make this company great.

Despite the significant steps we have already taken, there is still more to do. Most importantly, we must continue efforts to structurally improve the earnings and cash flow performance of the corporation. Fortunately, the work we have done over the past few years has positioned us well. Our investment portfolio remains the strongest in industry, and the organizational changes we’ve made are enabling further improvement opportunities - many of which were in progress prior to the pandemic. Over the last several months, we have accelerated these opportunities while pacing investments.

As part of this effort, each organization has undertaken a country-by-country assessment to determine staffing requirements. Studies for Australia and affiliates in Europe have been completed and communicated to employees. We expect to finalize the remaining studies over the next several months.

I know this work brings added uncertainty to already stressful times. I also know that these decisions can have significant impacts on our colleagues and friends. We are working hard to complete these reviews as quickly as possible, while ensuring a thoughtful and thorough assessment.

I understand the added burden all of this brings, but these actions are necessary to ensure the long-term success of the company. The work we are doing today will result in a more efficient organization that will emerge stronger and better able to compete through the price cycles inherent in our commodity-based business.

Over the long term, we remain committed to our strategy to address the dual challenge of providing affordable energy and mitigating environmental impacts, including the risks of climate change.

Despite the range of views that have been expressed, including from some of our competitors, the fundamentals of our business remain strong. All major third-party analyses - as well as our own - highlight the continuing role our industry will play in providing energy and products to people around the world for decades to come, even under low-carbon scenarios.

As we move forward, your leaders will keep you apprised of developments. And later this month, as we consolidate this year’s corporate plan, I will hold a virtual employee forum to update you on our plan and reaffirm the direction of our company.

In closing, I want to thank you again for your hard work, commitment and resilience. Thanks to your efforts, we are positioning the company to better meet the needs of a growing and prosperous world.

"

I've been through several of these with various companies (including Exxon.). It's never fun. And it's never "fair". That being said, even though it's very drawn out, Chevron's process is the most transparent I've ever seen. Employees have a lot of input, versus ZERO everyone else I've been. S—s being here during this time, but I wouldn't want to be working for anyone else right now. So I'd guess you could say we're the prettiest rat on the sinking ship.

@4ybu+17eNMuQ6
the Canada (i.e. Imperial oil) 4 week/year is based on the information from a friend who got NSI and terminated (not offered PIP)

@4pen+17eNMuQ6 While I get the desire for some to go back to the office, it seems miserable to me. Wearing a mask all day long sounds pretty terrible. I also don't see how I would be more productive, especially if in-person meetings are limited (which I'm sure they would be). It doesn't make sense from a corporate perspective either due to liability issues.

BP just sold their HQ in London. If I were in charge of CBRES I would recommend the same. We could get by with half the space after layoffs and part-time office work.

Return to work in summer 2021? Sorry, but someone needs to stand up in SR and call out this BS. There's a ton of irrational fear out there so let's not placate the inmates by handing them the keys to the asylum. There's no rational reason why people should not be able to return to work. As much as I detest the stupid masks they could be of use in super-high density areas. Those without kids, childcare or parental care issues should be free to come in if they so choose. Those that find themselves more effective at home should be allowed to stay at home. If they're effective the results should speak to themselves.

@4sne+17eNMuQ6

I’m in Canada but haven’t seen an announcement for layoffs or severance packages yet for IOL.

@4oir+17eNMuQ6 , the affilaiate company in Canada (Imperial Oil which is 70% owned by XOM) provovided the 4 weeks ie. 1 month of salary / year, to maximum of 1 year salary.
in Asutalia : 10 weeks base+ 2 weeks/year , to max 52 weeks and some pension ajustment to local regulation...
it seems they are treating each country individually...

@kxv+17eNMuQ6

Is the 4 wk/year for Canada officially confirmed? If so, I’ll be all over that.

@2gyl+17eNMuQ6 I've heard the same thing. Rumor has it that Chevron may move to a hybrid type remote work option, or at least be more flexible with such arrangements. Especially since most other large employers in the Bay Area will be doing something similar.

for good or bad, Daren Woods (XOM big boss) , has been very quiet and it looks he does not have a poet in his inner circle....he prefers to leave the dirty jobs to other BS managers ... the whole corporate structure should be cleaned from top to bottom not from bottom to middle !

OMG, @3byw+17eNMuQ6, you beat me to it!

The fact that in the middle of what I believe are the WORST layoffs we have EVER experienced that m0r0n is posting a poem is beyond belief. Now, I am not a heartless monster; the story of the young woman and her brother merita sharing ... just NOT IN A COMPANY EMAIL! Jesus Christ, does this guy INTENTIONALLY come up with sh1! to set off employees who are about to lose their jobs? The chairman should really take a closer look at what this guy has been posting and how it is affecting the workforce. BTW, anybody know LJ’s PSG, just for sh1!s and giggles?

No new CVX developments on top of what was already listed below (15% reduction across the company complete by October 26th). So far, there are no indications of any more layoffs in 2021, except for redundant Noble employees in support functions (and a smaller number of redundancies in the Permian). Some areas of the company have been handed cost reduction targets for 2021, but there have been no indication of what would happen if those targets are not fully achieved by EOY 2021.

Early this morning ( Monday Oct. 5th) XOM announced today that 1600 positions in the European countries will be cut by end of 2021 (I don't know how may we have over there, but i was told the 1600 is about 20%)... it was an internal memo to upstream organization ...
Any development on CVX ?

(posted by the same individual started this note... I should add in the absence of XOM and CVX internal information sharing policies/transparencies... found this platform to have mainly useful tool for sharing news either to understand what's happening inside of our own companies or with other comparable companies... I appreciated positive attitude and decency from the professional folks here...let's put the negative comments away and ignore them...) we are in this industry all together...
stay safe and strong to all my colleagues/friends in CVX/XOM/Shell/BP...)

Does Exxon have Diversity and Inclusion and Vice Presidents that send you a poem to kick off week 1 of lay-off shortlisting? Hard to put a dollar amount on that value... #Winning

An earlier post said a CVX will return to office by 2021. I've been told that it won't likely be until late Summer 2021 for SR folks (once most people can get a potential vaccine) and certain functions will be permitted to telecommute at least part time.

The bonus is basically dependant on corporate performance. They announce it in Feb 2021. So they could just use a 10% multiplier this year and say it is due to weak corporate performance. Technically nothing was dropped, just multiplier used. We got about 95% last year, which was a shock as they usually do 100%+. Uncle MW was getting us ready for layoffs. Well turns out it was much worse, lol.

I do expect pension and 401k to be next but likely those are on the 2021 chopping block.

Expats still making bank. The idea of diminishing their benefits is heresy because most are General Manager or higher.

How much will CVX bonus be reduced this year? XOM cut its 7% match to 401k because it does not have a variable bonus to cut and XOM pension is much larger than CVX pension 1.6 factor vs 1.3 and highest 3 years vs highest 5 years.

Post from TheLayoff.com

Great GOM has so many people retiring. This might just save some of us underachievers out!

Though the announced layoffs are 15%. The impact on opex will be more like 25%.

The strategy is set for the next 5 years. Tengiz and Permian are going to keep the company production flat and capital budgets will stay in $10-12 billion /year range.

I Gulf of Mexico (an out of favor BU) the math is roughly:

20% retiring
13% laid off
12% move to other parts of the company
5% new hires
For about 30% Reduction in headcount

The industry moves together for the most part, but some companies try to spin it differently. At Chevron we are cutting about the same as everyone one else we are just doing it painfully slowly and fully acknowledging the wonderful talents and diversity of everyone we let go.

I think its time for the Standard Oil sisters to unite in Rockefeller Center NYC and chant "John D. Rockefeller!" until his spirit once again raises our companies to the top of the SP 500

Why is XOM performing so poorly. I bought XOM Stock with expectations they could manage their business and now look what is happening. Like other companies they never should have gotten involved in the unconventional nonsense. And I do mean nonsense. I am glad that I stayed far away from that end of the business. It just gave me a gut feel that it was just another fad.

Chevron is hiring, feel free to quit XOM and apply right away! Hooray!

Unfortunate that the "Chevron way" is to force a PSG 24 and up to retire but rarely to "leaving them standing" during a downsizing. There is a supposition that they "earned" their way to mid-management and except in rare malfeasance, s-xual harassment or significant performance problem situations— Chevron does not oust them during re-organizations.

Company doesn't apply "higher expectation" of higher classified employee in determining whether to keep said employee

Thanks for sharing.
in XOM, no package is mainly for US when the individual is let go for the performance, but in Australia they offered 2 weeks/ year of service + 10 weeks as base till 52 or 54 weeks max... they called it "voluntary redundancy program". In Canada just 4 weeks/year of service .
everyone was asked to cut 10-15% in expenses regardless of what position they are in to help preserve cash... but everyone knows that's not enough to avoid more cuts... so these country strategy studies are being conducted... seems each country is treated separately. The stop to pension matching in US seems not happening in other regions as it does not help much ....
same approach to beat the contracts, out source to overseas...like India or Argentina...moving to Agile for IT to help with efficiency ( that remains to be seen) many call it Fake Agile...Fragile ...that seems to be industry standard .... Sadly no management or leadership position is affected and that makes people frustrated why higher earners are always safe while individual contributor are let go !
at most, the expads are called back ...
pending the prices and the whole COVID thing ( thanks to Chinese....followed by Saudi-Russian)... the quarter and the next can be very tough... the industry is changed for many years to come just to get back to its feet ....

We had heard no packages at Exxon. 15% cut across the company here and complete simultaneous re-org of the entire company from top to bottom to be complete by October 26th. Support functions and out of favor BU layoffs are in the 30% range. Package is 3 weeks per year ( max 52) plus one year of company subsidized health care, plus a 6 week redeployment period after lay-off where you are still being paid by CVX, but you have been removed from the network. Significant outsourcing and shift to managed service providers. Significant contractor reductions and renegotiations with vendors. No reductions to 401k match, pension, and no indication yearly bonus will be eliminated. Most office dwellers working from home, but strong indication that ends in 2021. Overwhelming focus on company wide digital transformation and move to automated / digital / AI / data driven factory model to remain competitive in extended in low price environment.