What info did the plastics/chemical operators get in regards to salary/hourly cuts?
5 replies (most recent on top)
7% pay cut for salaried employees, no cost of living increase, OT will have to be approved from upper management, training will be slowed down to keep OT down, no bonus for next year, contractors will have their hrs cut...that’s pretty much it for the Chem side......
The EC decided that they can k–l the morale of O&G, because it doesn't really matter. Big pay cuts leads to low morale, which leads to less productivity, which leads to less activity, which actually leads to cost savings. Meanwhile, they don't want to hurt OxyChem morale too much, because that's the only thing making us any money right now.
And with that brilliant logic, they've high-fived (or fist-bumped, it's safer) each other, promised each other big bonuses, and are scheduling lavish parties for when the social distancing is over. Our management hard at work.
The hourly workers at the plants received no cuts.
All Oxychem "corporate" were cut 7%
Keep in mind 2 things:
- Houston has always been generally paid materially higher salaries for comparable roles/jobs. I've worked for both units, and that is a simple fact. The disparate size of the cuts probably brings pay grades closer to parity/equity, after many years of O/G being paid materially more.
- Its the oil price which has collapsed. Segment earnings for Chemicals (so far) is still expecte to be very profitable. - generally Chemical earnings, while cyclical, are not as volatile as O/G earnings.
Just my two cents.
No cuts to hourly employees
Previous commenter said 7% pay reduction.