I expect headcount at XOM to drop from 76k (2019) to 68k by 2022. Field/asset sales, PIP, lower hiring, normal retirments plus people encouraged to retire, plus lower pay raises and promotions may get even good performers to look elsewhere.
Note that bottom 20% of executives do not get EBU and RSU so there is incentive to leave because pension (3 year average) is impacted by low EBU
What are EBU, RSU, and MLRP?
As as service contractor for XOM, I think they could learn a lot about forced cuts and how to streamline a business by meeting with their contract management. Contractors are always asked (told) to make sacrifices and provide the same quality of service with more liability. Somehow we manage to make it happen until the quality of our workforce takes a dive, turnover goes through the roof, and the safety incidents start to uptick. Seriously, who really thinks contractors make 20%? Apparently XOM does because that was the number to cut or pack your tools. If a contractor can cut that much and still make money, XOM should fire them for robbing them for years.
XOM employees don't have to look hard to identify waste and see the biz model couldn't survive forever. Maybe a quick drive through the Houston complex aka Taj Mahal.
You guys are just getting a taste of how they've treated their other workforce for years.
I wanted to add a comment to the discussion around the PIP. I have seen the document & discussed it with several management types I have known for many years. It is clear from the language and the short duration (3 months) that these were not meant to be successful. This was confirmed to me by the above mentioned.
Are you holding a position where you can see and interpret data? Or just your personal opinion?
The bulk of those in the US?
Or mainly divestments around the world would?