SINGAPORE: ExxonMobil said on Tuesday (Mar 2) it will cut about 7 per cent of its workforce in Singapore, as "unprecedented market conditions" due to the COVID-19 pandemic accelerate ongoing reorganisation.
About 300 positions will be impacted by the end of 2021, the oil major said.
ExxonMobil has more than 4,000 employees in Singapore, which houses the company's largest refinery with a capacity of about 592,000 barrels per day.
"This is a difficult but necessary step to improve our company's competitiveness and strengthen the foundation of our business for future success," said Ms Geraldine Chin, chairman and managing director of ExxonMobil Asia Pacific.
"We are providing transitional support to our colleagues who are impacted and are focused on getting through this challenging time."
In response to CNA's queries about details of the affected positions and compensation package, an ExxonMobil spokesperson said the company will provide support including counselling and outplacement services to all affected employees.
"This is a difficult step to take," said the spokesperson, adding that the company also engaged the Manpower Ministry and union leaders ahead of the announcement.
"We remain focused on safe operations and reliably supplying the customers who rely on our products," added the spokesperson.
Singapore continues to be a strategic location for ExxonMobil with "a world-scale manufacturing complex and a talented workforce", the company said in a statement.
"The company remains committed to providing energy and products that are essential for society, while managing operations safely and responsibly, including reducing the risks of climate change," it said.
ExxonMobil suffered a US$22.4 billion loss on a steep downturn in oil prices amid the COVID-19 pandemic last year.
The oil giant was also bumped from the prestigious Dow Jones index last year and faced criticism from environmentalists who have long slammed it for not doing more to advance renewable energy and address climate change.
In parallel with a Feb 2 earnings release, ExxonMobil unveiled a new low-carbon business unit and announced the nomination to the board of the former chief executive of Malaysian national oil company Petronas, Wan Zulkiflee Wan Ariffin.