Investing.com - Financial Markets Worldwide

Cenovus cuts nearly 250 workers as oil sector job losses mount

Published 2016-04-12, 02:25 p/m
© Reuters. Cenovus cuts nearly 250 workers as oil sector job losses mount
CVE
-

By Nia Williams
CALGARY, Alberta, April 12 (Reuters) - Cenovus Energy
CVE.TO said it let go nearly 250 employees on Tuesday as part
of a previously announced restructuring, a spokesman said,
adding to the tens of thousands of energy industry workers laid
off in Canada since oil prices crashed.
The cuts at the oil and gas producer are part of the 440
layoffs outlined by Cenovus earlier this year, when it reported
quarterly losses and said it would slash its dividend and 2016
capital budget.
Spokesman Brett Harris said 190 contractors lost their jobs
earlier this year and with Tuesday's cuts the bulk of the
planned layoffs were now complete. The few remaining affected
employees have been informed but will remain at the company a
little longer to complete work, Harris said.
In total, Cenovus's headcount is about 31 percent lower than
it was at the end of 2014, with around 3,600 employees
remaining.
Harris said at present there were no further plans for
layoffs this year.
"At this point that's all we have planned for the year but
it really will depend on what happens with the economy and the
price of oil," he said.
Canadian oil sands producers such as Cenovus have some of
the highest project breakeven costs globally and have been hard
hit by the 65 percent drop in oil prices since June 2014.
The Canadian Association of Petroleum Producers estimates
oil and gas investment has dropped 62 percent to C$31 billion
($24.28 billion) in two years and including indirect jobs more
than 110,000 people across the country have been laid off since
the start of the downturn.
($1 = 1.2769 Canadian dollars)

Latest comments

Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.