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UPDATE 1-TransCanada says cutting 20 percent of senior management positions

Published 2015-09-24, 01:40 p/m
© Reuters.  UPDATE 1-TransCanada says cutting 20 percent of senior management positions
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(Adds TransCanada comment, details of layoffs)
By Nia Williams
CALGARY, Alberta, Sept 24 (Reuters) - Pipeline company
TransCanada Corp TRP.TO will cut 20 percent of its senior
management positions as a continuing slump in oil prices has
necessitated cost reductions, with further staff cuts possible
in the future, a company spokesman said on Thursday.
The company behind the Keystone XL and Energy East pipeline
projects said staff were informed Monday about the cuts, which
would be implemented over the next several months.
"We don't have an exact number for reductions at the senior
level as the process is continuing but when transitions out of
the company and retirements are complete, we expect about a 20
per cent reduction in senior leadership positions," spokesman
James Millar said in a statement.
"Falling oil prices and the current environment are having a
profound impact on our customers and we must do all we can to
drive down costs and pursue our projects more efficiently and
strategically."
Millar said it would be up to the leaders of business units
and other support areas to determine how many employees are
affected.
TransCanada laid off 185 people from its major projects
division in June, joining several other Calgary-based energy
companies, including Suncor Energy Inc SU.TO and Penn West
Petroleum PWT.TO , that had trimmed staffing levels in order to
survive the oil price slump.
U.S. benchmark crude CLc1 prices have tumbled nearly 60
percent since June 2014, and were last trading at just under $45
a barrel.

(Editing by Chris Reese and Bernadette Baum)

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