Shell To Cut 10,000 Jobs In Drive To Slash Costs

By MarketWatch Pulse

Royal Dutch Shell PLC plans to cut 10,000 jobs in an effort to further reduce costs amid a severe slump in oil prices. The Anglo-Dutch energy company said in its trading update on Wednesday it had slashed operating costs by $4 billion in 2015 and that it expects further reductions of $3 billion in 2016. In addition to that, Shell also expects synergy benefits from the BG Group PLC merger, which it believes will be complete in a matter of weeks. "Together, these actions will include a reduction of some 10,000 staff and direct contractor positions in 2015-16 across both companies, as streamlining and integration of the two companies continue," the company said in the statement. Shell also said profit fell by as much as 50% in the fourth quarter, sending the shares down 4.2%.

Copyright © 2016 MarketWatch, Inc.

Continue Reading Below