Oil Companies Continue to “Adapt” to the Low Oil Prices

Author: KSRM News Desk |

Recent layoffs have contributed to local rumors swirling about Kenai’s Baker Hughes facility shutting down, however those have been tentatively denied.

 

Multiple requests about the information elicited this statement from Baker Hughes spokeswoman Melanie Kania via email:

 

“As Baker Hughes continues to adapt to challenging market conditions, we are taking difficult actions to further reduce spend and workforce companywide. As we take these steps, we are committed to making sure that all employees are treated fairly and that impacted employees are eligible for continuing benefits and severance packages, when possible. The company remains focused on its employees, safety and customers.”

 

On March 16 she wrote in an email that the company “did not close the facility” but she says she has not been able to reach anyone locally for specifics. KSRM is continuing to investigate.

 

Other oil companies have also been downsizing due to continuing low oil prices.

 

BP announced earlier in March they would be cutting its Alaska workforce, slicing approximately 84 jobs.

 

That’s roughly 4% of its Alaska workforce, mostly in Anchorage-based positions. The global oil giant also announced the week before that that it would be reducing the number of active rigs at Prudhoe Bay from five to two.

 

BP announced 270 layoffs just last January, which was 13% of its workforce.