JAKARTA (rambuenergy.com) – The Special Task Force for Upstream Oil and Gas Business (SKK Migas) at the Energy and Mineral Resources Ministry (ESDM) revealed that Chevron Pacific Indonesia (CPI), the largest oil producer in Indonesia, has submitted proposal to axe 1,200 people of its employees in stages as part of the company’s efficiency measures amid collapsing oil price.
The Head of SKK Migas Amien Sunaryadi told reporters Monday that there is indeed a plan by some production sharing contractors (PSCs) to lay off works triggered by falling oil price. And that this happens across the globe.
BP, for instance, has laid off some workers last year, but only small numbers, hence got little attention from media.
“The biggest numbers are being proposed by Chevron. The company proposed (to lay off) 1,200 employees,” he said after cabinet meeting on Monday.
He said workers are given option — asking them to resign voluntarily, then opting for early retirement and last option is laying off. The move, he said, is part of the company’s decision to reduce operational expenditures (opex). (*)