Home » UK Employment news » Shell CEO to cut up to 200 jobs in low-carbon division
Shell CEO to cut up to 200 jobs in low-carbon division
https://www.whatjobs.com/news/united-kingdom/uk-employment-news/shell-ceo-to-cut-up-to-200-jobs-in-low-carbon-division
By Nithya Bose in UK Employment news, posted October 26, 2023
Shell will axe almost 200 jobs in its low-carbon division.
The cuts likely in the coming year plan to boost the company’s profits.
This move follows new CEO Wael Sawan's commitment to refocus Shell on high-profit oil projects and expanding its gas business when he assumed the CEO role in January.
Read More: Barclays Could Cut Jobs Amid Investment Banking Slowdown
Last week, Shell managers reportedly informed staff in the low-carbon unit about the potential terminations of a further 130 roles from the business unit.
It amounts to a 25 percent reduction in the low-carbon solutions team.
Some affected staff will be reassigned to other parts of the company, which employs 90,000 people across 70 countries.
The low-carbon team primarily concentrates on the transport and heavy industry sectors, not including employees in Shell's renewable power business.
Read More: British Steel Owner Could Cut About 2,000 Jobs
The upcoming job losses would hit staff working on solutions for hydrogen-powered light vehicles.
Despite being an early adopter of hydrogen technology, it has lost favour due to the growing popularity of electric vehicles.
The division also covers carbon capture and storage and nature-based businesses, which will reportedly remain unaffected by the current wave of layoffs.
Shell will invest in "viable low-carbon business models"
Shell has affirmed its commitment to investing in "viable low-carbon business models."
Mr Sawan has promised to expand Shell's gas business.
Need Career Advice? Get employment skills advice at all levels of your career
However, climate experts warn the new oil and gas projects are incongruent to limit global temperatures to within two degrees Celsius of pre-industrial levels.
These plans have sparked outrage among climate activists and even Shell employees.
Two of its staff authored an open letter imploring Sawan not to diminish investments in renewable energy.
A Shell spokesperson said the cuts are part of the company's initiative to "generate more value with fewer emissions."
The person said the firm focuses on "performance, discipline, and simplification."
Follow us on YouTube, Twitter, LinkedIn, and Facebook.
