Exxon Oil Firm Considers Global Job Cuts After Australia

Exxon jobs worldwide are in talks for cuts as part of the firm’s effort to curb the pandemic’s effects on the bleeding oil industry.

In fact, Exxon Mobil previously announced its voluntary redundancy program. It will take effect in several Australian states due to slumping demand in the critical market.

Today, it further plans to advance and include job cuts in its global operations.

As part of the cost-cutting measures, Exxon oil slashed 30% translating to $23 billion in capital spending.

It plans to extend that further to involve operation expenses cuts to achieve its 8% target dividend for its shareholders despite the billion-dollar forecasted quarterly loss.

The slash is necessary to achieve the right-size business, which will make the oil company more robust in the future, its spokesman noted.

The motion is currently under the early phase of the study. Additionally, it is premature to calculate how many people will be forgone in other countries.

Should You Sell Your Exxon Stocks Now?

This year, shares in Exxon Mobil plummeted to $40/share, translating to a 42% fall year-on-year.

Analysts from Goldman Sachs note that as the oil price currently tumbles at an uncertain threshold, it is better to sell Exxon stocks.

Among other global oil frontrunners, the financial services company added that the Exxon oil stalls behind Chevron both in total and per barrel price.

As if to add an insult to the severe injury, the oil company made an unprecedented exit from the Dow. Thus, it was replaced by technology and pharmaceutical businesses. This drove its stocks further down on the after-hour trading session.

Oil price continues to pose a risk to the future of the oil industry. Exxon oil is the latest crude frontrunner to slash many jobs after experiencing higher-than-expected demand stagnation following COVID-19.