Exxon Mobil Corp said on Tuesday it will lay off about 2,000 employees globally, which is roughly 3% to 4% of its total workforce, as part of a long-term plan to make the company more efficient, Reuters reports.
In perspective, Exxon employed 61,000 people worldwide at the end of 2024. The company previously cut nearly 400 jobs in Texas after completing its $60 billion purchase of Pioneer Natural Resources last year.
The company explained that the job cuts are part of a broader effort to reorganize its operations and bring employees closer together. In a statement emailed to Reuters, Exxon said: “We’ve seen the value of bringing people together in the same location… we are aligning our global footprint with our operating model and bringing our teams together.”
In other words, Exxon wants to reduce overlapping roles and make its teams work more efficiently in fewer locations.
Exxon’s decision is part of a larger trend across the oil and gas industry. Falling oil prices and mergers between companies have led to thousands of job cuts this year.
According to Reuters, Chevron plans to reduce 15% to 20% of its global workforce, BP is cutting more than 5% of its staff, and ConocoPhillips expects to cut 20% to 25% of its employees. In Canada, a company in which Exxon is a major shareholder recently announced plans to lay off 20% of its workers and close operations in Calgary.
The job losses are not only affecting companies but also the wider U.S. labor market. In the first half of 2025, oil and gas production jobs in the United States fell by 4,700, according to Texas labor market data.
Activity in major oil-producing states such as Texas, Louisiana, and New Mexico also dropped slightly in the third quarter, as many companies delayed investments due to unpredictable oil prices.