Oil giant BP is poised to axe a swathe of middle managers as it attempts to budget for the plummeting price of oil.
The company, which has an 84,000-strong workforce, is expected to reveal it will step up its two-year-old restructuring programme in a presentation to the City on Wednesday, The Sunday Times reported.
The price of Brent crude has fallen by 35 per cent since the summer and dipped below $70 last week after a supply glut led to plunging prices.
BP’s finance director, Brian Gilvary, said it is reducing the number of managers across all “layers above operations”.
The low oil price hit its first major deal last week when the explorer Dragon Oil abandoned its £492m takeover bid for rival Petroceltic.
BP is also expected to reveal its exploration and production strategy until 2020, but does not expect oil prices to impact long-term plans.Reuse content