An oil company is closing its long-standing Calgary office and consolidating its employees in the U.S. “in recognition of the extraordinary drop in crude oil prices.”
According to a news release, Murphy Oil Corp. is closing its 110-employee Calgary office and consolidating its workforce at its Houston office, which will become its new corporate headquarters. It is also closing its current headquarters in El Dorado, Ark., as part of the move.
The company said in the news release that despite reducing costs significantly over the past few months — including reducing this year’s capital expenditure by $700 million, lowering the company’s dividend by $76.5 million on an annualized basis and lowering executive salaries by 22 per cent — the move was necessary to further reduce expenditures.
“We simply do not have a choice and came to this decision only after exhausting all other cost-saving measures,” board chair Claiborne P. Deming said in the news release.
“The company recognizes the hardship this decision causes to many in El Dorado and Calgary, and we are committed to treating all those impacted consistent with past practices and plan to offer appropriate severance arrangements,” president and chief executive Roger W. Jenkins said in the news release.
The news release doesn’t say how many jobs will be lost in the workforce consolidation. The company expects to complete the closure of the Calgary office by the third quarter of this year.
You can read more of the news on source