Chevron to Lay Off Up to 20% of its Global Workforce

Chevron has announced plans to reduce its global workforce by 15% to 20%—potentially affecting up to 9,000 employees—by the end of 2026 as part of a cost-cutting and business simplification strategy. This move is aimed at achieving $2–$3 billion in savings through measures such as leveraging technology, asset sales, and reorganizing work processes and locations.

“Chevron is taking action to simplify our organizational structure, execute faster and more effectively, and position the company for stronger long-term competitiveness," said Mark Nelson, vice chairman of Chevron, in a statement. "We do not take these actions lightly and will support our employees through the transition."

Employees have been offered buyouts through spring 2025, and the company plans to announce a new leadership structure soon. This restructuring comes amid broader industry trends of consolidation and operational efficiency,  despite rising production levels.

The company is also grappling with challenges like declining refining margins, delays in its Tengiz oilfield project in Kazakhstan, and legal disputes over its $53 billion acquisition of Hess Corporation, which is critical to Chevron’s long-term growth prospects in Guyana's lucrative oilfields. The Hess acquisition remains uncertain due to arbitration with Exxon Mobil over Hess's stake in Guyana’s Stabroek block. If unsuccessful, this would be Chevron’s second failed acquisition under CEO Mike Wirth, raising concerns about its declining oil and gas reserves.