Imperial Oil Canada plans to reduce its workforce by 20% by the end of 2027

Imperial Oil Canada announced on Monday that it will reduce its workforce by 20% by the year 2027. This is part of a major reorganization designed to cut costs through centralizing and consolidating operations in specific locations. Imperial Oil, which is owned by the top U.S. oil company Exxon Mobil and had approximately 5,100 employees at the end of 2024 according to a filing with regulatory authorities, has been undergoing a major restructuring. Global crude oil prices have fallen this year as a result of increased production from the OPEC+ oil producer group and uncertainty over trade policies. ConocoPhillips, SLB and other U.S. oil companies have announced their own job cuts. Imperial expects to reduce costs by C$150m ($107.81m) annually as a result. The restructuring will also leverage the relationship between the company and Exxon, while maximizing technology.

Imperial announced that it would consolidate more operations to its operating locations and centralize corporate and technical functions in "global technology and business centres". Imperial operates Cold Lake and Kearl oil-sands operations in northern Alberta, and owns a 25% stake of the Syncrude Canada joint venture oil sands project. It is Canada's biggest petroleum refiner with two refineries in Ontario and one in Alberta, near Edmonton.

Imperial's headquarters are in Calgary where most of Canada's oil-and-gas industry is located. The company didn't immediately respond to a comment request on the implications of the announcement for its Calgary head office which was opened in 2016 with the intention to house up to 3,00 people. The company announced that it would take a restructuring charge in the amount of C$330,000,000 before taxes, during the third quarter 2025. Imperial's 2025 forecasts remained unchanged, and the company is well positioned to achieve or exceed its medium-term targets for Kearl oil sands and Cold Lake.

(source: Reuters)