Chevron Nigeria Limited (“CNL”), operator of the joint venture between the Nigerian National Petroleum Corporation (NNPC) and CNL (the “NNPC/CNL JV”) together with its affiliates, has confirmed that it is reviewing its manpower requirements in light of the changing business environment, while continuing to evaluate opportunities to improve capital efficiency and reduce operating costs.
Chevron, in a statement by the General Manager, Policy, Government and Public Affairs, Esimaje Brikinn, noted that in the process, the company would be streamlining its workforce and improving service delivery and overall performance at all levels.
BusinessDay had earlier reported that activities around the premises of Chevron Nigeria Limited, Ajah, Lagos, were on Friday morning disrupted as workers under the aegis of Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) staged a protest, accusing the oil company of planning to sack 600 Nigerians.
The workers had said the sack was being planned despite an earlier plea by the Federal Government to companies not to worsen the unemployment situation in the country which has been further aggravated by the devastating effects of the coronavirus on the economy. They also alleged that workers of the company have been locked out by the management “under the guise of Covid-19 restrictions”.
But Brikinn in the statement explained that the aim of the manpower review was to have a business that is competitive and have an appropriately sized organization with improved processes.
“This will increase efficiency and effectiveness, retain value, reduce cost, and generate more revenue for the Federal Government of Nigeria,” he said.
According to him, the new organizational structures will, unfortunately, require approximately 25 percent reduction in the workforce across the various levels of the organization.
“It is important to note that all our employees will retain their employment until the reorganization process is completed,” he noted.
He further said that CNL supports the Federal Government in its objectives and efforts to build a prosperous Nigeria, adding that in the area of employment generation, the company has several social investments which are helping to provide employment for thousands of Nigerians.
Brikinn clarified that there are no plans to migrate Nigerian jobs outside the country.
“We have prospects for our company in Nigeria; however, we must make the necessary adjustments in light of the prevailing business climate; and we need everyone’s support to get through these tough times stronger, more efficient and more profitable, in order to sustain the business,” he said.
He stated further that CNL is in alignment with both its Joint Venture partners, the NNPC, and the Department of Petroleum Resources (DPR) on this process.
“We are actively engaging our workforce to ensure they understand why this is being done. We will continue to consistently engage all relevant stakeholders, including the leadership of the employee unions as we continue this process of business optimization.
“At CNL, the welfare and safety of our workforce is one of our highest priorities. Making changes to the organization is never easy for anyone that will be impacted, but it is necessary to improve our ability to remain competitive in Nigeria. Reducing the cost and improving the efficiency of our operations is critical to generating more revenues for the Federal Government of Nigeria,” he said.
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