Shell job losses: Oil firm axes 180 staff in north-east Scotland

Published on Wednesday 23 April 2008 11:14

SHELL today announced it is to cut 180 jobs in its North Sea operations.

Staff in Aberdeen were being told of the redundancies this morning by Shell Europe's vice president of exploration Tom Botts.

Shell said the cuts – which affect office-based posts only – will be made over the next three years in order to improve efficiency.

The company currently employs about 2,500 people in Aberdeen.

Last June Shell put part of its North Sea operation up for sale and abandoned plans for a 25 million headquarters in Aberdeen.

The company said today's announcement, which followed a cost and efficiency study, would help to secure its long term competitive future in the UK.

But Graham Tran, regional officer with the Amicus arm of the Unite union, questioned Shell's commitment to the North Sea and its treatment of staff.

He said: "We as a union are totally vindicated in the position we have adopted over the years that Shell is not committed to the North Sea or the UK.

"After its announcement last year to sell off assets in the North Sea, this is becoming an annual event.

"We have spoken to a number of our members this morning, and they are not happy about learning about this at their breakfast tables.

"I want Shell to ensure a robust programme is in place for these people to find employment elsewhere in the North Sea."

Shell said market pressures had led to costs in some areas rising by 50% to 60% in the last three years, and the company had to take steps to remain competitive.

John Gallagher, vice president technical, said: "The organisational changes announced today will better position Shell to focus on our strengths.

"We will bring our advanced technology into play and better deliver competitive projects in the North Sea like the new Caravel and Shamrock developments that we are just bringing on stream."