LONDON--Royal Dutch Shell PLC plans at least another 2,200 job cuts this year in the face of low oil prices while integrating its recent acquisition of BG Group.
The Anglo-Dutch oil giant had made it clear it would slash thousands of jobs in the wake of its roughly $50 billion takeover of BG. The latest round of cuts announced on Wednesday would bring the total number cut this year to "at least" 5,000 globally. In the U.K. and Ireland, the company plans to reduce staff working in exploration and production by 475.
Shell is just one of many oil companies trying to reduce costs fast to combat a dramatic slump in oil prices over the past two years. Across the industry, companies have slashed billions from their spending plans and fired thousands of employees to manage the sharp market downturn amid a global glut of crude.
"These are tough times for our industry and we have to take further difficult decisions to ensure Shell remains competitive through the current, prolonged downturn," said Paul Goodfellow, Shell Vice President for the U.K. and Ireland in an emailed statement.
"We need to reduce our cost base, improve production efficiency and have an organisation that best fits our combined portfolio and business plans," Mr. Goodfellow said.
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