Chevron to lay off 600 workers in California as it prepares corporate move to Houston
HOUSTON, Texas -- Chevron is in the process of laying off about 600 employees based in California as the company prepares to move corporate operations to the Houston area.
The video above is from the original report.
According to ABC13's news partners at the Houston Chronicle, the layoffs will affect several different departments.
The company plans to lay off about 15-20% of its workforce globally during the next two years as it restructures operations, and more cuts are likely in the near future.
READ MORE: Houston will soon be home to Chevron's headquarters, so how will this impact workers?
Officials with the company say they're making the move because Texas offers a more "business-friendly environment."
It currently has its biggest employee base in the U.S., with about 7,000 workers.
The Chronicle reports the initial rounds of cuts are scheduled to take place on June 1.
"Chevron is taking action to simplify our organizational structure, execute faster and more effectively, and position the company for stronger long-term competitiveness. This work includes optimizing the portfolio, leveraging technology to enhance productivity, and changing how and where work is performed, including the expanded use of global centers. We believe changes to the organizational structure will improve standardization, centralization, efficiency, and results, unlocking new growth potential and helping Chevron drive industry-leading performance now and into the future," the company said in a statement.
Editor's note: It was initially reported that 25% of the workforce would be cut, but that has since been corrected to 15-20% globally.
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