A week after Halliburton announced the company is making job cuts, its pending partner Baker Hughes has followed suit. The Houston-based company announced in a statement that it will be cutting about 7,000 jobs globally as a result of falling oil prices, despite record profits in the fourth quarter 2014. The 7,000 jobs eliminated account for 11 percent of the company’s 60,000 employees. In the Houston area alone, Baker Hughes employs about 8,000 workers.
According to a statement released by Baker Hughes:
“Oil and gas market conditions have become increasingly challenging. In order to remain competitive in this environment, Baker Hughes is making the very difficult business decision to reduce workforce and spending company-wide. All impacted employees will be eligible for severance packages. Even as we take these difficult but necessary steps, we remain focused on customers and have plans in place to ensure that we maintain high quality service levels.”
As stated earlier, Baker Hughes’ announcement comes after Halliburton announced it is cutting at least 1,000 jobs in the eastern hemisphere this year. Also, Houston-based companies such as Apache, Schlumberger and Yates Petroleum have all announced job cuts within the past week.
You can read the full story in the Houston Business Journal by clicking here.