Shell will cut two hundred jobs related to sustainable energy. The oil and gas company will also reduce its activities in the field of light hydrogen vehicles. Instead, it wants to focus more on heavy transportation and industry.
Shell may later cut another 130 jobs. Those whose jobs disappear soon will likely be able to work elsewhere within the company. It is not yet possible to determine whether jobs will also disappear in the Netherlands, according to a Shell spokesman.
This intervention is consistent with the goal of new CEO Wael Sawan to increase Shell’s revenues. At the beginning of this year, Sawan succeeded Dutchman Ben van Beurden as CEO of Shell. Under Van Beurden, Shell has significantly expanded its green energy activities.
According to Sawan, the transition to sustainable energy sources is not happening fast enough to move away from oil and gas. That’s why Sawan will cut two hundred jobs in the so-called Low Carbon Solutions (LCS) division next year. This means that the workforce there will decrease by 15% at once.
The LCS division focuses on decarbonizing the transportation and industrial sectors. Shell managers had already organized several meetings with LCS staff last week where the plans were announced.
Shell still plans to invest between $10 billion and $15 billion between 2023 and 2025 to support the development of low-carbon energy solutions, according to the spokesman. This concerns, for example, biofuels, hydrogen and electric vehicle charging.
About 8,500 people work for Shell in the Netherlands. Worldwide, this concerns about 93,000 people.
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