BP one of the biggest virus casualties

JOHANNESBURG – Global oil giant BP has become one of the biggest casualties of the coronavirus pandemic after the worldwide slowdown in oil production hit its production lines, telling its employees yesterday that it had begun a process to reduce its workforce by 14percent – amounting to 10000 employees – to cut costs.

BP chief executive Bernard Looney said the group planned to reduce its head count in order to achieve a leaner, faster-moving and lower-carbon company, but Covid-19 and the oil price slump have forced it to fast-track the decision in order to reduce its losses.

Looney said the decision would not affect petrol attendants.

He said the group spent much more than it made on a daily basis since the outbreak of the pandemic and its net debt rose by $6billion (R100.73bn) in the first quarter.

Looney said BP was working on cutting its capital expenditure by 25percent this year – which was a reduction of about $3bn.