Mexico’s state oil firm Petroleos Mexicanos is discussing plans to slash over 3,000 jobs in a proposed company restructuring that’s anticipated to save lots of the corporate tens of millions because the indebted driller and refiner tries to shore up its funds and increase manufacturing.
Pemex goals to chop as many as 3,114 tenured staff as half of a bigger restructuring push that’s anticipated to save lots of the corporate round 10.5 billion pesos ($540 million), in line with an organization doc dated April and seen by Bloomberg Information. The cuts would quantity to about 28% of the operational funds for tenured personnel this yr, the doc stated.
A Pemex spokesman declined to remark. An Power Ministry spokeswoman didn’t instantly reply to a request for remark. The doc didn’t specify the state of the discussions or whether or not the plan had been accepted.
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Whereas the financial savings quantity to only over 2 % of Pemex’s complete $22.75 billion working funds for 2025, the cuts assist shore up the corporate’s stability sheet because it seeks to dig itself out from underneath a greater than $100 billion debt burden and increase manufacturing.
The restructuring would switch 5.25 billion pesos from the corporate’s personnel funds to its exploration and manufacturing arm in a bid to spice up output, in line with the doc.
Pemex posted its fourth straight interval of damaging outcomes final quarter, and roughly $30 billion in losses final yr. Crude and condensate manufacturing has slumped to 1.62 million barrels per day, down 11 % from a yr earlier and close to a 40-year low, largely as a result of Mexico’s maturing oil fields.
The operation would additionally remove three sub-directorates with Pemex’s manufacturing arm, remove 9 administration areas and switch their remits into different departments, take away duplicate jobs and streamline decision-making, in line with the doc.
The staffing cuts are a blow to Pemex’s highly effective unions, which signify over 80 % of the corporate’s roughly 130,000 particular person workforce. The layoffs are additionally an about face in coverage for Pemex management, after President Claudia Sheinbaum stated in February the corporate wouldn’t minimize its staff.
Pemex’s complete monetary debt stood at $101 billion within the first three months of the yr. The corporate is working with the federal authorities to craft a fee plan for its roughly $18.7 billion in monetary debt maturing subsequent yr, firm officers stated within the firm’s newest earnings name.
Pemex bonds have been little modified after US buying and selling hours on Thursday. Firm notes due 2027 had closed 0.2 cents decrease at just below 99 cents on the greenback.
The doc was reported earlier by native newspaper Reforma.
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