A number of oil merchants in Saudi Aramco’s Houston workplace staged a quick walkout final week after receiving smaller bonuses than anticipated, in response to folks acquainted with the matter.
Whereas solely a handful of individuals walked off the job, discontent about dealer pay is roiling the corporate’s Houston crude desk, mentioned the folks, who requested to not be named discussing inner issues.
The dispute stems again to Aramco’s acquisition of Motiva Buying and selling final yr. On the time, merchants have been advised their compensation wouldn’t change materially below the brand new possession, mentioned the folks. However when bonuses paid out final month some merchants acquired far lower than they anticipated, the folks added.
- Advertisement -
Aramco, which has been increasing its buying and selling presence, declined to remark.
Bonuses have been a key level of rivalry for merchants at built-in oil corporations, reminiscent of Exxon Mobil Corp., that use buying and selling as a approach to bolster earnings across the property they personal. Aramco Buying and selling Americas, primarily based in Houston, was arrange final yr to deal with shopping for and promoting for the corporate’s oil-refining enterprise.
Service provider merchants reminiscent of Vitol and Trafigura, against this, require merchants to tackle a lot greater threat and supply them a major share of their e book as a bonus.
Aramco Buying and selling Americas is the only real provider and ‘offtaker’ of Motiva Enterprises, which owns one in all North America’s largest refineries with a crude refining capability of 630,000 barrels a day, producing client and business grade fuels and base oils.
