Log in
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Dynamic quotes 
News: Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

Angst at Exxon as managers begin employee performance reviews

06/21/2021 | 07:22pm EDT
FILE PHOTO: Logo of the Exxon Mobil Corp is seen at the Rio Oil and Gas Expo and Conference in Rio de Janeiro

HOUSTON/BENGALURU (Reuters) -Top U.S. oil producer Exxon Mobil Corp has kicked off a yearly performance review for U.S. staff, a process some workers dread because they view it this year as a prelude to stealth layoffs.

The evaluations are expected to assign about 5% to 10% of the workforce to performance improvement plans that can lead to forced departures for those unable to achieve managers' goals, according to a person familiar with the process.

Exxon last year targeted 8% of U.S. employees as low performers - up from 3% historically.

The assessments are expected to continue into July and have been a mainstay "for several years" and are "entirely unrelated to any workforce reduction plans," spokesperson Casey Norton said.

This year's reviews are expected to rank at least 5% of its U.S. research and engineering employees at the lowest performance tier, according to internal Exxon documents seen by Reuters.

U.S. employees who land in the bottom tier can survive the cut by improving their performance. The company estimated 60% of those that are low-ranked will leave, according to the documents.

The evaluations come at a time Exxon is revamping operations to fit into a sharply reduced capital spending budget. An activist hedge fund that proposed to cut expenditures and improve returns won a quarter of board seats last month.

Exxon had around 72,000 regular employees as of end-2020. It last year disclosed plans to reduce its global workforce by 14,000 by the end of 2021.

Exxon's historic $22.4 billion loss last year led the company to slash project spending by a third and delay major expansion programs. At the same time, it added $21 billion to debt to help preserve its shareholder dividend.

Employee benefits like contributions to retirement plans also were axed last fall, though Chief Executive Darren Woods has told employees the company expects to restore them in the future.

(Reporting by Jennifer Hiller in Houston and Shariq Khan in Bengaluru;Editing by Vinay Dwivedi and Lincoln Feast.)

By Jennifer Hiller and Shariq Khan

ę Reuters 2021
Latest news "Economy & Forex"
03:37pSoybeans rise for second day after U.S. crop conditions report
03:28pU.s. cdc says 163,312,474 individuals have been fully vaccinated against covid-19 as of july 27 vs 163,173,366 individuals as of july 26
03:28pU.s. cdc says 188,996,475 individuals have received at least one dose of covid-19 vaccine as of july 27 vs 188,729,282 individuals as of july 26
03:28pU.s. cdc says administered 342,607,540 doses of covid-19 vaccine as of july 27 vs 342,212,051 doses administered as of july 26
03:28pU.s. cdc says delivered 395,460,845 doses of covid-19 vaccine as of july 27 vs 394,949,575 doses delivered as of july 26
03:23pInternational investor concerns mount over China's tech rout
03:11pWall St drops as caution rises before big tech earnings, Fed
03:08pOil prices steady as virus spread counters tight supplies
03:05pWall St drops as caution rises before big tech earnings, Fed
03:04pWorld stocks wobble on China, U.S. real yields slip before Fed meet
Latest news "Economy & Forex"