KUCHING, June 7 — Petronas’ move to trim its workforce stems from global challenges and is not linked to the national oil firm’s issues with Sarawak’s Petros.
Deputy Prime Minister Datuk Seri Fadillah Yusof said the restructuring is necessary amid the decline in crude oil prices.
“I’m planning a meeting with (Petronas) to get a briefing on the (restructuring) and to ensure the number of layoffs can be reduced, if not avoided,” he told reporters attending an Aidiladha event at the Taman Hussein Mosque here today.
On Thursday, Petronas president and CEO Tan Sri Tengku Muhammad Taufik Tengku Aziz said the national oil firm is cutting 10 per cent of its workforce in a so-called “right-sizing” effort amid falling crude prices.
Tengku Taufik said around 5,000 workers will be laid off.
Meanwhile, on May 21, the federal and Sarawak governments reached an understanding on matters involving Petronas and Petros.
According to the joint declaration, Petronas will continue its functions, activities, responsibilities and obligations entrusted to the company in Malaysia, under the Petroleum Development Act 1974 and its regulations.
Any agreements between Petronas and its subsidiaries with third parties for the purpose of liquefied natural gas (LNG) sales from upstream operations through to LNG exports to foreign parties remain unaffected.
A media statement by the Prime Minister’s Office following the joint declaration said federal and state laws relating to gas distribution in Sarawak are to coexist and be respected by all parties.
— Bernama
