Corporate Layoffs Continue – Disney, Royal Dutch Shell, and Continental next up

Article written by Tyler Durden

Ahead of the final jobs report before the November 3rd election, a growing number of industries across harder-hit industries are starting to announce layoffs in the thousands as PPP employment restrictions begin to expire and the financial toll of the pandemic continues to beat down on households and corporations alike.

This week, Royal Dutch Shell and Continental Airlines both announced restructuring plans which involve laying off tens of thousands of workers. On Monday, Disney announced its plan to lay off 28,000 workers as their parks remain closed, and their major film titles are forced online (and out of theatres).

Royal Dutch Shell, a supermajor, announced early this morning that it plans to cut 9,000 jobs, 10% of its workforce, as the oil market continues to tighten.

In a statement, Shell CEO Ben van Beurden said, “We have to be a simpler, more streamlined, more competitive organization that is more nimble and able to respond to customers.”

In terms of global oil production, there was a noticeable sharp drop in output to around 3.04 million barrels of oil equivalent per day due to the decline in demand because of the ongoing pandemic and a busy hurricane season in the US Gulf Coast that forced offshore platforms to halt operations.

The price of WTI continues to slump, down 0.27% at today’s close, just barely over $40.

Shell has announced plans to attain net-zero carbon emissions by 2050, as the company transitions to selling low-carbon electricity, low-carbon biofuels, and hydrogen.

Works Cited:

https://www.zerohedge.com/commodities/shell-dump-9000-jobs-amid-flurry-corporate-layoffs