Oil giant Chevron is laying off almost 800 workers in the Permian Basin, according to a notice to the Texas Workforce Commission.
The Midland County job cuts arrive after Chevron shared plans to jettison 15 to 20 percent of its global workforce by the end of 2026. An initial round of 600 cuts in California are scheduled to take place on June 1. Now, the Texas layoffs will affect workers at Chevron's biggest U.S. production operation. Notices list the layoff date for the Texas workers as July 15.
Chevron has been hinting at the coming job cuts. Last year, CEO Mike Wirth indicated job cuts could happen as part of an aim to bring $3 billion in "structural" cost savings. Wirth noted the savings could come from asset sales, using new technology and workflow changes.
Chevron did previously see opportunity for growth in Texas. In August, the energy giant announced plans to relocate its headquarters from California to Houston, where it has a team totaling 7,000. In 2023, Chevron bought 77 acres in a community in Cypress known as Bridgeland, mentioning at the time that it was considering a possible research and development campus in the area.
But lately, Chevron has faced financial pressure. A key license to operate in Venezuela was revoked by President Donald Trump's administration in March. Chevron is also waiting to complete an acquisition of oil and natural gas company Hess as an arbitration panel deliberates a dispute over the $53 billion deal.
Chevron recently reported earnings of $3.5 billion for the first quarter of 2025, compared with $5.5 billion in the first quarter of 2024. The company cited lower margins on refined product sales, unfavorable swings in tax items and foreign exchange effects and lower realizations as some of the reasons for its decrease in earnings.
Still, the company has noted some success this past quarter; Chevron pointed to Permian Basin production growing as an example of its gains, along with selling a majority interest in its East Texas gas assets.
© 2025 the Houston Chronicle. Visit www.chron.com. Distributed by Tribune Content Agency, LLC.
