Energy Management Corp. to cut more than 4,000 jobs in the United States
The energy management company said Tuesday it will cut 2,700 jobs worldwide and lay off about 1,600 workers in the U.S. as part of a plan to close the company’s U.K. operations.
The move, announced Tuesday by Energy Management, follows the release of a new report showing that the U,S.
energy sector lost more than 5 million jobs in 2017, a loss of 17 percent over the year.
More: The company also said it would slash about 1.3 million jobs globally, including more than 2 million in the European Union.
Energy Management is a subsidiary of the American Petroleum Institute, a trade group that has been critical of President Donald Trump’s energy policies.
“We are committed to delivering on our business objectives and investing in the long-term and to improving our operations and the company,” CEO Mike Smith said in a statement.
It will not be easy to manage our rapidly changing energy needs, but we are committed and prepared to achieve our objectives and achieve greater value for our shareholders,” Smith said.
Trump’s energy agenda has been a key target of some industry groups, including the American Fuel & Petrochemical Manufacturers, the American Gas Association, and the National Association of Manufacturers.
Earlier this year, Energy Management CEO Greg Williams told CNBC that the company had reached a deal to acquire a smaller European unit of American Petroleum, which would make it easier for the company to sell its energy assets.
Smith said Tuesday that American Petroleum would retain a stake in the company and would invest in its U.N. operations, which it has been unable to do in the past.
At least two other companies are also being looked at to help cut costs, Smith said, but the announcement was not related to those.
He said Energy Management’s business would continue to be focused on domestic energy production, and that the deal with American Petroleum was “part of that strategy.”
Smith also said the company would make a strategic investment in the future in a new nuclear reactor in France.
A spokesman for American Petroleum said the merger is “expected to result in substantial synergies” for the two companies and that it was working with Energy Management to “reduce costs and achieve lower operating costs.”