Petronas prioritises employee welfare amid strategic workforce rightsizing

KUALA LUMPUR: Petroliam Nasional Bhd (PETRONAS) remains committed to safeguarding employee welfare amid a global polycrisis and mounting challenges in maximising the country’s oil and gas potential.

The national oil company announced plans for workforce adjustments, estimating a 10% reduction as part of a group-wide restructuring to cut costs amid falling crude prices and continued market volatility impacting its profitability.

In a statement, PETRONAS said it has established a Transition Council and People Development Committees to oversee talent mapping and placement decisions. These decisions are made collectively through structured platforms, in accordance with legal requirements and established industrial relations practices.

Engagements have been conducted with the respective Department of Labour and Department of Industrial Relations under the Ministry of Human Resources to ensure the planned implementation meets the statutory requirements.

Beyond financial support, affected employees will also receive career coaching and job search assistance, emotional support services, access to a medical assistance programme, opportunities for upskilling and reskilling, as well as financial planning guidance.

It is also collaborating with the Social Security Organisation through MyFutureJobs to explore placement opportunities for eligible affected employees in other sectors.

“PETRONAS is also working closely with various government-linked companies to facilitate potential placements within their organisations. Additionally, the company’s Entrepreneurship Programme, run by PETRONAS Innovation Garage, offers a guided pathway into business ownership for those exploring alternative career paths,” it said.

“This transformation is designed to enhance PETRONAS’ resilience and competitiveness in the face of a challenging energy transition. It also aims to ensure the company remains relevant in a rapidly evolving landscape, while enabling continued growth through focused investments and the development of a high-performing, value-driven workforce,” it added.