Houston-based Chevron Corp. has announced it will be laying off nearly 200 workers in the Permian Basin, rectifying earlier reports that suggested the figure would be closer to 800. The discrepancy was chalked up to a "data entry issue" with the Texas Workforce Commission (TWC), as originally reported on the Texas Workforce Commission’s website, as per a correction obtained by the KHOU. Layoffs will affect the workers at Chevron's Deauville Boulevard, North FM 1788, and South County Road locations in Midland County on July 15.
The initial confusion began when the Texas Workforce Commission's website listed 800 layoffs, a figure that was quickly adjusted to accurately reflect the 200 jobs in jeopardy. In a statement obtained by KHOU, Chevron reached out to "alert them to this error." The clarification comes after a series of cost-saving announcements from Chevron that includes plans to cut 15 to 20 percent of its global workforce by the end of 2026, amounting to potentially 9,000 employees companywide.
Drastic measures such as these are not unexpected, given that Chevron CEO Mike Wirth had previously announced the necessity for $3 billion in "structural" cost savings through asset sales, technological advancements, and workflow changes. The move also follows Chevron's decision last year to relocate its headquarters from California to Houston, emphasizing its commitment to growth within Texas, including the acquisition of 77 acres in the Bridgeland community of Cypress, as highlighted by a CHRON report.
Amidst this shuffle, Chevron released a statement, "On May 16, 2025, Chevron notified the Texas Workforce Commission (TWC) of its anticipated workforce reduction of approximately 200 employees in Midland, Texas, in accordance with the WARN Act." This was shared in the wake of a tough first quarter financially for Chevron, with earnings dipping to $3.5 billion from $5.5 billion the previous year due to various challenges including lower margins and unfavorable tax items, as per their reported figures. Despite these obstacles, the company nonetheless aims to place as many affected employees as possible in other roles and is offering severance pay and transition assistance, according to a statement provided to the KHOU.
