Chevron to Lay Off 799 in Texas Amid 20% Workforce Cuts by 2026

Chevron Corporation will lay off 799 employees in Midland County, Texas, effective July 15, according to a notice filed with the Texas Workforce Commission. The affected positions are in the Permian Basin,a key hub for Chevron’s US oil production.

The layoffs are part of Chevron’s global workforce reduction plan announced in February, targeting a 20% headcount reduction by the end of 2026. The initiative aims to achieve cost savings and operational efficiencies as part of the company’s long-term restructuring strategy. Separately, Chevron announced in March plans to lay off at least 600 employees in California, with those job cuts effective June 1.

Chevron is also facing significant regulatory and legal challenges. In March, the US government revoked Chevron’s license to operate in Venezuela, halting its oil extraction and export activities in the region. Before the revocation, Chevron had exported up to 290,000 barrels per day, accounting for roughly one-third of Venezuela’s total oil exports.

Additionally, the company’s proposed US$53 billion acquisition of Hess Corporation remains uncertain. Despite approval from Hess shareholders and the Federal Trade Commission, a dispute with ExxonMobil over the Stabroek Block offshore Guyana has delayed the deal. Exxon has initiated arbitration, claiming the right to reclaim Hess’s 30% stake in the block if the company is sold, a claim Chevron disputes.

Chevron’s ongoing corporate realignment includes its relocation from California to Texas. In August 2024, the company officially moved its headquarters from San Ramon, California, to Houston, citing operational advantages. This move follows a climate-related lawsuit filed by the State of California, which alleges Chevron misled the public about the environmental impact of its activities.