UPDATE: Gov. Fallin released a statement on the Chesapeake Energy layoffs. Below is that statement:
“Today is a difficult day for Chesapeake and for the hundreds of workers who have been released. Our hearts go out to them and their families. It is my hope these men and women – all of whom are skilled, hard-working professionals – choose to stay in Oklahoma. We have a strong, vibrant energy sector, and there are many other companies that may be able to offer employment to former Chesapeake employees.
“I would also encourage anyone who has recently left Chesapeake to submit their resumes to OkJobMatch.com, an online tool for employers and employees looking to match skill sets with job openings across the state.
“Moving forward, we know that Chesapeake isn’t going anywhere. Mr. Lawler (President and CEO) has told me the company plans to keep its corporate headquarters in Oklahoma and does not have plans for any more layoffs. I appreciate Chesapeake’s commitment to the state of Oklahoma and its significant contribution to our economy and our community.”
Governor Mary Fallin
OKLAHOMA CITY – After a local energy company announced that it would be implementing a “new organizational structure” last month, we’ve learned that hundreds of employees were laid off on Tuesday.
Chesapeake Energy laid off 640 workers at the Oklahoma City campus on Tuesday.
In addition to the employees laid off locally, 160 others were let go by the company across the country.
This is the latest round of layoffs for the company.
Two weeks ago, Chesapeake announced that it was laying off 86 employees at the Oklahoma City campus.
A statement, released by Chesapeake Energy’s new CEO Doug Lawler, said, “By scaling E&P support services, reducing management layers, and aligning resources with a sharpened focus on accountability and efficiency, we have created a business built to deliver a sustainable and profitable future. As a result of the restructuring, approximately 800 employees – in various groups including Land, Operations, IT, HR, Legal, Facilities, A&D, Finance and Accounting – were informed today that they will be leaving the company. “
The statement went on to read, “We are grateful for the contributions of each employee impacted by the work force reduction. It was important to me that we took careful, diligent steps to evaluate our organization and to make sure each affected employee was treated with dignity and respect.”
The company says all eligible employees were offered a severance package, which included three months’ pay, full acceleration of equity, a lump sum COBRA payment and outplacement services.
Last month, Lawler sent a letter to employees, saying all positions would be evaluated over the next few months.
He said the review would be finished by November but announced Tuesday that it has concluded and the “initial transformation work is finished.”
Despite the layoffs, the company still employees around 6,000 people in Oklahoma, including 3,500 workers in Oklahoma City.