Chevron Trims Workforce as Part of Restructuring Plan

Oil giant aims to cut 15-20% of global staff by 2026 as it shifts headquarters to Houston

Mar. 13, 2026 at 11:36am

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Chevron Corporation, one of the world's largest energy companies, has announced plans to reduce its global workforce by 15-20% by the end of 2026 as part of a company-wide restructuring effort. The layoffs, which could total up to 9,000 jobs, are aimed at improving efficiency, simplifying the organizational structure, and reducing costs by $3 billion. The oil giant, which employed 39,742 people worldwide as of 2024, has also relocated its corporate headquarters from San Ramon, California to Houston, Texas, where it now has around 7,000 employees.

Why it matters

Chevron's workforce reduction and headquarters move to Houston reflect the ongoing challenges facing the oil and gas industry, including stricter environmental regulations, volatile commodity prices, and the need to adapt to changing market conditions. The layoffs will have a significant impact on Chevron's employees and the communities where the company operates, highlighting the broader economic shifts occurring in the energy sector.

The details

Chevron announced the planned workforce reduction on February 12, 2025, as part of a broader restructuring effort to improve the company's long-term competitiveness. The layoffs will affect employees across Chevron's global operations, including corporate workers, technicians, and engineers. In addition to the job cuts, Chevron also relocated its headquarters from San Ramon, California to Houston, Texas in 2024, consolidating around 7,000 employees in the Houston area. This move was driven in part by stricter energy regulations in California, particularly around greenhouse gas emissions.

  • Chevron employed 39,742 people worldwide as of December 31, 2024.
  • On February 12, 2025, Chevron announced plans to reduce its workforce by 15% to 20% by the end of 2026.
  • In 2024, Chevron relocated its headquarters from San Ramon, California to Houston, Texas.
  • Following Chevron's acquisition of Hess Corp. in July 2025, a combined total of 575 Chevron employees in Houston and North Dakota lost their jobs.

The players

Chevron Corporation

A major global energy company involved in oil and gas exploration, production, refining, and marketing, with a presence in 51 countries across six continents.

Mark Nelson

Chevron Vice Chairman, who stated that the workforce reduction is part of the company's efforts to improve long-term competitiveness.

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What they’re saying

“Responsible leadership requires taking these steps to improve the long-term competitiveness of our company for our people, our shareholders and our communities.”

— Mark Nelson, Chevron Vice Chairman (CNBC)

“As part of the integration, we will consolidate or eliminate some positions … These are difficult decisions which we do not make lightly.”

— Chevron (KTRK News)

What’s next

Chevron has not provided specific details on the timeline or process for the planned workforce reductions, but the company has stated that it will offer severance benefits and outplacement support to laid-off workers.

The takeaway

Chevron's workforce reduction and headquarters move to Houston underscore the ongoing challenges facing the oil and gas industry, as companies seek to adapt to stricter environmental regulations, volatile commodity prices, and changing market dynamics. The layoffs will have a significant impact on Chevron's employees and the communities where the company operates, highlighting the broader economic shifts occurring in the energy sector.