Title: Energy Minister Criticizes Imperial Oil's Layoff Plans

EDMONTON — Canada's Energy Minister Tim Hodgson expressed his disappointment regarding Imperial Oil's announcement to lay off approximately 20 percent of its workforce by 2027. Hodgson stated he is seeking to understand the factors behind the company's decision and emphasized that the government will look for ways to assist the affected workers.

"These are skilled, dedicated people who have greatly contributed to Alberta's energy sector and Canada's economy, and my thoughts are with them and their families as they receive this difficult news," Hodgson shared on social media.

Imperial Oil, based in Calgary, revealed on Monday that the layoffs are part of a larger restructuring initiative aimed at saving the company around $150 million annually. Company chairman John Whelan noted that the restructuring and layoffs are necessary for Imperial to continue providing returns and value for its shareholders.

"We recognize the considerable impact this restructuring will have on our employees and their families. We are deeply committed to supporting our employees through this transition," Whelan stated.

The restructuring will also involve consolidating operations at Imperial's sites in Alberta. According to data from LSEG Data and Analytics, the layoffs could affect about 1,000 jobs, based on an employee count of 5,100 as of December 31, 2024.

In August, Imperial reported total revenue and other income of $11.23 billion for the second quarter, a decrease from $13.38 billion during the same period the previous year. Hodgson reiterated his commitment to ensuring the prosperity of energy companies like Imperial as the government strives to position Canada as an "energy superpower."

"We are taking steps today to ensure the Canadian energy sector will continue to provide careers and prosperity for generations to come," he added.

Alberta's Opposition NDP leader Naheed Nenshi criticized the company's plan, calling it a "significant blow to Calgary and Alberta's economy." Nenshi urged Premier Danielle Smith to create a strategy to retain well-paying jobs in the province, especially given Alberta's high unemployment rate.

This report highlights the ongoing challenges in the energy sector and the impact of corporate decisions on local economies and employment.