Eighty jobs are expected to be lost at Sullom Voe Terminal as EnQuest looks to cut around a quarter of its workforce at the North Mainland site.
Represenatives from EnQuest have arrived in the isles and are due to speak to staff today, it is understood. The company has confirmed to The Shetland Times that it is seeking to cut the workforce.
The oil company took over from BP at the beginning of 2017, ending BP’s long-standing association with the site.
Following the takeover, new managers had said they hoped to keep the terminal operating beyond 2030. It was always anticipated that jobs would be cut to reduce costs at the terminal.
In an official statement, EnQuest said: “As Operator of Sullom Voe Terminal, EnQuest is committed to maximising the economic life of the Terminal as a strategic piece of North Sea infrastructure supporting fields in both East and West of Shetland.
“We have announced changes to simplify the Organisation and to EnQuest employee terms and conditions of employment. These changes are essential if we are to make the terminal competitive to retain and win new business, to deliver the required level of service to our customers, and to help Maximise Economic Recovery in the UKCS.
“The organisational changes will require a reduction in the number of permanent positions by approximately 80 of which around 60 are EnQuest employees by year end. The aim is to minimise the risk of compulsory redundancies and a voluntary redundancy process is being offered for EnQuest employees.
“Since taking over operatorship of SVT, significant progress has been made at the Terminal. We have been greatly encouraged by the enthusiasm of the teams in terms of shaping the Terminal’s future so that we are competitive, are best-placed to maximise the life of the terminal, and support the future of the North Sea. We appreciate this is difficult for all those impacted, and we will endeavour to make sure that these proposed changes are completed as smoothly and fairly as possible.”