Imperial Oil to cut workforce 20% by end of 2027

Calgary-based Imperial Oil had about 5,100 employees as of the end of 2024, according to a regulatory filing.

Imperial Oil Ltd. announced plans on Monday to lay off 20 per cent of the company’s employees by the end of 2027.

Imperial Oil had about 5,100 employees as of the end of 2024, according to a regulatory filing, but so far there’s no word on exactly how many people will lose their jobs or how the  company’s Canadian operations will be affected.

Imperial owns and operates the Kearl oil sands mine north of Fort McMurray and Cold Lake oil sands operation in northern Alberta, as well as a 25 per cent stake in the Syncrude Canada oil sands joint venture project.

In a news release that was long on corporate speak and short on specifics, the company said the restructuring plans are “consistent with Imperial’s strategy to maximize value, using technology and leveraging the company’s relationship with ExxonMobil.”

U.S.-based ExxonMobil has a majority ownership stake in the Calgary-based producer of crude oil, diluted bitumen, and natural gas.

Imperial expects the cost of the restructuring to total approximately $330 million before-tax in the third quarter of 2025. It also expects the changes to reduce annual expenses by about $150 million by 2028.

While the company did not say how many employees will lose their jobs, Imperial’s chairman, president and CEO John Whelan said “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.”

Alberta Opposition NDP leader Naheed Nenshi said the announcement is a significant blow to Calgary and Alberta’s economy at a time when the province has one of the highest unemployment rates in Canada.