The South African petrochemicals producer says it’s started consultations with workers on possible retrenchments as part of what will result in two core businesses.
Sasol 2.0 would focus on its core portfolio of chemicals and energy businesses, it said in a statement. A planned review process could impact jobs, with unions already invited for consultations. It will also discontinue all oil activities in West Africa.
“The redesign of the organisation to enable our sustainability at lower oil prices will have an impact on our workforce structure,” it added.
Sasol update on response to oil price volatility and COVID-19 pandemic https://t.co/DjQ5xBAb1O
— Sasol (@SasolSA) June 18, 2020
The petrochemicals firm said its chemicals business would focus on activities in specialty chemicals, where it had differentiated capabilities and a strong market positions which could be expanded over time. The energy portfolio will include its southern African value chain and associated assets.
Sasol has been reviewing its business as it struggles with high debt levels, falling oil and chemical prices and lower global demand due to the COVID-19 pandemic.
Sasol said that the revamp would affect its workforce but did not say how many jobs might be lost.
