Chevron on Wednesday announced it will lay off 15-20% of its global workforce in an effort to reduce costs by up to $3 billion. Chevron expects to complete most of the cuts by the end of 2026.

Chevron will lay off 15% to 20% of its global workforce, the U.S. oil company said on Wednesday during an internal employee townhall meeting, according to a source familiar with the matter.

Chevron says it plans to cut its workforce up to 20%, as part of an effort to reduce costs up to $3 billion by the end of 2026. The Houston-based oil company had almost 40,000 employees worldwide at the end of 2024,