Shell to cut 475 jobs in UK and Ireland as it continues to battle with fall in oil prices
Royal Dutch Shell will axe a further 2,200 jobs from its global workforce as it continues to grapple with lower oil prices.
The oil major said the move would mean 12,500 staff and contractor roles would be lost between the start of 2015 and the end of this year, up from its previous target of 10,300.
The firm, which sealed a £35bn takeover of BG Group in February, said the cost-cutting drive would include 475 jobs at its UK and Ireland upstream business.
But it said the net number of job losses in 2016 would be fewer than 5,000 as it expects to keep recruiting this year.
Paul Goodfellow, Shell's vice president for the UK and Ireland, said it had taken the steps because the market conditions remained "challenging".
He said: "Our integration with BG provides an opportunity to accelerate our performance in this 'lower for longer' environment.
"We need to reduce our cost base, improve production efficiency and have an organisation that best fits our combined portfolio and business plans."
Giving an update on the progress of its efficiency drive announced in 2015, Shell said it had finished cutting an initial 7,500 jobs and was "well under way" with plans to axe a further 2,800 roles following its tie-up with BG Group.
The move comes after it revealed earlier this month that it may close three offices, including the former BG Group headquarters at Thames Valley Park, Reading; BG's offices at Albyn Place, Aberdeen; and Shell's Brabazon House office in Manchester.