{{
`${userDetail.user.displayName}${userDetail.user.cachedBungieGlobalDisplayNameCode ? `#${standardizeBungieGlobalCode(userDetail.user.cachedBungieGlobalDisplayNameCode)}` : ""}`}}
{{getUserClans()}}
11/30/2015 4:33:26 PM
8
If it stays this low, lots more people are going lose their jobs.
English
-
Wait.... How? Seriously I don't understand.
-
For example in Houston which has a lot of jobs in the oil industry. Because of the low prices thousands (I think it was more but not curtain) have already lost their jobs. And if it stays this high more will be laid off because it is cheaper to buy from the Middle East than to drill or keep up other sites. Hope this helps a bit.
-
It's garbage. Oil companies aren't hurting, they would rather just cut employees then see any dip in earnings. These companies were among the most powerful corps in this country when gas was this price before, they just got fat on the slop of 3$/gal and are sad it's gone.
-
I know someone who works at a oil company and you know what? They don't want to drop employees because then they will go find other jobs and when the oil prices rise again (and they will) they will have to hire new employees and train them because not all of the old employees will come back to a company that laid them off when things got tough. Also it's not greedy company's that would rather fire employees than have a "dip" on their earnings. At a oil company(not naming here) they have a "rainy day fund" for when things get tough so they [i]don't[/i] have to lay off employees. And they are digging deep to keep as many as possible so they won't have a skeletal crew when it gets busy again. Obviously you are not in the oil industry but look at the law of supply and demand. Right now there is a cheap price for a high demand item. If there is a high demand for cars lots of companies spring up and make a lot. When there isn't they slow down their production and prices. If there is still not a high demand they start to lay off workers. Still a low demand and they start to do whatever they can keep in business and if not they sell their stuff and go out of business. The same principle applies here as well. I know people who are are being affected by this and it is not just the people who are being affected the companies are also affected. And so they are doing what they can to stay in business. And if that means slowing production to a near standstill and laying off workers and losing profits to stay in business they are and will do so. So say this to my friends and family who are in the oil industry and tell them what you told me and they will educate you better than I could.
-
I live in Houston. Half my family is in oil and gas. I know this business through and through. Oil is going to stay down for a long time. China is transitioning from a production economy to a services economy so the demand for oil has cratered. Normally this would be propped up by a cut in production to normalize supply. However, the big players in OPEC are currently in a squabble with Russia so they are forcing the price down by maintaining production. Prices are going to remain low for a long time. US companies are in no danger though. But they are publicly traded companies that answer to shareholders. As such, they will gladly sacrifice every employee possible & their own future to keep the quarterly meeting in a cheerful place. http://oilprice.com/Energy/Energy-General/The-12-Highest-Paid-Oil-Gas-CEOs.html That list is a good indication why. These idiot companies generated predictions in profit based on the old prices. Now that they are down, they are scrambling to make up the difference. It has nothing to do with staying in business, and everything to do with maintaining the bubble they built on. Tldr: it's bullshit
-
Also http://fortune.com/2015/01/09/energy-companies-market-value/ [quote]Together, Exxon Mobil and Chevron has shaved more than $95 billion from their combined market value since last summer. It has been a pretty rough six-month stretch for the energy industry. Crude oil prices have fallen about 55% since the middle of last summer, resulting in some of the world’s largest energy companies losing hundreds of billions of dollars in market value. The price of crude oil has been relatively flat over the past two days, but it still sits below $50 per barrel — the lowest point in about 5 and 1/2 years — thanks to a global supply glut exacerbated by the ongoing U.S. shale boom as well as decreased oil consumption in Asia and Europe. As oil prices have steadily declined, so too have the share prices of many large energy companies. Out of 24 oil, gas and coal producers in the Fortune 500, 22 saw their stock price decline between the beginning of July 2014 and Wednesday’s close. In total, the 24 companies lost more than $263 billion in market value combined, according to data from FactSet Research Systems. (A company’s market value is found by multiplying its share price by the number of its shares outstanding.) Exxon Mobil XOM -2.53% and Chevron CVX -2.38% , the two largest U.S. energy companies, accounted for more than $95 billion of that figure as the two have seen their respective market values decrease by 11.7% and 17.9% in just over six months.[/quote] Good luck for the CEOs keeping their "high salaries" (And this was in January) http://www.motherjones.com/environment/2015/09/shell-arctic-oil-chevron-exxon-bp It's also getting more and more expensive to run a oil business. So they are not making the "big bucks" anymore[i]or[/i] in the future.
-
Explain then how come less and less companies are signing up to drill and maintain oil platforms and are breaking off the oil companies contracts as soon as they can? [b]That[/b] kills business.
-
Although it is nice to fill up my tank for cheaper. It is not good for those who now don't have a job or are at risk.
