AM I NEXT? IS THE HANDWRITING ON THE WALL AT PHILLIPS 66? (10/20/24)

Am I Next? Is the handwriting on the wall at Phillips 66?

OCTOBER 20, 2024 —THE COMPANY PLANS TO CLOSE THE WILMINGTON REFINERY. 900 JOBS AT RISK

Phillips 66 announced it will close the twin refinery complex in Wilmington and Carson, California, by the end of 2025. The complex produces about 8% of the state’s gasoline.

About 600 employees and 300 contractors operate the refinery, producing diesel and jet fuel.

Chairman and CEO Mark Lashier noted, “Phillips 66 remains committed to serving California and will continue to take the necessary steps to meet our commercial and customer demands. We understand this decision impacts our employees, contractors, and the broader community. We will work to help and support them through this transition.”

AUGUST 7, 2024 — MORE CUTS COMING

A company spokesperson confirmed that "Phillips 66 continues to look for ways to position our organization to help advance its strategic priorities and enable more efficient ways of working. As a result, some positions are being eliminated."

The latest round of layoffs will affect less than 1% of the company's employees across several locations.

AUGUST 17, 2023 — 100 EMPLOYEES BARTLESVILLE, OKLAHOMA

Approximately 100 finance and procurement employees are targeted for layoffs in its Bartlesville, Oklahoma Business Operations and Innovation Center as its reorganization plan continues to be implemented.

The company is also shifting roles for about 430 employees and contractors.

Look for additional layoffs involving 175 employees and 100 contractors.

NOVEMBER 29, 2021 — FIRST MAJOR LAYOFFS ANNOUNCED. 450 EMPLOYEES IMPACTED.

The company has confirmed permanent layoffs will begin on January 7, 2022, or within 14 days of that date. 470 employees will be impacted.

The 50-year-old refinery was severely damaged by flooding during Hurricane Ida in August 2021, and will be re-purposed into an oil storage terminal as the refinery is too expensive to repair and restart.

According to the Chairman and CEO of Phillips 66, Greg Garland, “Our decision was a difficult one, and we understand it has a profound impact on our employees, contractors, and the broader Belle Chasse community.”

NOVEMBER 8, 2021 — ALLIANCE REFINERY SHUTDOWN IN BELLE CHASSE, LOUISIANA WITH 900 LAYOFFS.

The company has reaffirmed its plans to shut down its Alliance Refinery in Belle Chasse, Louisiana, and convert it into a storage terminal. The shutdown would impact as many as 900 individuals, including 500 employees and 400 contractors.

The decision was driven by a study that noted “extensive damage caused by Hurricane Ida meant that it was too expensive to repair and restart. We made this decision after exploring several options and considering the investment needed to repair the refinery following Hurricane Ida, Our decision was a difficult one, and we understand it has a profound impact on our employees, contractors, and the broader Belle Chasse community."

MARCH 3, 2021 — 75 LAYOFFS IN BARTLESVILLE, OKLAHOMA

The company has announced outsourcing procurement and finance division operations to a third-party vendor. The transition will impact 75 employees. Additionally, the company will redeploy 60 employees and 15 contractors to other positions as well as eliminate additional employees.

According to a company spokesperson, “It is normal practice to assess our operating model to deliver more agile, efficient and smart ways of working. The move will allow us to streamline business operations, increase efficiencies and accelerate innovation."

AUGUST 28, 2020 — Original blog post…

Houston, Texas-based Phillips 66, a major oil, gas, and energy company, has announced plans to close its Nipomo Mesa Refinery near Santa Maria, California in 2023. Oil pipelines servicing the area will be phased out commencing in 2024.

Approximately 110 employees and 50 contract workers are at the facility.

According to a company spokesperson, "The Santa Maria Refinery Complex will be idled and shut down. The equipment will be dismantled and removed from the property. We will assess the property and make a final decision for the land at a later time. The refinery is being closed because of the economic climate in the state, where the push is toward renewable energy. The current configuration of the refinery is not economically viable to continue its production of traditional fossil fuel products.”

It is likely that the State of California may demand extensive mitigation of oil-soaked grounds. While this is a marginal refinery, no new refinery capacity has come on-line in California in decades, making Californians susceptible to major short-term price increases.

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?