Shell to cut 6,500 jobs due to declining profits

Shell will be cutting 6,500 jobs. Over the pas three months the oil and gas company has been facing a sharp decline in profits, mostly due to the low oil prices. This was announced in the publication of the company's quarterly figures, the Telegraaf reports. In the second quarter of this year, Shell earned a profit of 3.4 billion dollars (3.1 billion euros), compared to 5.1 billion dollars (4.66 billion euros) during the same period last year. Earnings per share - calculated with the current low oil price - was 37 percent lower than the same period last year. CEO Ben van Beurden stated that the oil industry is facing challenging times and that "urgent and convincing" intervention is therefore necessary in the group. In addition to the layoffs, Shell will reduce capital investments by 20 percent this year and is also selling activities. The oil and gas company employs more than 90 thousand people worldwide. Part of the job losses have already been realized in Britain and Norway, according to Shell.