Pipeline company eliminates jobs to remain competitive and cut costs
The jobs that were cut on Tuesday included about 100 full-time employees while the rest were contract workers.
As a pipeline operator, TransCanada has remained profitable through the oil downturn. In the first quarter, it earned $387 compared to $412 million for the same period in 2014. However, the industry it serves with its pipelines had a collective loss of more than $600 million over the same period.
In an e-mail, TransCanada’s spokesman, Mark Cooper said the company cut the positions as part of a restructuring to control costs and remain competitive.
Cooper said TransCanada needs to provide low-cost services as its customers have been deeply affected by the current low-price environment that has left companies in the oilpatch struggling.
TransCanada is working to move forward on a number of projects, including the Keystone XL Pipeline and the Energy East pipeline.
Both projects have faced delays and regulatory hurdles. The company has about 6,000 employees across North America.
