Global engineering and consultancy firm Wood said it has been forced to cut jobs, as well as furloughing workers, in response to the Covid-19 crisis.
A spokesman for the Aberdeen-headquartered company was unable to say how may people it was laying off.
He added: “The assessment is still ongoing and will be influenced by decisions made by some of our customers.”
A deal struck earlier this week between the Offshore Contractors’ Association and unions – making sure oil and gas workers at risk of redundancy, or recently laid off, can benefit from the UK Government’s Job Retention Scheme – had allowed the firm to temporarily furlough workers, the spokesman said.
Wood also revealed its executive directors and senior leaders had agreed to a temporary 10% cut in base salary, while other employees were being asked to do the same.
The company, which employs in excess of 55,000 people in more than 60 countries, estimates this will generate savings of around £32 million.
Capital expenditure (capex) for 2020 is being cut to save another £16m-£20m.
In another response to Covid-19 the group has cancelled its 2019 final dividend and postponed its annual general meeting (AGM) from May 7.
Wood said its finances were robust but added: “In response to changing activity levels we are focusing on redeploying people wherever possible alongside considering reduced working hours, unpaid leave and furloughs.
“Regrettably, employee reductions are also being made in certain areas reflecting the reduction in operational activity.”
Chief executive Robin Watson said: “Like many companies Wood is being affected by the unprecedented event of Covid-19 and its impact on the global economy, an event compounded by the sharpest decline in oil price in 20 years.
“Today we announce a series of actions which keep our people safe and healthy, and will further protect our business and our stakeholders by reducing cost, protecting cashflow and ensuring continued balance sheet strength.”
Meanwhile, international energy services firm TechnipFMC has slashed its 2020 capex spending by 30% to £237.5m and switched its April 24 AGM to Dunfermline.