NEW YORK (CNNMoney.com) -- Chevron Corp., the second largest U.S. oil company, announced on Tuesday that it would cut 2,000 jobs this year amid challenging market conditions.
The company said the cuts come as a part of its plans to boost earnings by lowering costs, exiting unprofitable markets, and streamlining its business.
"Market conditions are likely to be difficult for the next several years," said Mike Wirth, executive vice president of Chevron's Global Downstream division in a statement.
Avram anticipates the new organizational structure will be in place by the third quarter.
The announcement comes as Chevron and its competitors face a tough economic environment, with lower oil prices and relatively low demand.
In January, Chevron reported fourth quarter earnings of $3.07 billion, which were down 39% from the prior year period.
The company said it plans to concentrate on its North American and Asia-Pacific markets, where it says it has a competitive advantage.
It also said that even after eliminating 2,000 positions in 2010, it will continue to cut jobs through 2011.
Chevron expects to take a first quarter charge of $150 million to $200 million in order to pay out severance packages.
Shares of several uranium miners are soaring this year on hopes that Donald Trump will commit more investments to nuclear power. But investors need to get careful. The stocks are as volatile as radioactive elements. More
President Trump promised to 'buy American and hire American.' He says his policies will create 25 million new jobs, the most of any U.S. president in history. CNNMoney lays out just how hard that will be. More
In 1998, Ntsiki Biyela won a scholarship to study wine making. Now she's about to launch her own brand. More
If you're smart about when you first claim Social Security, you can increase your benefits and reap the rewards for the rest of your life. More