BG Group confirmed on Friday, that they are to follow suit with the announcement of contractor rate cuts

A staff meeting held in Aberdeen on Friday, confirmed that contractor rates would be cut by an average of 10%

BG who employ 230 contractors in Aberdeen held the meeting to discuss the need to improve efficiency, priorities for 2015 and the reduction of contractor rates by an average of 10%

The company joins numerous other firms such as BP, Wood Group PSN, Apache and Premier Oil who have all announced reductions in contractor rates over the past months in aid to keep business competitive and help reduce spiralling costs

This was the first move from Ernst den Hartigh the new managing director of Europe E&P as he replaces Andy Samuel who left BG Group to join the Oil and Gas Authority

Ernst den Hartigh said: “This decision was not taken lightly but in the current economic climate is an important step in lowering our cost base and remaining competitive in the future.

“Cost reduction is important but there is much more we will be doing. We must seize the opportunity to do things differently”.

BG Group has interests across the UK and Norway.

The firm employs 700 people in the UK and Norway. Of these, 550 are based in Aberdeen and on three offshore platforms.

It operates the Armada, Everest and Lomond platforms; has major non-operated interests in the Buzzard, J Area, and Elgin Franklin fields.

Source: www.bg-group.com

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