Chesapeake Energy (CHKDJ) cut 740 jobs on Tuesday in the latest bout of energy company layoffs. The loss of jobs amounts to 15% of its total workforce, according to The Oklahoman.
The company, which is headquartered in Oklahoma, will give employees 13 to 52 weeks of pay based on experience. It will also offer job placement help.
“The commodity price environment is extremely challenging for our entire industry,” CEO Doug Lawler in an interview with The Oklahoman. “Chesapeake today has had to take some steps towards improving our financial position to meet these challenging times. This is something we are not happy about.”
“These are individuals who have contributed substantially to the success of the company, but the current commodity price environment and stability of the company requires we take action,” Lawler added.
The company now has about 4,000 employees globally.
“This company will be an enduring enterprise,” said Lawler. “We are committed to the community, and we are committed to Oklahoma. But we have to react and respond to be as competitive as possible.”
Fortune reported on other energy company layoffs, including Halliburton, earlier this year due to the plunging price of oil.