Quote:
Originally Posted by Slava
The oil companies don't have a reason to lay off employees....oil prices are at historical highs, and most companies make piles of money with oil at $50/barrel. How they can justify lay-offs is disgraceful.
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What the price of West Texas Crude is not exactly the price Edmonton crude sells at for one.
Second, operational costs are also at record highs. They will likely claim that between the royalty jump and the high operational costs, that they will have to cut X% of jobs in certain departments.
Third, with the CDN$ worth $1.03USD, they no longer have that currency conversion to make them money. They sell their product in US$ and pay their costs in CDN$.
I'm not agreeing with it, but this is their likely response.