Kuala lumpur: Petroliam Nasional Bhd (Petronas) has announced the formation of a Transition Council and a Human Capital Development Committee to oversee the structured redeployment of staff in light of its recent organisational restructuring.
According to BERNAMA News Agency, Minister in the Prime Minister’s Department (Law and Institutional Reform), Datuk Seri Azalina Othman Said, confirmed in a written reply on the Parliament’s website that employees affected by this restructuring will be offered a competitive separation package. Additionally, a transition programme will provide comprehensive support, including career guidance, emotional support, upskilling, financial planning, and job relocation assistance. This initiative is being carried out in collaboration with the Social Security Organisation, government-linked companies, and Petronas’ entrepreneurial initiatives.
Azalina emphasized that these measures are part of Petronas’ broader transformation strategy focused on enhancing resilience and competitiveness amidst the ongoing energy transition. The strategy is designed to maintain Petronas’ contributions to national revenue and ensure the continuity of national development policies. The minister was responding to a query from Sabri Azit (PN-Jerai) concerning the government’s approach to Petronas’ workforce reduction of over 5,000 employees and its subsequent impact on national income.
In another development, addressing a question from Datuk Seri Richard Riot Jaem (GPS-Serian) regarding overlapping powers between Petronas and Petroleum Sarawak Bhd (Petros) in Sarawak, Azalina stated that a Joint Declaration signed on May 21, 2025, underpins the establishment of a joint framework between the two entities. This framework allows Petronas to continue its functions as outlined in the Petroleum Development Act 1974, encompassing activities from the upstream sector to the sale of liquefied natural gas (LNG) on global markets.
Furthermore, Petros has been designated by the Sarawak state government as the gas aggregator for the domestic market, effective March 1, 2025. This designation will be recognized by all industry participants involved in the distribution and supply of gas to local consumers. Azalina also noted that existing agreements and arrangements between Petronas, its subsidiaries, and third parties related to LNG sales will remain unchanged and continue to operate as usual.