KUCHING: The recent workforce cuts by Petroliam Nasional Berhad (Petronas) are market-driven decisions arising from global energy challenges and not related to Sarawak’s management of its oil and gas resources.
In a statement today, Gabungan Parti Sarawak (GPS) MP Backbenchers explained that Petronas’ internal restructuring was a corporate response to fluctuating crude oil prices, falling profits, and global market volatility, and not the result of Sarawak’s push for greater control over its petroleum sector.
It stressed that these were not connected to Sarawak’s regulatory or commercial roles through Petroleum Sarawak Berhad (Petros).
“Any workforce adjustment undertaken by Petronas is an independent corporate move based on global and domestic market conditions.
“There is no direct or indirect link between Petronas’ internal decisions and Sarawak’s rightful pursuit of managing its own oil and gas resources through Petros,” the statement read.
The statement came following online speculation linking Petronas’ job cuts to Sarawak’s increasing role in managing its own petroleum sector under the Malaysia Agreement 1963 (MA63).
It was reported that Petronas will cut about 10 per cent of its workforce — roughly 5,000 positions — under a company-wide restructuring aimed at reducing costs amid falling crude prices and market volatility.
Petronas president and group chief executive officer (CEO) Datuk Tengku Muhammad Taufik Tengku Aziz was quoted as saying that the company would also freeze promotions and new hiring until December 2026.
The national oil firm’s profits fell by 32 per cent in 2024, following a 21 per cent drop the previous year, and market analysts expect challenges to persist into 2025 due to a continued decline in Brent crude prices.
The GPS MP Backbenchers said Sarawak remained committed to working collaboratively with Petronas to strengthen Malaysia’s energy resilience and long-term national interest.
“The partnership between Sarawak and Petronas remains strong, strategic, and forward-looking. The layoffs are purely part of Petronas’ right-sizing strategy and have nothing to do with Sarawak’s constitutional rights or demands.”
Recent social media narratives have also tried to connect Petronas’ internal challenges with Sarawak’s growing autonomy in the oil and gas sector.
Some commentators linked the company’s reduced brand ranking in the 2025 Brand Finance ASEAN 500 Report to Sarawak’s policies.
The report showed Singapore’s DBS Bank overtaking Petronas as ASEAN’s most valuable brand with a brand value of USD17.2 billion — up 56 per cent — while Petronas’ brand value fell by one per cent to USD14.4 billion.
The comparison prompted online claims suggesting Sarawak’s resource management had weakened Petronas financially.
The backbenchers dismissed such claims as baseless.
“Market capitalization and brand rankings fluctuate with global financial dynamics and investor sentiment — not because of state-level energy policies,” they said.
“Petronas remains one of Southeast Asia’s most respected national oil companies, with solid fundamentals and a diversified global portfolio.”
it reiterated that Sarawak’s pursuit of greater control over its natural resources is grounded in fairness, constitutional rights, and a shared vision for Malaysia’s collective prosperity.
“Sarawak, PETROS, and PETRONAS will continue to collaborate constructively to ensure that Malaysia’s energy future remains strong, sustainable, and inclusive,” it said.
GPS MP Backbenchers also urged the public to verify information with credible sources before sharing unverified claims that could distort public understanding of Sarawak’s role in the national energy landscape.
