NABOR has faced economics ups and downs. Every business has done so. Its most recent evidence of right sizing, as some executives took to calling it, took place in 2015, according to Wikipedia. The staff chose to reduce organization’s sale force by ten. NABOR, a natural gas and geothermal energy firm, also decided to reduce its drilling force by 10 percent. Downsizing affects many communities and it takes away people’s livelihoods. Downsizing is usually an unfortunate side effect of technological advancement. Outsourcing does not affect oil rigs as much as it affects other companies. Outsourcing is difficult on most oil rigs any way.
Anthony Petrello unlike people lower on the scale, did not have to worry about layoffs. Layoffs almost never affect executives, even though they make more than some employees earn in a decade. While corporations have a duty to their employees, they also have a duty to the public. Most importantly, in the eyes of the organization, they have a responsibility to shareholders. The shareholders, after all, own the company. Being the head of the company only gives someone a larger say in the affairs of the company.
Petrello showed he understood his responsibility to the shareholders several years ago. When the shareholders started complaining about the performance of the company, he decided to let the contract buy off the remaining years left on his contract. He then stepped down to be a member of the board of directors. He remains in a position of power within the company, but he is no longer the chief executive officer. For more info about us: http://www.bizjournals.com/houston/morning_call/2014/12/nabors-ceo-cfo-take-big-pay-cut.html click here.