BP is considering linking bonus payouts to the group’s safety performance as part of a radical makeover, which has also seen a shake-up of the board’s structure, announced yesterday by incoming chief executive Bob Dudley.
Dudley, who takes over from Tony Hayward on Friday, has launched a review of how the oil giant pays out bonuses. It is mulling whether pay incentives could be connected to the group’s delivery of risk management and safety.
A spokesperson for the oil giant would not confirm when the review is likely to finish but said that it could come with BP’s annual report, out next April.
The review is part of a radical overhaul of the company, launched by Dudley yesterday, as it faces its future post Gulf of Mexico disaster.
Dudley has also unveiled a deep-seated shake up of BP’s board and the creation of a new safety function at the firm.
The re-shuffle will see the departure of BP’s head of upstream exploration, Andy Inglis, at the end of next month.
Doug Suttles, BP’s chief operating officer of exploration, is also expected to leave.
BP would not confirm Suttles’ departure and said his post was “subject to a separate announcement”.
Meanwhile, the group’s new safety and operational risk division, which will be handed sweeping powers to intervene in BP’s operational activities, will be headed by Mark Bly, who already head’s up the safety division.
Dudley also wants to separate BP’s upstream business into three divisions – exploration, development and production.
Outgoing chief executive – leaves 1 October
Outgoing head of exploration – leaves 31 October
Outgoing chief operating officer of exploration – leaving date is expected to be announced shortly
Incoming chief executive – starts 1 October