Petrobras reports that in 2014 it started a study to reassess the processes at refining and fertilizer units, and, therefore, adjust the number of job posts for safer, more reliable and efficient operations at its industrial units. The Organization and Methods of Work (O&M) study assessed operational routines on each operating post, both in normal conditions and in emergency response situations. The methodology enabled the reorganization of operating routines, distributing them more evenly among job posts, with the transfer of some activities from a shift schedule to an administrative regime.

Study results started to be implemented in May 2017, at Petrobras' refineries. Staff reassignments were made where necessary to areas of higher demand. As a result, 63% of the Operating departments at Petrobras refineries and fertilizer plants maintained or increased the number of job posts, while 37% had reductions.

There were no layoffs in this process, which was based solely on the reassignment of staff.

Unions dissatisfied with this process have filed lawsuits demanding the implementation of these changes to be suspended.

Last week, an injunction decision was issued in favor of the demands presented by the Union of Paulínia Refinery (Replan), in São Paulo.

To comply with this decision, Petrobras informed today the National Agency of Petroleum, Natural Gas and Biofuels (ANP) that it is temporarily halting one of three S-10 diesel hydrotreating units at Paulínia Refinery (Replan), in São Paulo.

Petrobras is appealing the decision with the expectation to reverse it.

The temporary shutdown of the plant does not generate relevant impacts on the financial results of the company. Suspended production will be offset by increases at other Petrobras units.

Petrobras reinforces its commitment to the operation of its facilities in accordance with the most stringent procedures of the global oil industry. The company reaffirms that the O&M study for the Operating area of Refining and Fertilizer units has yielded a level of workers necessary and sufficient to ensure the safety, reliability, and efficiency of its industrial plants.