ConocoPhillips new hire orientation participants in Beijing, China

We continue to develop a strong global work force with the right skills locally available to achieve the company’s strategic objectives. Today, the energy industry has a high number of skilled employees approaching traditional retirement age. Key challenges for the industry include attracting and developing a skilled work force that reflects our global operations, developing the next generation of leaders, and transferring existing knowledge to new talent

Our business and staffing groups use planning tools to characterize current workforce skills and demographics, as well as to forecast future work force needs in conjunction with business budgeting and long-range planning.

At the end of 2008, we employed 33,800 people worldwide, compared with 32,600 in 2007. This 4 percent increase was mainly attributable to business growth due to high commodity prices during the first half of 2008.

The company divested assets in the first quarter of 2009 and challenged operating and staff groups to right-size their organization consistent with their operating and capital budgets. On April 30, 2009, ConocoPhillips had 30,300 employees. Employees departing the company through layoffs were granted benefits under the company’s approved severance plan and outplacement services.