Harbour Energy has proposed 250 job cuts in Aberdeen, bringing fresh pressure on oil and gas workers in the region.
Unite the union said Government policy was partially responsible for the losses, saying it is forcing companies to leave the North Sea and pushing operators to decommission assets faster.
The company had already announced 350 job cuts in 2023.
Sharon Graham, general secretary at Unite, said: “The announcement by Harbour Energy that further jobs will be lost in Aberdeen is devastating news for the oil and gas sector.
“It’s crystal clear that UK Government policy is driving oil and gas companies out of the North Sea. It is directly leading to thousands of jobs being axed and to decommissioning plans being accelerated years ahead of schedule.”
“Unite fears that the scale of the job losses in the years to come will run in to the tens of thousands unless the UK Government changes direction and produces a concrete plan with real jobs for the transition of North Sea workers.”
The union said it wants Labour to reverse its position on new drilling licences, saying no ban should be introduced until enough new net zero jobs are available.
Unite claimed the ban on new licences has created a hostile environment and is making operators cut jobs and speed up decommissioning, which threatens both job security and energy security.
John Boland, lead officer for the offshore sector at Unite, said: “The news that even more jobs at Harbour Energy are to be axed is a crushing blow.
“This is on top of the jobs cut two years ago by the company.
“It’s a massive shock to the Aberdeen economy which is under immense pressure due to the scale of cuts across the North Sea. Thousands of jobs and skills are being needlessly lost.”
Boland added: “Governments need to realise that for any just transition to work it needs to be a managed transition that puts the workers at its centre.
“The current political ideology of prematurely ending the oil and gas industry without any thought to the impact it has on workers is unforgivable.”
Scott Barr, managing director, UK business unit, Harbour Energy, said:
“Harbour is launching a review of its UK operations, which we expect to result in a reduction of around 250 onshore roles in our Aberdeen-based business unit.
“The review is unfortunately necessary to align staffing levels with lower levels of investment, due mainly to the Government’s ongoing punitive fiscal position and a challenging regulatory environment.
“We are also reviewing the resourcing required to support our Viking carbon capture and storage project, where progress beyond front-end engineering design and the recent securing of a Development Consent Order has been hindered by repeated delays to the Government’s Track 2 process.
“Harbour remains among the largest producers in the UK North Sea and, while our dedicated and highly skilled people will continue to produce vital energy safely and responsibly, we must take these difficult steps in response to the challenges presented by the current external environment.”