Commodities trading giant Trafigura has implemented a new policy extending the notice period for traders leaving the firm to a minimum of six months, with some contracts requiring up to one year. This change, which affects both new and existing employees depending on their seniority, comes in response to recent employee departures.
The move could potentially deter traders from seeking employment at Trafigura, according to sources familiar with the situation. In the backdrop of this development, energy traders such as Mercuria, Gunvor, and Vitol are re-entering the metals trading market after years of absence, aiming to diversify their portfolios amid expectations of increased demand driven by the clean energy transition and the integration of artificial intelligence.
These companies have enjoyed significant profits from fossil fuels since the spike in prices following Russia’s invasion of Ukraine in February 2022. Recently, several former Trafigura traders, including Mehdi Wetterwald, Michaela Dempsey, and Leonard D’Offay, have joined Mercuria, indicating a trend of talent migration within the industry.
Additionally, Trafigura has proposed share clawbacks in a letter to current and former employees, targeting breaches of confidentiality and its code of conduct. Clawbacks are common in financial firms, requiring employees to return money already paid out in cases of misconduct or poor performance.