The oil and gas industry expects more new jobs to be created than lost over the next twelve months, according to newly published research from NES Global Talent and oilandgasjobsearch.com. If true, it’ll be the first time since 2014 the industry has had a net increase in jobs.
It is estimated that 440,000 jobs have been cut in the oil and gas sector worldwide since oil prices crashed in 2014. Since July 2017 however, the price of oil has stabilised, and the new survey from recruiters NES Global and oilandgasjobsearch.com shows that almost 90% of employers expect staffing levels to either increase or remain the same in 2018.
The survey shows that in total almost 60% of employers expect to recruit significantly over the next year. Almost a quarter of those employers expect to increase their workforce by 5%, while 19% expect to increase staffing by between 5% and 10%. 17% expect to increase their staff by more than 10%.
According to the survey results, 30% of employers expect staffing levels to remain the same while just 11% are expecting to make job cuts.
“Globally we are now increasingly confident that the market supports increased investment in the energy sector. Energy companies with the support of their partners have right-sized their organisations for the current levels of activity,” said Tig Gilliam, CEO of NES Global Talent.
“With a stabilised price environment and lower cost profile more and more assets offer attractive returns on investment and operations. This increasing activity is leading the higher performing companies to refocus on quality people to lead and deliver value.”
“While this activity is being led by a sharp increase in investment in US shale, there has also been an uptick in capital projects being approved which will positively impact the industry across all regions. With our own staff operating in over 60 countries, the increasingly positive tone of our clients and contractors is a welcome signal of the turnaround in the market and the participants in this survey echo that sentiment.”
Will the new vacancies be filled?
Recent research has suggested that in the future the oil and gas sector could struggle to fill this new demand for employees. A recent report by polling company EY found that 57% of US teenagers see the fossil fuel industry as bad for society, while 62% of those aged 16-19 say they find the idea of working for oil and gas companies ‘unappealing’.
As Janette Marx, COO of global workforce solutions provider Airswift, said in the latest edition of Fluid Handling International: “While the hydrocarbon industries offer competitive salaries, millennials expect more from the workplace. Factors such as company culture, flexible working and the opportunity to work with cutting-edge technology are high on millennials’ agenda.”
Marx suggested to Fluid Handling that oil and gas companies were finding they needed to change their approach to talent acquisition and rethink their culture. She also suggested that more socially and environmentally-friendly company cultures could help to draw in new workers.
To read Marx’s interview in full, subscribe to Fluid Handling International for free