Labor shortage continues to plague expanding oil and gas industry

[The Straight Story]

Oil and gas companies will expand their staffs in 2012, but a shortage of skilled workers will create a critical talent gap for the industry, according to a report by recruitment firm NES Global Talent.

Demand for engineers will grow this year, as oil and gas exploration and production expands both on land and offshore, the firm said. But NES Managing Director Simon Coton said a depletion of skilled workers in oil and gas fields in the United States, Great Britain and Australia will be a major challenge.

Coton said the industry’s best chance for bridging the gap is to recruit workers from other fields, including shipbuilding and infrastructure industries.

Oil and gas companies also have set their sites on military workers, whose training in technical and high-pressure environments is comparable to oil field work.

“During the recession, lots of projects didn’t make it past the financial investment decision stage, but many were sanctioned in 2011, and as a result of this, we can expect an increase in demand for construction and commissioning roles,” Coton said.

http://fuelfix.com/blog/2012/01/11/labor-shortage-continues-to-plague-expanding-oil-and-gas-industry/

And here I thought Obama stopped all drilling (according to the RW) and yet there are more projects than workers.

[Zalatix]

1. A shortage, you say? Check the wages of those who are employed in the field

Are these wages going up? Or staying the same?

[FreakinDJ]

3. Wages are going down - they are laying off Union Employees and hiring nonunion contractors

Yep if your Nonunion and willing to work for 75% wages or less there is plenty of work

[Zalatix]

4. Then that ain't a shortage of labor.

A shortage of labor means wages are going up. If they're kicking out Union people and replacing them with cheap nonunion BS then, yeah, no shortage.

[bhikkhu]

6. "workers’ earnings in mining, oil and gas exploration grew briskly in 2011"

From this article on wage trends, updated 1/5/12

http://www.payscale.com/payscale-index/industries/compensation-trends-mining-industry

The article has a good chart of wage history, showing six straight quarters of wage increases, accelerating in 2011. Do you have any data that demonstrates otherwise?

[FreakinDJ]

7. probably because they were looking at the wrong chart

http://www.payscale.com/payscale-index-chart.aspx?type=YearOverYearChart&series0=Construction+Jobs&width=568&height=326

[bhikkhu]

9. No question that construction is down...

and will probably stay that way for a long time. My area is unfortunately like most - no oil industry, but there was plenty of housing construction previously. Lacking steady jobs there a lot of people might benefit from moving, but that would mean walking away from property at a loss, and for most it hasn't come down to that yet.

[Zalatix]

8. Actually I did not know either way, I asked a genuine question

Although I admit I did have a hunch, it was nothing more than that.

[Arctic Dave]

2. We are freakin busy right now I can't even see straight.

I did a twenty hr day last week and have been averaging 14 hrs a day for the last 2 1/2 weeks.

[bhikkhu]

5. The oil industry labor shortage is years old now

...and in spite of repug talking points about "idle leases" and government regulation and obstruction, oil-drilling in the US is on a big upswing. You can look at that as good or bad - we are importing less than 50% of what we use now, we are a net exporter of finished products (first time in decades), and pretty much every oil-rig in the country is in use, as much as there is labor to run them.

Again, good or bad depending on perspective, but the RW baloney is so far from the truth its worth pointing out, going into an election year.