What Are the Latest Oil and Gas Recruitment Trends?

An attention-worthy change is the 29 percent decline in new job postings in the third quarter of 2023.

That’s what Brian Binke, the President and CEO of Michigan based the Birmingham Group, an affiliate of Sanford Rose Associates, told Rigzone when he was asked what the latest oil and gas recruitment trends he was seeing were.

“The 29 percent decline in job posting was just announced late last week,” Binke said, adding that “only time will tell if this is a true shift of the oil and gas job market”.

“This recent data suggests potential adjustments in recruitment strategies, highlighting the industry’s dynamic nature,” Binke told Rigzone.

The Birmingham Group President and CEO also highlighted several other trends, including “digital transformation”.

“The recruitment process in the industry is increasingly integrating artificial intelligence and machine learning,” he said.

“This technological pivot not only makes hiring more efficient but also aligns with the industry’s broader digitization trend. Market projections even suggest that AI applications in this sector could be worth $3.1 billion by 2025,” he added.

Another trend flagged by Binke was “diversity and inclusion”.

“There’s a robust emphasis on broadening the talent pool,” Binke told Rigzone.

“While historically male-dominated, the industry now prioritizes hiring a diverse mix of professionals, including women and minority groups. This shift is both a nod to social expectations and a strategic move to foster diverse perspectives,” he noted.

Binke also highlighted an “emphasis on soft skills” and “flexible work arrangements” as trends he was seeing.

“Technical skills, while vital, are complemented by a growing demand for soft skills. Employers now value candidates who bring strong communication skills, leadership traits, and an adaptable mindset, especially given the industry’s evolving challenges,” he said.

“The pandemic’s aftermath has reinforced the value of remote and hybrid work models. This trend not only addresses health and safety concerns but also caters to the modern workforce’s desire for work-life balance,” he added.

The final trend Binke flagged to Rigzone was “talent challenges”.

“The industry grapples with a looming shortage of skilled workers, particularly in technical roles,” Binke said.

“This challenge is deepened by an aging workforce, making it imperative for companies to devise strategies that appeal to younger talent,” he added.

“In summary, while the oil and gas sector evolve, its recruitment strategies are adapting in tandem. However, the latest data suggests a potential shift in hiring momentum, underscoring the need for adaptability,” Binke told Rigzone.

Gladney Darroh, an energy search specialist with 47 years of experience who developed and coaches the interview methodology Winning the Offer, which earned him the ranking of #1 technical and professional recruiter in Houston for 17 consecutive years by HAAPC, also revealed the latest oil and gas recruitment trends he was encountering.

“The oil and gas recruitment trend I’m seeing is a continuation of what I’ve been seeing for the past two years – an emphasis on ever more efficient exploitation of known reservoirs (think Permian Basin), keen focus on cost reductions, returning money to stakeholders, and industry consolidation to achieve the first three,” Darroh, the Founder and President of Texas based Piper-Morgan Search, told Rigzone.

“As such, there is a steady demand for reservoir, drilling, and operations engineers. From my experience, the laggards are pure explorationists,” he added.

According to the Texas Independent Producers and Royalty Owners Association’s (TIPRO) 2023 State of Energy report, which was released back in January this year, the U.S. oil and gas industry employed 948,943 professionals in 2022, which the report said represented a net increase of 39,721 direct jobs compared to 2021, “subject to revisions”.

When incorporating direct, indirect, and induced multipliers for employment at the national level, the industry supported more than 19 million jobs last year, TIPRO’s report noted. There were 358,776 direct U.S. upstream sector jobs in 2022, according to the report, which highlighted that this was a net increase of 32,627 jobs compared to 2021.

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