What Does 1 Million Workers Mean for Oil and Gas Hiring?

The Texas Independent Producers & Royalty Owners Association (TIPRO) released a report stating that the US oil and gas industry now employs more than 1,000,000 workers. They claim that technological advancements in hydraulic fracturing and horizontal drilling created a surge in domestic production of oil and gas that impacted demand for workers. Between June 2012 and June 2013, industry employment grew 2.6%, according to TIPRO. The majority of growth in 2013 was concentrated in oil and gas extraction, drilling, and support activities. Of these industries, the number of job listings posted online during September was highest for support activities for oil and gas operations, with over 6,000 ads, according to WANTED Analytics. When compared to the same time last year, demand in this particular industry increased 36%. Crude petroleum and natural gas extraction had the second most job ads. Below are 4 year hiring trends for oil and gas industries.

Hiring Demand for Oil and Gas Industries

Hiring Demand for Oil and Gas Industries
SOURCE: WANTED Analytics

Architecture and engineering jobs were highly in-demand last month, up 4.5% compared to September 2012. Petroleum Engineers and Industrial Engineers were the most advertised occupations. IT jobs were also commonly sought after in the oil and gas sector, particularly Software Developers (Applications) and Computer Systems Analysts. However, production jobs increased the most of any occupational category, up 13% since last year.

The TIPRO Energy Report says that "it is estimated that more than half of the domestic oil and gas employment growth experienced in the first half of 2013 occurred in Texas." Texas had the highest number of job ads posted online in September, accounting for 29% of hiring demand in the oil and gas sector. Three Texas metro areas made the top 10 list of cities with hiring demand in the oil and gas sector: Houston, Dallas, and San Antonio. There were over 2,400 jobs available online in Houston (TX), an increase of 7% over last year. With increasing competition in Houston, how difficult is hiring likely to be? Houston scores a 55 on our Hiring Scale, which is 7 points higher than the average. Our Hiring Scale takes into consideration the available candidate supply, demand, occupation, unemployment rates, among other factors and calculates a score ranging from 1 - 99, with 99 denoting hard-to-fill. The hiring difficulty is likely to vary depending on the occupation and other requirements. For instance, Petroleum Engineers score a 56 in the Houston metro area, indicating that it's moderately challenging to recruit.

Hiring Scale for Petroleum Engineers in the Oil and Gas Industry in Houston, TX

Hiring Scale for Petroleum Engineers in the Oil and Gas Sector in Houston
SOURCE: WANTED Analytics

The most difficult recruiting conditions are likely to be in Houma (LA), which scores a 94. In this metro area, current demand exceeds what the local talent supply can support. Recruiters in this area may consider Baton Rouge (LA) or New Orleans (LA) for potential candidates. These locations score below a 20 on our Hiring Scale, indicating conditions are less challenging. Fewer jobs are advertised in these metro areas, meaning there is less hiring demand and competition for talent, and the available candidate pool is larger.

Hiring Scales for the Oil and Gas Sector

Hiring Scales for the Oil and Gas Sector
SOURCE: WANTED Analytics

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