And you thought the Permian Basin was hot.
A report into UK oil and gas workforce dynamics launched recently indicates that more than 40,000 new people will need to be recruited into the industry over the next 20 years, including 10,000 in posts that don’t exist today.
According to a new report by global energy skills body Opito, this is so that the sector can support Vision 2035, and the broader energy diversification agenda.
- Over 40,000 people are expected to enter the industry over the next 20 years, including around 10,000 in new areas such as data science, data analytics, robotics, material science, change management and remote operations.
- Over 80,000 workers are likely to retire or leave the sector for other reasons by 2035.
- Following the downturn between 2014 and 2017, the industry lost over 70,000 direct and indirect jobs (a decline rate of c 10% per year). On the basis that the industry can achieve the goals around Vision 2035 and the wider energy diversification, the industry should be able to sustain over 130,000 roles in 2035, compared to around 170,000 in 2017 (a decline rate of less than 1.5% per year).
- Closer collaboration is required between industry and training providers to up-skill and re-skill the workforce to enhance technology capabilities across the industry and ensure it is competing effectively with other sectors for the best candidates.
- A new skills strategy is now required to ensure the industry responds effectively to securing future talent requirements and achieving the best case scenario to safeguard posts.
With around 10,000 new workers expected to be needed in new areas such as data science, data analytics, robotics, material science, change management and remote operations, the report states that closer collaboration is required between the industry and training providers to up-skill and re-skill the workforce to enhance technology capabilities.
The UKCS Workforce Dynamics Review estimates that the UK oil and gas sector will require a total of around 130,000 direct and indirect workers by 2035.
According to John McDonald, CEO of Opito “Whilst total employment will fall over the next two decades, this will be a more gradual process than the sharp hit experienced over the last three years. If the industry can work together to achieve ambitions around production and energy diversification, tens of thousands more roles can be safeguarded and our industry will continue to be one of the key industrial sectors in the UK for years to come.”
Representatives from operating companies and supply chain firms from across the UK took part in the Opito report.
The purpose of Vision 2035 is to to maximise the economic recovery of oil and gas.