Driving Change: Cultivating an Energy Workforce for Lasting Prosperity

Abstract

_ The old phrase “many hands make light work” is never truer than when applied to the energy industry. It illuminates the world’s darkest corner and energizes its sluggish economies. Millions of hands also work together to ensure the power is there to keep the lights on and global markets humming. Many also have had a hand over the past century in building the oil and gas industry into the multitrillion-dollar industrial sector it is today. Ironically, it is an industry where a new hire starts as a “worm,” earns the title of “hand,” and then possibly ends their career decades later as a “top hand.” These hands—the industry’s human capital—are the most important resource in the highly complex and technical oil and gas industry. From the oil field to the C-suite, the collective knowledge, attributes, skills, and experience of the workforce that inhabit each are critical to ensuring the industry’s long-term sustainability and future. According to a recent Accenture study, the energy industry will experience a lack of up to 40,000 competent workers by 2025. A 2018 study by Korn Ferry predicted that up to 85 million jobs could go unfilled due to skilled shortages. EY reported that Gen Z and Millennials will make up 72% of the world’s workforce by 2029, yet 62% stated that they find a career in the oil and gas industry unappealing. The oil and gas industry is at a crossroads in an era of rapid technological advancements, shifting global energy demands, and heightened concerns over affordability and security. Evolving job expectations, demographic shifts, and the growing emphasis on sustainability are expected to play a pivotal role in shaping the future of the sector. Technological Advancements and Changing Job Expectations Amidst this evolution, one of the industry’s most pressing challenges is the retention of its skilled workforce. The seasoned professionals and specialized experts who have long been the backbone of this vital sector are now presented with an attractive alternative for those looking to make a change. The sector is transforming as renewable energy sources gain prominence and environmental concerns mount. There is no shortage of big, bold plans to address the energy needs of the future, but it is a future made possible by a workforce possessing diverse tools and technical skills. “Workforce preferences are changing, competition for talent is growing, and many industrial sectors now find themselves competing for many of the same skills,” said Evelyn MacLean, workforce energy project director for the International Association of Oil and Gas Producers (IOGP). “Our industry also has a reputation challenge that is damaging our talent pipeline, and therefore, we have work to do collectively to promote our industry as a viable career choice for anyone who wishes to contribute to energy sustainability, affordability, and security positively,” she added.