HYDROCARBON
ENGINEERING
67
June
2016
O
il and gas companies worldwide have long
struggled to deal with the challenge of filling
highly skilled positions within their
organisations. The unique combination of
demographic developments, geographical location and
market position can make that challenge particularly
difficult for companies based in Canada. As a result, issues
such as training costs, technological advancement and high
compensation rates have a strong impact on the skilled
labour market in the oil and gas sector and make finding
and retaining skilled labour equally difficult. This article will
explore the reasons behind these current labour challenges
and highlight the steps managers can take in order to
approach the problem sustainably.
Retiring expertise
It is well known that the workforce in Canada, and
worldwide, is ageing. In a UN report 'World Population
Ageing 1050 - 2050,' the number of people over the age of
60 will 'for the first time in history, match that of persons
younger than 15.' Looking more closely at Canada, a report
released in September 2014 found that the proportion of
the population over 65 will 'grow rapidly' over the next
20 years and, by 2030, almost 'one in four persons in
Canada would be aged 65 years or over.' Meaning that
within 15 years, almost 25% of the whole population will
have retired.
What this means for the oil and gas sector is a rapid
decline in the availability of experienced labour to fill
senior and highly skilled positions. A huge hiring spike in
the oilsands in the 1980s resulted in a 30 year career for
many baby boomers, and the development of highly
IN WITH THE NEW
Matthew Popovacki, T.A. Cook
Consultants, Inc., Canada,
discusses
the difficulties associated with the
current skills shortage and widening age
gap facing Canada's oil and gas industry.
