Austin, Texas - Today, the Texas Independent Producers and Royalty Owners Association (TIPRO) highlighted updated employment figures for the Texas upstream sector. Citing the latest Current Employment Statistics (CES) report from the U.S. Bureau of Labor Statistics (BLS), TIPRO reported that Texas upstream employment for November 2021 totaled 185,800, an increase of 2,400 jobs from revised October numbers, and the seventh consecutive month of job growth for the industry since April. Texas upstream employment in November 2021 represented an increase of 24,800 positions compared to November 2020, reflecting a rise of 23,800 jobs in the services sector and increase of 1,000 jobs in oil and natural gas extraction in the past year.
According to TIPRO's analysis, once the direct, indirect and induced impact of these upstream positions are incorporated, the organization calculated a multiplier effect of 6.8 percent per job for Crude Petroleum Extraction, 5.2 percent for Natural Gas Extraction, 2.4 percent for Drilling Oil and Gas Wells and 2 percent for the Support Activities for Oil and Gas Operations sector, further capturing the significant economic impact of the Texas oil and natural gas industry.
TIPRO also noted strong job posting data for upstream, midstream and downstream sectors for the month of November in line with rising employment, showing a continued demand for talent in the Texas oil and natural gas industry. According to TIPRO’s workforce analysis released today, there were 65,914 total job postings for the Texas oil and natural gas industry in November of 2021, of which 9,613 were unique, an increase of 100 posted unique positions compared to October. These numbers show a Posting Intensity of 7-to-1, meaning that for every seven postings, there is one unique job posting. This is close to the Posting Intensity for all other occupations and companies in the region (6-to-1), indicating companies are putting average effort toward hiring for these positions.
Among the 14 specific industry sectors TIPRO uses to define the Texas oil and natural gas industry, Support Activities for Oil and Gas Operations ranked the highest in November with 2,183 unique job postings, followed by Crude Petroleum Extraction (1,612) and Petroleum Refineries (1,246). The leading three cities by total unique oil and natural gas job postings were Houston (2,985), Odessa (709) and Midland (651). The top three companies ranked by unique job postings in November were Halliburton Company (709), National Oilwell Varco, Inc. (620) and Delek US Holdings (481). Top posted occupations for November included heavy tractor-trailer truck drivers (680), maintenance and repair workers (572) and industrial engineers (323).
When reviewing available data for the top three oil and natural gas posted occupations in November across all business sectors in Texas, heavy and tractor-trailer truck drivers increased by 18,490 from 2015-2020 (10.2 percent), outpacing the national growth rate of 6.1 percent. The occupation is projected to increase by 12,342 from 2020-2025 (6.2 percent), outpacing the national projected growth rate of 4.3 percent. Maintenance and repair workers increased by 3,430 from 2015-2020 (2.9 percent), outpacing the national growth rate of 2.0 percent. The occupation is projected to increase by 9,348 from 2020-2025 (7.6 percent), outpacing the national projected growth rate of 4.0 percent. And finally, industrial engineers increased by 5,371 from 2015-2020 (34.9 percent), outpacing the national growth rate of 16.6 percent. The occupation is projected to increase by 1,821 from 2020-2025 (8.8 percent), outpacing the national projected growth rate of 7.3 percent. This data indicates a growing demand for these occupations with oil and natural gas competing against other sectors in Texas for talent.
"The Texas oil and natural gas employment trends outlined in our latest analysis illustrate the industry's continued recovery and positive economic impact to the state," said Ed Longanecker, president of TIPRO. "Despite concerns over the latest Omicron variant and any related restrictions to economic activity, underinvestment in the oil and gas sector, along with growing demand for our product projected for next year, will likely lead to tighter supplies and higher prices. A more restrictive regulatory environment for the U.S. oil and natural gas industry would further exacerbate both and add to inflationary pressures," concluded Longanecker.