Feedback

Reports

FAQ

Short Term Trends

About LMI > Overall Trends > Short Term Trends

According to petroleum companies who responded to an online survey, growth in the industry and continued economic uncertainty are shifting workforce challenges and shaping demands for Q3/Q4 2011. Some of the main growth and uncertainty factors influencing the industry are:

  • The current and expected future growth of Alberta's oil sands
  • The emergence of shale oil and gas developments in North America
  • Favourable economics to extract and transport liquids-rich gas
  • Proposed infrastructure investments to open up Canada's oil and gas to international markets
  • Economic uncertainty and commodity prices
  • Increasing environmental and regulatory pressures
  • Technological advancements
  • The importance of public perceptions and engagement

Labour market imbalances have historically triggered workforce challenges in the industry. During the Canadian economic recession of late 2008 and 2009, the majority of survey respondents cited cost cutting and employee engagement and productivity as the top industry workforce issues. As the economy began to recover in spring 2010, workforce challenges shifted to employee attraction and retention challenges and labour and skills shortages.

The top workforce challenges reported for Q3/Q4 2011 are:

  • Attraction and retention of workers in hard-to-recruit locations
  • Labour and skills shortages
  • Managing employee turnover/retention
  • Benefits and compensation expectations
  • Productivity and employee engagement

Recruitment efforts reported are dedicated to supporting organizational growth and replacing employees lost through attrition. Additionally, organizations are increasing training to develop current and future leaders, support the expected growth of their organization, and to meet technical, safety and job-specific requirements. Some companies are focused on productivity enhancements, improving worker mobility and diversifying their workforce. However, on an industry-wide basis, the use of such strategies was relatively low.

Operating in the petroleum industry requires strategic decision making that takes into consideration the future expansion of certain sectors and how to manage growth effectively in an unstable economic environment. The continued use of traditional methods such as compensation and benefits being applied in silos will likely not be sustainable in the long-term. Expected workforce growth will also require different approaches to how organizations manage employee mobility, organization of work and employee development.

The Petroleum HR Council and Deloitte have partnered to provide reliable information and strategies to address current and short-term workforce issues and trends within the Canadian petroleum industry. To maximize the value of the latest HR Trends survey, the two organizations have combined their resources and expertise to enhance the analysis, reporting and distribution of survey findings to a wider stakeholder reach.

Click here to access the full HR Trends and Insights report

For more details on the industry's labour market: