Oil & Gas outlook upbeat for 2012

Contractors in the oil and gas sector will find their stock rise after a report suggested many companies in the sector will look to increase their contractor levels in 2012.

The Oil and Gas Salary Guide for 2012, by leading jobsite Oil and Gas Job Search and recruiter Hays Oil & Gas has found employers have become confident over prospects in 2012, highlighted by the fact nearly 46 per cent of employers are looking to hire more contractors for the coming year, while nearly 38 per cent are looking to keep their freelancer levels the same giving the sector.

Overall, more than 73 per cent of respondents were either confident or extremely confident about the current employment market, which was an improvement on 2011’s outlook.

Over 26 per cent were extremely positive for 2012’s outlook compared to less than ten per cent for 2011, as well as less negativity compared to 2011. The lack of confidence in 2011 was put down to key markets such as the Gulf of Mexico and the North Sea experiencing the effects of the recession, which has since dissipated.
Contractors will be happy to hear employers are bemoaning skill shortages in the industry, possibly opening up a number of opportunities to find their next roles. Over 30 per cent of employers said skill shortages were one of their primary concerns followed by economic instability.

Freelancers looking for their next role should not hesitate to look for their next roles in Australasia (approx. 60 pc), Europe or South America (both approx. 45 pc) as employers in these regions showed the most concern over skill shortages.

With the greater confidence stepping through the oil and gas industry, the UK is also keeping pace. Contractors will be able to command daily rates between £540 and £900 working in the North Sea, an increase of 30 per cent.

Matt Underhill, of Hay’s Oil & Gas, the reports co-author said “Last year we reported a 30% rise in contractor wages for UK professionals. This was particularly encouraging for UK-based oil and gas professionals, as the rates are a good indicator of the state of the job market, being more reactive to short-term changes in demand for skills.”

Oil and Gas Job Search’s managing director, Duncan Freer adds the UK oil and gas industry should continue to look forward.

“Despite some forecasts, many oil companies are continuing to invest in the North Sea, so it is a time to look forward with confidence.”