U.S. oilfield service companies added 23,000 jobs in March

04/06/2021

According to preliminary data from the Bureau of Labor Statistics (BLS) and analysis from the Energy Workforce & Technology Council, employment in the U.S. petroleum equipment and services industry increased by about 23,015 jobs in March.

Routine BLS reviews reduced the jobs lost in February to 7,697 from 10,048 a month ago. According to revised data, the industry cut 1,322 jobs in January 2021. The industry was on a roller coaster last year with a sharp drop in jobs due to the pandemic, modest gains in the fourth quarter of 2020 and other cuts in December, January and February.

The monthly report on the employment of oilfield services and equipment, compiled and published by the Council, estimates a peak of 102,000 job losses linked to the pandemic. Since then, the industry has gained over 23,000 people.

Using data from the BLS, the Council, in consultation with researchers at the Hobby School of Public Affairs at the University of Houston, estimates that OFS jobs in the United States have increased from 691,866 in March 2020 to 628,362 in March 2021, a drop of 9.2%. The losses were heaviest in April, when the sector shed 57,294 jobs – the largest one-month total since at least 2013.

The jobs won last month represent annualized wages of about $ 2.6 billion.

Employment in the OFS sector rose 3.8% last month as companies brought more platforms online to start ramping up production as more people were vaccinated and demand increased.

The Council is the national trade association for the oilfield services and equipment sector, representing more than 600,000 jobs in the technology-driven energy value chain. Over 600 member companies are involved in oilfield equipment manufacturing, drilling, well completion, well services, pressure pumping, renewable energy technology and maintenance, geothermal development, etc. . The loss of the innovative men and women who make up the OFS sector jeopardizes the development of innovative technologies that increase efficiency, improve environmental performance and reduce greenhouse gas emissions.

OFS job losses since February 2020 are estimated to be the heaviest in Texas and Louisiana, which are the national leaders in oil and gas production. According to BLS data, the states hardest hit by OFS job losses due to the pandemic are:

1. Texas – 39,000
2. Louisiana – 6700
3. Oklahoma – 6,100
4. Colorado – 3,200
5. New Mexico – 3000
6. California – 2900
7. Pennsylvania – 2800
8. North Dakota – 2,500
9. Wyoming – 1,900
10. Ohio – 1,300
11. Alaska – 1,200
12. West Virginia – 1,200

OFS employment is estimated by analyzing data released by the United States Bureau of Labor Statistics and covers the economic activities of OFS companies, which include oil and gas extraction, construction, and manufacturing. Total employment is estimated using the Quarterly Census of Employment and Wages, published by the BLS, and employment data reported monthly by the BLS.

Note: BLS data is preliminary for the most recent two months and is subject to revision. The Council updates monthly totals based on BLS corrections and updates the statistical model quarterly.

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