Workforce Report 2019

WORKFORCE REPORT 2019

3.2 Employment Overview Based on the latest projections of industry expenditure in 2019, the UK upstream oil and gas sector is projected to support around 269,000 jobs in the UK.

The employment figures are a combination of direct employment 2 within the sector, indirect employment 3 through supply chain activity and jobs that are induced 4 by the industry’s wider economic contribution.

While some companies continue to make reductions in the size of their workforce, others are now actively adding to their numbers as activity begins to show signs of recovery. If such work materialises, 2019 would represent the first increase in total industry employment since 2014.

Total employment in 2018 was 259,900, significantly lower than previously estimated. This was driven by lower- than-expected capital expenditure last year.

Figure 1: Total Employment Supported by the Offshore Oil and Gas Industry 5

2014

2015

2016

2017

2018

2019 Estimate

Direct

41,300

37,300

35,600 155,100 136,200 326,900

31,400 124,300 118,100 273,000

30,400 116,100 113,400 259,900

30,600 121,000 117,500 269,100

Indirect Induced

206,100 169,500 216,500 180,200 463,900 387,000

Total

500,000

450,000

400,000

350,000

300,000

250,000

Industry

200,000

150,000

100,000

50,000

Employment Supported by the Offshore Oil and Gas 

0

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019E

Direct

Indirect

Induced Total

Source: Experian

2 Those employed by companies operating in the extraction of oil and gas and associated services. 3 Employment as a result of supply chain effects caused by oil and gas sector activity. 4 Employment supported by the expenditure of income from the oil and gas sector. 5 The 2017 and 2018 figures have been revised to reflect updates from the Office of National Statistics and changes to industry expenditure.

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