NEARLY two thirds of oil and gas companies plan to recruit fewer staff than they did three months ago or have put hiring on hold but more people appear to be looking for jobs in the industry, research has found.
The results of a survey of oil and gas companies and services businesses by the Rigzone industry website provide further indications that the sharp drop in oil prices since last June is leading firms to rein in activity.
The survey highlights a dramatic change in conditions in an industry in which firms spent years complaining about the difficulties involved in hiring enough skilled staff and pay rates appeared to be heading ever upward.
In July a survey for Rigzone found 50 per cent of hiring managers planned to recruit more staff than they had at the start of 2014 and highlighted fierce competition for skilled staff.
However, Rigzone said the finding of the latest survey suggest the industry is cautious around the world.
"Many companies are continuing to scale back on hiring plans due to ongoing market volatility and low oil prices," said Rigzone, which warned the labour market could remain under pressure for dome time .
"Given the continued volatility of the market, a majority of oil and gas companies globally have changed their hiring plans in the short and, in some cases, medium term."
The findings suggest firms have made big changes in their hiring policies in recent months.
In a poll of hiring managers from across the globe, Rigzone found 47 per cent of survey participants had reduced their hiring plans in the past three months.
An additional 16 per cent said they had halted their hiring plans completely for the time being.
The survey also provides clear indications that the difficulties firms faced recruiting enough skilled staff are easing, with more people looking for work.
Rigzone found 76 per cent of global hiring managers surveyed reported an increase in the number of candidates applying for positions compared to three months ago.
The trend for growing numbers of job candidates to expect to be able to increase their pay by moving jobs may have ended.
The website said more than 55 per cent of hiring managers said they had not seen an increase in the number of candidates asking for more money in the last three months.
The survey covered hiring managers who recruit oil and gas staff in the refining and marketing and college sectors as well as people recruiting for exploration and production (E&P) operations.
The effects of the downturn have been obvious in the E&P sector in the UK North Sea, where talk of skills shortages appears to have been drowned out by news of job cuts lately.
Big oil and gas producing firm have announced plans to shed more than 1,000 North Sea jobs in recent months.
BP and Talisman Sinopec have both said they plan to cut 300 jobs.
Announcing plans to shed more than 250 North Sea posts last month, Shell said it will change offshore working patterns in a way that will mean people have to work longer hours.
Taqa plans to cut around 100 onshore UK jobs.
The fall-out has impacted across the oil and gas supply chain.
Drilling contractor KCA Deutag has said it will cut around 230 North Sea jobs.
A number of significant oil services firms, including Aberdeen-based Wood Group, have cut the rates paid to contractors.
Rigzone said it surveyed hiring managers and recruiters across the globe from 17 February to 9 March.
Some 679 people responded to the survey, with 21 per cent representing companies that have more than 5,000 employees.
Thirty five per cent of respondents said they recruited in Europe.
Rigzone has incorporated the OilCareers.com international oil and gas job board into its operations.
In March 2013 research by OilCareers.com and Air Energi found skills shortages were seen as one of the biggest challenges facing the global oil and gas industry.
Been looking for work for over 3 months now.
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