Human resources consulting firm Mercer's annual survey of oil and gas workers got a twist in 2014 after the global collapse in oil prices hammered the industry, leading to thousands of layoffs. The instability led to far different answers on the survey asking what job perks mattered most to energy industry employees than in previous years. less
Human resources consulting firm Mercer's annual survey of oil and gas workers got a twist in 2014 after the global collapse in oil prices hammered the industry, leading to thousands of layoffs. The instability ... more
Photo: James Glossop / James Glossop
<p><b>Job security was No. 1</b></p>
Perhaps unsurprisingly, Mercer noted that workers in the oil and gas industry rated job security as the the most important factor in seeking employment. The value workers placed on a stable job rated higher than the importance of base pay in every demographic surveyed and across the U.S., Canada and other countries. less
<p><b>Job security was No. 1</b></p>
Perhaps unsurprisingly, Mercer noted that workers in the oil and gas industry rated job security as the the most important factor in seeking employment. The value workers ... more
Photo: Chris Carlson / Associated Press
<p><b>Oil and gas was the only industry where that was the case</b></p>
Workers from no other industry besides oil and gas rated job security above salary, though base pay was still the No. 2 concern for energy employees. less
<p><b>Oil and gas was the only industry where that was the case</b></p>
Workers from no other industry besides oil and gas rated job security above salary, though base pay was still the No. 2 concern for ... more
Photo: Hasan Jamali / AP
<p><b>Salary was the only job perk that oil and gas workers were mostly satisfied with</b></p>
Almost 60 percent of survey respondents said they were satisfied with their base pay, 13 percentage point higher than positive responses for job security. less
<p><b>Salary was the only job perk that oil and gas workers were mostly satisfied with</b></p>
Almost 60 percent of survey respondents said they were satisfied with their base pay, 13 percentage point higher ... more
Photo: Chris Carlson / Associated Press
<p><b>North American and global employees were split over the importance of base pay</b></p>
While U.S. and Canadian workers were mostly satisfied with base pay, workers in other countries said they had low satisfaction with their salaries. Workers in these countries, whose reponses made up 7 percent of the survey, rated base pay ahead of job security in importance. less
<p><b>North American and global employees were split over the importance of base pay</b></p>
While U.S. and Canadian workers were mostly satisfied with base pay, workers in other countries said they had low ... more
Photo: Ariana Cubillos / Associated Press
<p><b>Executives and employees were split over job security and bonuses</b></p>
For oil and gas industry executives, incentives and bonuses were the only factors that rated above average in importance. Employees rated incentives and bonuses as the factor they valued the least. less
<p><b>Executives and employees were split over job security and bonuses</b></p>
For oil and gas industry executives, incentives and bonuses were the only factors that rated above average in importance. ... more
Photo: Carol Kaliff / Carol Kaliff
<p><b>Oil and gas workers don't care much about work-life balance</b></p>
Workers in the industry were satisfied with their schedules, even though they typically work long hours. Work-life balance was only the fourth most important value to workers, according to the survey. less
<p><b>Oil and gas workers don't care much about work-life balance</b></p>
Workers in the industry were satisfied with their schedules, even though they typically work long hours. Work-life balance was only ... more
Photo: Dario Lopez-Mills / Associated Press
Respondents in both the U.S. and Canada said they were satisfied with their healthcare coverage while also placing little importantance on it. Only work-life balance was rated lower in importance.
Respondents in both the U.S. and Canada said they were satisfied with their healthcare coverage while also placing little importantance on it. Only work-life balance was rated lower in importance.
Photo: JOHN DAVENPORT / SAN ANTONIO EXPRESS-NEWS
<p><b>Career opporunities were rated low</b></p>
Career advancement was the third most important factor to oil and gas workers, but less than 40 percent of respondents said they were satisfied. less
<p><b>Career opporunities were rated low</b></p>
Career advancement was the third most important factor to oil and gas workers, but less than 40 percent of respondents said they were ... more
Photo: Hasan Jamali / AP
<p><b>Mercer expects a severe shortage of petroleum engineers by 2017</b></p>
The oil price crash will likely decimate the supply of petroleum engineers over the next few years, with Mercer predicting the industry will see a shortfall of 22,000 employees for these positions by 2017. less
<p><b>Mercer expects a severe shortage of petroleum engineers by 2017</b></p>
The oil price crash will likely decimate the supply of petroleum engineers over the next few years, with Mercer predicting the ... more
Photo: Chris Carlson / Associated Press
Other stories to follow:
- Texas border town suffering from plant shutdown
- Thousands more job cuts on the way for one oil major
HOUSTON — Southwestern Energy Co. will shed more than 40 percent of its workforce starting in the first quarter as it pauses its U.S. drilling program to cope with low natural gas prices, the company said Thursday.
The natural gas driller expects a $60 million to $70 million pre-tax charge for severance payments and other costs of cutting 1,100 jobs. About 300 of those are part of Southwestern’s Houston headquarters.
Falling natural gas prices over the past year has meant “cash flow to fund projects will be significantly lower than it has been the past few years,” Southwestern spokeswoman Christina Fowler said in an emailed statement. “These organizational changes are required to maintain competitiveness in this low gas price environment.”
Domestic gas prices have fallen 27 percent since this time last year, squeezing cash flows for shale gas drillers like Southwestern that put most of their drilling rigs in the gas-rich regions in West Virginia and Pennsylvania.
Southwestern said it hadn’t deployed any rigs at the beginning of the year and hasn’t set its annual investment budget or operating plan. The firm had cut roughly 100 jobs in August, and combined with the layoffs announced Thursday, Southwestern expects to cut its costs by $150 million to $175 million annually.
