• 3 minutes Oil Price Could Fall To $30 If Global Deal Not Extended
  • 8 minutes Why Is America (Texas) Burning Millions of Dollars Per Day Of Natural Gas?
  • 11 minutes Is $60/Bbl WTI still considered a break even for Shale Oil
  • 15 minutes CNN:America's oil boom will break more records this year. OPEC is stuck in retreat
  • 4 mins The Pope: "Climate change ... doomsday predictions can no longer be met with irony or disdain."
  • 7 hours Hormuz and surrounding waters: Energy Threats to the World: Oil, LNG, shipping markets digest new risks after Strait of Hormuz attack
  • 12 hours As Iran Nuclear Deal Flounders, France Turns To Saudi For Oil
  • 7 hours The Magic and Wonders of US Shale Supply: Keeping energy price shock minimised: US oil supply keeping lid on prices despite global risks: IEA chief
  • 16 hours Middle East on brink: Oil tankers attacked off Oman
  • 8 hours Russia removes special military forces from Venezuela . . . . Maduro gone by September ? . . . Oil starts to flow ? Think so . .
  • 10 hours Never Knew Gasoline Prices were this important!
  • 9 hours (Un)expectedly: UK Court Sets Assange U.S. Extradition Hearing For February 2020
  • 1 day Emmissions up, renewables nowhere
  • 5 hours We Are Better Than This
  • 1 day Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 1 day Only one country is contemplating destroying its own resource sector: Canada
  • 1 day Britain makes it almost 12 days with NO COAL
Julianne Geiger

Julianne Geiger

Julianne Geiger is a veteran editor, writer and researcher for Oilprice.com, and a member of the Creative Professionals Networking Group.

More Info

Trending Discussions

Hiring Frenzy Spurs Wage War In The Permian

The Permian basin is on fire, and the current boom cycle in its oil industry is posing an interesting challenge that area in Texas: Right now, that challenge is a shortage of oil industry workers.

The oil industry, in an attempt to keep up with increased oil production—particularly in the Permian Basin, is one-upping other employers in a mad dash to reclaim enough workers to keep the industry awash with oil.

In fact, as the Dallas News pointed out on Wednesday, the industry is throwing double pay to woo workers away from other industries, such as school bus drivers, police officers, and restaurant personnel—and everything in between. So much so, that other businesses are finding it hard to maintain a proper workforce.

That is good for the Permian Basin workers who are now getting double pay. Not so good for the kids who are getting to school late because there aren’t enough bus drivers to get them to school.

But things haven’t always been this cheery for Texas, who is used to the ebb and flow that is indicative of oil country. Oil production in the United States has grown from 8.9 million barrels per day in January 2017 to a record 10.8 million bpd now, and it’s showing no signs of stopping just yet.

Oil production in the Permian Basin, specifically, has grown from around 2.0 million bpd in January 2017 to over 3.0 million bpd now. And while takeaway capacity has been cited as a possible kink in its aggressive plans to pump more, worker shortages may prove to be a significant hurdle. Related: New Technology Could Wipe Out Trillions In Fossil Fuel Investment

This onslaught of production in the Permian—and the boon for Texas workers, is in stark contrast to the bust cycle in mid-2016, when over 11 Texas towns were considered for a downgrade by Moody’s as the oil industry there—and everywhere, really—struggled to maintain during the low oil prices at the time. Oil workers were let go, and were forced to find jobs in other industries.

Many in the industry saw the writing on the wall as early as the end of 2017—including senior Wood Mackenzie energy analyst Ryan Duman, who said of oil workers at the time:

“What we need to see is a massive rehiring to make up for the labor that was let go during the bad times, and operators need more equipment, such as pressure pumping and other assets, in order to push forward with hydraulic fracturing — in other words, the completion stage — which comes after the rigs have dug the wells.”

That hiring frenzy in Texas is now in full swing, and a wage war is underway.

By Julianne Geiger for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage

Trending Discussions


Leave a comment
  • Bill Cooper on June 07 2018 said:
    Except this time its going to be extremely difficult for companies and recruiters to find experienced people. Most of the people who were laid off were experienced field hands and professionals. Many have taken retirement or have simply moved on, some will return, no doubt. Recruiters are panicking now, and are already struggling to find people even at this very early stage of what is set to be a very large and long upturn. Possibly the biggest and longest upturn the industry has ever known is on it's way. Happy days ahead for all.
  • Ride the roller coaster on June 07 2018 said:
    Hey you new folks working on the latest oil boom, remember the prayer of old oil workers 'Please Lord, give me one more oil boom, and I promise not to p!ss it away this time!"
  • jcs on June 07 2018 said:
    this will not last and will not amount to much. Industry specifically laid off experience and loyalty. Nothing there will change, when will management ever admit a mistake, answer is never.

    accountants and Lawyers run the industry now. Guess they can strap on the coverall and swing a hammer....
  • Bill Cooper on June 09 2018 said:
    "May your boots always be clean, your gloves new and your coffee fresh"...another well known oilfield phrase. This was the mother of all downturns, but its going to be the father of all upturns. All those genius accountants can give themselves a pat on the back for all the rental tools they sent to scrap which are now urgently needed.

Leave a comment





Oilprice - The No. 1 Source for Oil & Energy News