The global energy industry is experiencing uncertainty, influenced by factors such as geopolitical tensions, policy shifts and the expanding energy market. These factors create challenges and opportunities for recruitment.
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Reasons for disruption in energy recruitment
Recent geopolitical developments, including new administrations in the USA and UK and shifting regulatory frameworks, have exacerbated an already volatile market, influencing job creation and hiring trends. Conflicting policies on fossil fuels and renewables create uncertainty for investment and job stability.
Despite the current “drill, baby, drill” rhetoric in the US, recruitment data suggests the industry is adopting a more cautious approach. Commitments to boost domestic oil and gas production contrast with the new administration’s challenge to the emerging offshore wind sector.
Meanwhile, the UK continues to push forward with renewable energy initiatives, but market uncertainty makes it difficult for operators to plan for their long-term workforce requirements.
Globally, some of the biggest names in the operator and service sectors are refocussing on oil & gas whilst introducing workforce freezes and reductions following forecasts that this might be a flat year at best, followed by a stronger outlook for 2026. Away from the US, renewable energy is increasing the demand for specialised skills. However, the shortage of skilled personnel in both the traditional and emerging energy sectors and attracting tomorrow’s workforce into the industry remain critical challenges. JAB discusses these challenges in detail here.
© Supplied by JabRecruitment: the barometer of industry health
Recruitment trends offer valuable insights into the actual health of the energy sector rather than generalised perceptions. Recent data shows a noticeable decline in oil and gas job postings, both onshore and offshore, with figures suggesting an almost 25% decrease in key regions compared to last year. Key sectors include subsea construction, and general inspection, repair and maintenance.
While the oil and gas sector faces uncertainty this year, companies focusing on low-carbon opportunities, such as carbon capture and storage and hydrogen, are seeing increased investments and hiring opportunities. Additionally, the digital transformation of energy services, including remote monitoring and artificial intelligence-driven asset management, is creating new job opportunities.
Learning from the recruitment lessons from the past
The energy industry has always been cyclical and highly volatile. It’s shown resilience during past downturns by adapting to new realities through strategic hiring and upskilling. The most recent downturns in 2014 and during the COVID-19 pandemic provided valuable lessons in diversification. Companies that expanded into renewables and energy services managed to emerge stronger. Organisations that invest in training programs during slowdowns are better equipped to scale up when market conditions improve. Similarly, those that maintain a proactive approach to talent acquisition can gain a competitive edge when hiring picks up.
Recruitment pitfalls for companies to avoid
Recruiting is a skill in itself and requires senior and adequately trained personnel to ensure it’s done properly. Delaying hiring decisions in challenging times can lead to losing top talent to competitors. Recruiters must be clear, concise and quick to attract the best people. An over-reliance on automated recruitment screening processes used by generalised job platforms may miss out on highly qualified candidates in specialized fields. However, data-driven insights are essential when it comes to understanding the market.
Setting up for recruitment success
For employers, partnering with a global energy industry recruitment expert like JAB, who understands the niche nuances of the market, can provide a significant advantage in securing the right people. A strong reputation that highlights stability, career growth opportunities, and work-life balance can attract employees at all levels.
JAB previously discussed how AI is revolutionising recruitment. Offering flexibility by providing contingent worker solutions, which are available on its job search app Moblyze, allows employers to scale recruitment to match fluctuating demands.
Investing in training and upskilling programs prepares the workforce for the evolving needs of the expanded energy sector. The recent launch of the energy skills passport is a step in the right direction for workforce mobility. The passport aims to create clear pathways for oil and gas workers to transition into renewable energy roles, ensuring that essential skills and experience are retained within the industry. JAB has long been of the same mindset (discussing unlocking transferable skills here) and its app powered by Moblyze has been created to make the recruitment in the energy expansion as seamless as possible.
Despite this year’s market uncertainty, opportunities exist for companies that adapt their recruitment strategies to match changing industry trends. By staying informed, proactive, and flexible, employers and employees can successfully progress in what we passionately believe is the most exciting industry in the world.
Find out more from JAB Recruitment.
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