Austin, Texas - Today the Texas Independent Producers & Royalty Owners Association (TIPRO) published the next installment of its "Texas Oil and Natural Gas Industry Hiring and Workforce Trends Report." The new study examines employment trends in the Texas upstream, midstream and downstream sectors for the months of November 2020 through January 2021, including industry job postings, desired skills and qualifications sought for applicants and other data as outlined in the report.

Despite the many challenges facing the Texas oil and natural gas industry in 2020, the sector has continued to provide significant economic support in Texas, accounting for 39 percent of all oil and gas employment in the nation. According to TIPRO's 2021 State of Energy Report, the oil and gas industry supported a total of 347,529 direct jobs in Texas in 2020, a decrease of approximately 73,982 net jobs over the previous year. When factoring in the direct, indirect and induced multipliers for total oil and gas employment, the industry supported a total of 2.4 million positions last year. Direct oil and natural gas jobs held an average annual wage of $129,989 in Texas, which is 113 percent higher than average private sector wages in the state.

As outlined in TIPRO’s new workforce analysis, citing the Bureau of Labor Statistics' (BLS) monthly Current Employment Statistics (CES) report, Texas upstream employment increased in the fourth quarter of 2020 by 1,600 jobs compared to last year's third business quarter. Oil and natural gas extraction accounted for all the gains in the industry's fourth quarter with an increase of 2,267 jobs, while service sector employment decreased by 667 jobs in the same timeframe, subject to revisions.

“As the Texas oil and natural gas sector continues to recover from a very difficult year, ensuring access to a qualified workforce will be essential to the future growth of the industry,” said Brent Hopkins, chairman of TIPRO and CEO of Suemaur Exploration & Production LLC. “With the right policies in place, Texas can prepare the workforce of the future to allow the continued success of the oil and gas industry and other key sectors,” added Hopkins.

The extreme weather conditions in Texas this month have created additional challenges for oil and gas operators, but TIPRO expects the overall impact of the storms to be minimal with respect to hiring and commodity prices. TIPRO also notes the events that transpired last week are a painful lesson on the importance of having access to reliable energy for power generation and that without the massive ramp-up in natural gas generation that occurred the state would have faced far more dire circumstances.

“Texas isn’t lacking in energy resources, but we must have the ability to deliver that energy to households and businesses,” explained Ed Longanecker, president of TIPRO. “Texas must ensure that we have adequate reserve power in place, bolster pipeline infrastructure and determine the right level of resilience to safeguard it against extreme weather events,” Longanecker concluded.

TIPRO added that a rebound in commodity prices, additional infrastructure projects and improving global energy demand will all result in employment growth for the Texas oil and gas industry. The organization said it will continue to support legislative and industry-led efforts to examine labor needs within oil and gas to identify workforce gaps.

Highlights from TIPRO's latest energy report include:

 TIPRO's "Texas Oil and Natural Gas Industry Hiring and Workforce Trends Report" is available for download at: