UK’s Oil & Gas Sector ‘Shed 60,000 Jobs in 2016’
September 12, 2017
A total of close to 60,000 people employed directly or indirectly through activity in the UK’s oil and gas sector lost their jobs over the course of last year.
That’s according to the trade body for the sector Oil & Gas UK, which had previously estimated that roughly 40,000 jobs might have been lost in the industry during 2016.
A prolonged slump in the price of oil on international markets has had a hugely damaging impact on the UK’s energy industries in recent years, with oil and gas companies having been shedding jobs now at a rapid rate for several years.
Oil and gas businesses employ several hundred thousand people across the UK and the industry has a particularly strong presence in Scotland and off its North Sea coastline.
As many as 300,000 people are currently estimated to be employed directly or indirectly by energy businesses across Britain but that figure is very substantially down on the number for 2014, when employee numbers peaked at close to 450,000.
The latest report on the economics of the industry from Oil & Gas UK predicts that a further 13,000 jobs will be lost within the sector over the course of 2017.
“There are still serious issues facing our industry which has suffered heavy job losses since the oil price slump. But we are hopeful that the tide is turning and expect employment levels to stabilise if activity picks up,” said Deirdre Michie, Oil & Gas UK’s chief executive.
“Despite our difficulties, we’ve got more reasons to be positive. Our sector is successfully re-positioning through efficiency and cost improvements. We are transforming in a way that is getting UK oil and gas back in the game.”
The employment numbers used by the oil and gas trade body include people who are directly employed by companies in the industry but also people who work within the associated supply chain or whose jobs depend on spending within the wider economy by energy firms and their workforces.
If you have been affected by the oil and gas industry downturn and you have been left struggling to manage your debts as a result then Scotland Debt Solutions can help. Contact your nearest office to arrange a free and confidential consultation.