Journally Speaking: The future of energy

Employment in the US energy sector continues to rise with an increase in economic activity and strengthening demand for oil and natural gas. That, dear readers, was the opening line of this editor’s Journally Speaking this time last year. This summer’s writing, however, looks at another facet of oil and gas industry employment: the negative perception that could hamper the industry’s ability to attract talent. It’s a known issue, yet one with which the industry still struggles.

Hydrocarbons enable modern life as we know it; yet escalating voices from both sides—rightfully frustrated—do nothing to bridge the gap between the benefits hydrocarbons provide and the industry’s negative perception. It’s an issue for both the existing workforce and the next generation of innovators.

“Oil and gas companies are no longer a place where someone thinks about carving out a long-time career,” one human resources executive told OGJ. The boom-and-bust nature of the business has prompted many workers, especially mid-career, to opt out, said Jason Walker, managing partner and co-founder of Thrive HR Consulting.

More than that, a layoff-then-rehire strategy has tainted a subset of bright minds who may have otherwise considered a career in the industry, he said.

A next-generation apprehension that the industry will not survive, adapt, and thrive is of particular concern. Technological innovation borne from and used by the oil and gas industry is what will continue to drive a more-sustainable future, all while ensuring reliable and affordable energy. A meeting of the minds is needed.

In a July opinion piece for Forbes, “Does Gen Z Care About the Energy Industry?”, Neha Bhat, University of Houston (UH); Aparajita Datta, UH Research Assistant; and Ramanan Krishnamoorti, UH Chief Energy Officer, wrote not only about the issue, but what has been ideated and implemented.

“The 2021 World Petroleum Congress Global Youth Survey found that industry approval rates are lowest in North America, where 30% of survey respondents believe that working in the oil and gas industry is unattractive,” the authors wrote.

“The respondents listed the industry’s environmental impact, uncertainty around career growth, the perception that the industry is not doing enough for the energy transition, and beliefs that the industry is aging as the top five reasons for their negative beliefs. The commonality among respondents who were most skeptical of the oil and gas industry is worth noting—they reported that they had never had an opportunity to interact with industry professionals, and hence, their opinions are based on general perceptions,” they continued.

As the energy capital of the world, the city of Houston continually works to find innovative solutions to energy industry problems, they said, and UH is working to “separate information from noise and engage the younger workforce.”

Enter UH’s Energy Coalition (EC); the largest student organization on campus. Students with varying levels of experience and from a range of majors work and volunteer in the energy industry and nonprofit organizations, contribute to professional organizations, host industry-specific job fairs, and partner with alumni, all with an eye to understanding and impacting the future of energy.

The EC “has fostered a space where generational differences invite dialogue and spark innovation. Attracting and retaining young workforce talent in North America, where the industry is less attractive, is critical to the energy transition and the future of the industry,” the authors said.

From an HR perspective, noted Thrive HR Consulting’s Walker, attracting tomorrow’s talent requires the industry and its partners to create a vision of what can be done in the renewable energy space and the associated messaging must reach far and wide.

Collaboration between industry and UH’s Energy Coalition could be a blueprint for the recruiting, engagement, culture, and change management required to propel us all forward.