Which Generation Is Most in Demand in Oil, Gas Right Now?

Which generation is most in demand in the oil and gas industry right now – Baby Boomers, Gen X, Millennials, or Gen Z?

The answer to that question is Millennials, Dave Mount, the President of Louisiana based OneSource Professional Search, outlined to Rigzone.

“They have work experience ranging from four to 18 years,” Mount told Rigzone. 

“Many companies are experiencing the big crew change of Boomers retiring and are building their company/bench strength with these professionals,” he added.

Baby Boomers ranked second in a list of three Mount sent over. The OneSource Professional Search head said this generation offers “great industry experience” and “work ethic” and highlighted that they are in demand at smaller/leaner companies and mid-sized companies “needing seasoned leadership, mentorship, and knowledge transfer of newer less experienced employees”.

Gen Z ranked third and last in Mount’s list, with the OneSource President noting that most Gen Z workers are near entry level “and our firm doesn’t have high demand for near entry level search”. 

“They are being hired through typical company college recruiting channels,” Mount said.

When asked the same question, Brian Binke, the CEO of Michigan based the Birmingham Group, an affiliate of Sanford Rose Associates, told Rigzone that the oil and gas industry is experiencing rising demand for younger workers, “skilled in new technologies and soft skills, to replace retiring professionals”. These would be individuals that were born between the years 1990 and 2001, Binke noted.  

“Despite robust profits and increasing global demand, the sector faces challenges attracting and retaining this new talent,” Binke said.

“To address this, companies need to invest in education, innovative recruitment strategies, and technology. McKinsey forecasts a need to fill 1.9 million skilled roles by 2025, prompting companies like ExxonMobil to partner with educational institutions, and Shell with Google Cloud, to enhance their appeal,” Binke added.

“Additionally, diversity needs improvement, with companies like BP aiming for more women in leadership roles. Competitive compensation, like TotalEnergies’ comprehensive benefits, is also essential. Environmental initiatives, such as Chevron’s commitment to cut emissions, are necessary to address public concerns,” he continued.

“Thus, through education, technology, diversity, competitive pay, and sustainability, the industry can overcome this skills shortage,” Binke went on to state.

According to Texas based The Center for Generational Kinetics, which describes itself as the number one research firm in generational studies and solutions, Baby Boomers are those born between 1946 and 1964, Gen X are those born between 1965 and 1976, Millennials are those born between 1977 and 1995, and Gen Z are those born between 1996 and 2015.

Earlier this year, in an article looking at oil and gas recruitment, Binke told Rigzone that not enough young adults are entering the oil and gas industry.

“The young adults that are interested in the energy workforce are typically going towards renewable energy since it’s the new ‘big thing’,” Binke said at the time.

“Oil and gas companies are going to face hiring issues in the future because a lot of people currently in oil and gas want to leave the industry,” he added.

In that same article, Neil Bradshaw, Petroplan’s EMEA Head of Permanent Recruitment, told Rigzone that there are simply not enough young people entering the oil and gas workforce in recent times.

“It’s set to be a real potential challenge in upcoming years for companies within a global industry that has traditionally experienced challenges with skills shortages,” he added.

Gladney B. Darroh, the founder and president of Houston based Piper-Morgan Search, told Rigzone in that article that “there will always be ‘enough’ young people attracted to the oil and gas industry because the oil and gas companies (upstream/midstream/downstream) will always do what they have to do to entice them”.

To contact the author, email andreas.exarheas@rigzone.com