Falling oil prices: How recruitment affected?
Posted on: Wednesday, 13 May 2015
Global oil prices have fallen sharply over the past seven months, leading to significant revenue shortfalls in many energy exporting nations, while consumers in many importing countries are likely to have to pay less to heat their homes or drive their cars.
From 2010 until mid-2014, world oil prices had been fairly stable, at around $110 a barrel. But since June prices have more than halved. Brent crude oil has now dipped below $50 a barrel for the first time since May 2009 and US crude is down to below $48 a barrel.
The reasons for this change are twofold - weak demand in many countries due to insipid economic growth, coupled with surging US production.
Added to this is the fact that the oil cartel OPEC is determined not to cut production as a way to prop up prices.
In point of fact, the intricacies of oil markets extend far beyond the cost of driving a vehicle and well into the boardrooms of major oil and gas companies that are making major spending decisions. The volatility means that jobs across the economic spectrum are at stake, which makes one question whether this is the time to press forward with increased oil supplies from Canada’s Keystone Pipeline.
The Global Job Index features news and updates affecting the oil and gas employment market worldwide. Gain insight into fluctuating job vacancies, as well as local events which impact the demand for talent. Find out how hiring managers are overcoming recruitment challenges in different regions and discipline areas. Learn what skills are in demand where and what projects are in the pipe that could see this change.
The Global Job Index for the first quarter traditionally sees a bounce back as hiring restarts after the holiday season slowdown in the previous quarter. Not surprisingly, Q1 2015 bucks the trend.