US oil production hits record levels while jobs decline

Despite record oil and gas production in the U.S., job opportunities in the sector continue to decline due to increased efficiency and technological advancements.

Mike Soraghan reports for E&E News.

In short:

• Oil production in the U.S. has reached an all-time high, with the country averaging 13.4 million barrels a day, yet employment in the oil and gas fields has decreased by nearly 20% from pre-pandemic levels.
• Technological innovations such as automated rigs and remote drilling have reduced the need for workers, leading to a more streamlined but smaller workforce.
• While job growth has slowed, the oil and gas industry continues to support related jobs in refineries, infrastructure and supply chains, contributing significantly to local economies.

Key quote:

“You just need fewer workers to produce more oil. When you need less workers, that’s a sign of growth. On the other hand, these are real people losing their jobs.”

— Greg Upton, executive director of Louisiana State University’s Center for Energy Studies

Why this matters:

The decline in oil and gas jobs amid rising production highlights a shift toward greater efficiency, which could affect employment in energy-dependent regions. As technology evolves, the industry may see further job reductions, impacting economic stability in key areas reliant on fossil fuel production.

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