from operations, project management and logistics, to construction ..... The visa and immigration services employees are
globalenergy & naturalresources
Mobilisation and its impact on the global Oil & Gas market
Index 3
21 24 26 28 30 32
Mobilisation Insightsn Insights Mobilisation & its effect on recruitment and retention Motivation & mobilisation Supporting mobility Support structures ns Regional & Salary trendsn Europe Africa South America US & North America Middle East Asia Pacific
34
Methodology
4 11 13 16
“Skills shortages, ‘buying expertise’ and visa limitations impacting the sourcing of talent remain factors affecting the global Oil & Gas recruitment market.”
Introduction
Introduction The Global Energy & Natural Resources market is experiencing considerable growth and investment. Majors & operators are embarking on large international projects which will open up mobilisation opportunities for talent considering overseas assignments- but how will this impact on salaries and how does it affect perceptions in the Oil & Gas industry? In this global mobilisation report we highlight candidate motivations across the globe in terms of the rise in
overseas opportunities, which regions are considered the most attractive and what support is the most important from an employer to our international talent base. Finally we explore factors such as skills shortages, the focus on ‘buying expertise’ and the limitations that visa requirements present to our global candidate base. We also outline salary rates and provide regional insights around market trends across core disciplines and how these impact candidates across the globe.
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Mobilisation & its effect on recruitment and retention
The contractor/permanent split
Setting the scene Over the space of 3 months Progressive GE has been speaking with employees from across the world to understand how attractive the prospect of working abroad is, where the most attractive places to work are, the drivers for international mobility and what provision employees would expect if they were to look at an international move. We spoke to both contractors and permanent members of staff across the Americas, Africa, Asia Pacific, Europe and the Middle East, whose experience ranged
Contractors by region UK 13%
from operations, project management and logistics, to construction, drilling and Health & Safety. Our respondent panel approximates a 50/50 split between contract and permanent employees. Before we explore employee perceptions of mobility though, we first wanted to understand where respondents were engaging from, to better understand their likelihood and receptiveness towards global mobility.
Permanent staff by region UK 10%
Africa 9%
South America 6% Asia Pac 29%
North America 13%
Africa 6%
Asia Pac 20%
South America 21% North America 15%
Middle East 11% Europe 17%
Europe 17% Middle East 11%
Out of our contractor population we can see there is a pretty even balance between the people that currently work in their country of origin and those that don’t; with 47% currently working outside where they were born. That’s hardly surprising considering demand across the global energy market is showing greater impetus in countries such as China, India and Brazil. In countries such as these, demand is far outstripping the supply of local talent and companies are looking to build international project teams to meet their local skills gaps, while also bringing in international expertise to meet their local knowledge requirements. The impact of shale on the US oil and gas industry, which has increased by over 25% in the last five years, is also having a significant impact on the levels of talent required in country. This means demand for people with highly specific skills has become a global one. Indeed when we look further into our contractor population we can see that 62% of people we spoke to have 10+ years experience, which goes some way towards explaining how this population has become increasingly migratory. What could be regarded as surprising though is that over 1/3rd of our permanent panel (38%) work outside their country of origin. This suggests migration is not as transitional as many would believe. Experience is also increasingly becoming a critical driver for companies looking to recruit permanent members of staff, although we do see a much broader spread of experience for recruits of this type. Only 40% of people we spoke to have more than 10 years experience, 12% have between 8-10 years and almost a quarter (22%) have between 5 and 7 years. So it seems we have two streams of recruitment activity happening across the world; a permanent cycle where companies are looking for a broader skillset and a range of experience, typically in more support-driven roles, and a contract market where companies are looking to fill their immediate and, potentially, long-term skills gaps, which are more market and demand-focused.
Country of origin Contract No 47%
Yes 53%
Permanent No 38%
Yes 62%
Experience Contract
62%
of people we spoke to have 10+ years experience
Permanent
40%
of people we spoke to have 10+ years experience
12%
of people we spoke to have between 8-10 years experience
22%
of people we spoke to have between 5-7 years experience
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Contract The professional contractor When we talk specifically to contractors there’s been a marked increase in full-time professional contractors. Indeed over recent years we’ve seen a permanent brain drain within the oil and gas industry as more employees look for the challenge, opportunity and financial benefits associated with being a full-time contractor, while leaving behind the comfort and stability associated with being a full-time employee. Perhaps in synergy with this rise in the professional and full-time contractor we can also see employers becoming increasingly attracted to the prospect of recruiting international project teams and shipping them out to different projects and assignments across the world. The breakdown of our contractor population reaffirms that new markets are the most attractive proposition, with Asia in particular having the largest contingent of contractors with 29% currently located there. This is 10% more than the second biggest population, Europe at 19%, Africa (9%) and South America which accounts for only 6%. However we do expect these numbers to increase significantly in the next few years, particularly in South America and Africa. The first signs of that movement are already being seen in Brazil where demand has been growing over recent years as the country increases its oil reserves. In Brazil recent discoveries have resulted in the highest increase
in oil reserves anywhere in the world, jumping from 14th to 8th in the world rankings*. And with Petrobras alone planning to invest US$147 billion in the next five years demand is only going to increase. What’s more, with Africa currently supplying roughly 12% of the world’s oil and having significant untapped reserves (which have been estimated at 8% of the world’s total) Africa is sure to continue to drive demand for oil and gas talent; particularly when we consider the potential opportunities emerging as a result of new exploration programmes, development of its ports, pipeline engineering and major infrastructure projects happening across the continent.
Movement of talent Considering the major global opportunities for contractors and permanent hires it’s worthwhile understanding how likely we are to see movement in the talent pool and whether this is likely to impact on employers and their need to be more international in their outlook. Although demand for contractors has eased slightly in the final quarter of 2013, confidence and demand will inevitably pick up as we move into 2014 and in particular the second half of the year. With that in mind, we are already seeing confidence from contractors grow. When we asked contractors how likely they are to look for a new assignment in the next 12 months it’s therefore little surprise that 29% said they’d be likely
and 61% said very likely to do so. However this does suggest that many assignments are coming to an end or that contracts are being managed on a relatively short-term basis, which could mean a project-focused talent drain that has the potential to put extra pressure on project delivery. A lot of the global activities we’ve seen over recent months suggests that there is still a talent war happening across the industry and a noticeable amount of recruitment activity is focused on people moving across competing companies or across borders to get the salaries and opportunities available to them in the market.
How likely are you to look for another job in the next 12 months?
61% Highly likely
Confidence is also permanent What is surprising though is that almost 4/5ths (79%) of permanent employees are either likely (29%) or very likely (50%) to look for a new job in the next 12 months. The difference though is that many of these potential permanent specialists are looking to move towards self-employed contracts as demand for contractors increases, skills gaps continue to grow and salaries are increasing exponentially as a result. An additional concern though is that we expect to see a major global talent drain across all areas of the oil and gas supply chain, as experienced people recruited in the 70s and early 80s get closer to retirement and companies risk losing years of experience and expertise.
29% Likely
7% Neutral
1% Unlikely 2% Highly unlikely
Permanent How likely are you to look for another job in the next 12 months ?
Contingent of contractors per region
Asia 29%
Europe 19%
Africa 9%
50% Highly likely
South America 6%
29% Likely
* Reference: PWC 2013
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13% Neutral 6% Unlikely 2% Highly unlikely
Contract Have you ever worked internationally for at least 3 months? No 42%
Yes 58%
How long ago did you work internationally? 18% Less than a year ago
20% Between 1 and 2 years
15% Between 2 and 3 years
14% Between 3 and 5 years 12% Between 5 and 10 years
20% More than 10 years ago
Would you consider working internationally in the future?
Contractor mobility
Permanent mobility
If we look closer at the contractor market we can see the proportion of people that have worked internationally for at least 3 months is not as extensive as many would expect. Only 58% of people said this was the case. What is telling though is that we can see international contracts are becoming increasingly attractive, no doubt driven by better pay, opportunities and potential conditions outside of our respondents original countries of origin.
Considering permanent recruitment, where the major areas of growth have been within support or operations functions, we can see that this is still a highly mobile market with 45% of the people we spoke to saying they had worked for more than 3 months in an international location. Unlike contract though over the last 5 years mobility of permanent employees has grown exponentially to the extent that 27% of people had worked internationally less than 12 months ago – the highest level we’ve seen for some time. These trends are perhaps little surprise when we consider that the global oil and gas market has become a lot more disparate over recent years, and new emerging markets have been driving demand, and indeed the supply of people with international experience.
Looking at the table we can see that more than 10 years ago we saw 1 in 5 (20%) contractors had worked internationally but then saw a dip between 5 and 10 years, where numbers fell by almost a half (12%). Over the last 5 years though this trend has been changing incrementally year-on-year as international demand and competition for senior talent has increased. In fact the percentage of contractors that had worked internationally was back at the 10 years+ level in 2013 when 20% of people said they’d been employed internationally between 12 and 24 months ago. Although the last 12 months has seen that number drop slightly, we can see almost unanimous agreement that contractors are receptive to working internationally in the future, with 96% of people saying this is an attractive proposition. What’s more, more than a half of the contractors we spoke to (56%) agreed they’d seen a rise in the number of international opportunities and this was key to their willingness to move across international borders. Whether this was a positive or negative factor provides some insight into the attractiveness of international mobility for contractors or whether the market demands have forced them to change their career ambitions. Our study confirms this as it shows a 50:50 split between contractors who feel they have to work abroad to achieve their ambitions and those that see it as a positive and personal change, although international mobility is not for everyone. In fact even though half of our study (49%) did not feel they needed to move abroad, over ¾ felt this was a positive change in the market and one they were comfortable with.
Permanent Have you ever worked internationally for at least 3 months? No 55%
How long ago did you work internationally?
What is surprising however is that working internationally in the future is a slightly more attractive proposition for permanent members of staff than it is for contractors, with 97% of the people we spoke to saying they’d seriously consider this opportunity. So what’s driving this for permanent mobility?
27% Less than a year ago
20% Between 1 and 2 years
There are still significant talent gaps across the whole of the oil and gas industry which began back in the 1980’s when around ¼ of geologists and engineers left the industry. Compounding this was the number of petroleum engineers and geology students dropped significantly in places like the US and Europe. Putting these two things together has meant that the legacy of the 1980s is still being felt today and is likely to increase even more given that a recent study found that an additional 22,000 engineers and geologists were likely to leave the industry over the next two years.
15% Between 2 and 3 years 12% Between 3 and 5 years
17% Between 5 and 10 years 9% More than 10 years ago
Would you consider working internationally in the future?
Yes 96%
Yes 97%
No 4%
Do you have to work abroad to achieve your ambitions? No 49%
Yes 51%
Yes 45%
Do you see the rise in overseas opportunities as a positive change? No 23%
No 3%
Yes 77% Progressive GE 9
Permanent Do you have to work abroad to achieve your ambitions? No 40%
Yes 60%
Have you seen a rise in overseas opportunities within your area over the past 12 months? No 38%
Yes 62%
Do you see the rise in overseas opportunities as a positive change? No 17%
Yes 83%
Added to these issues the rise in national oil companies in areas such as the Middle East and Africa, and the growth of independent companies throughout the whole of the supply chain, (both of which have increased demand and competition for qualified energy professionals), we can see that those in the industry are a much more attractive proposition than even before. This means competition has become fiercer, pay rates and benefits have increased significantly in some areas and the opportunities for people with specific skills and experience are much more compelling and international opportunities are much more attractive. Whether permanent employees feel the need to move abroad to achieve their ambitions shows that the permanent recruitment market is slightly different to the contract one in that the majority of people in this employment group (60%) feel international mobility to be a key part of their career development. This corresponds very closely with the number of people who feel there has been a rise in permanent overseas opportunities in the last 12 months (62%) and suggests we are seeing fewer opportunities for growth within their existing place of employment and that other companies or countries offer greater chances for personal growth. Looking closer we see that over 4/5ths of the permanent staff we spoke to saw the rise in international opportunities as a positive force for change and one they welcomed. This could again be driven by lack of opportunities in their current company or market, or could be driven by lifestyle or financial factors, which we’ll explore later.
International mobility
60% 10
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60% feel international mobility to be a key part of their career development.
Motivation & mobilisation With international migration high on the agenda for both contractor and permanent professionals and their motivation to move increasing year-on-year, we explored what makes employees consider moving internationally.
Show me the money
Job prospects
It’s perhaps little surprise that salary is the biggest attraction for people considering a move outside their country of origin, with 91% of our panel saying that this is the most important factor in their decisionmaking. As competition drives up international mobility and demand, our research shows that cross-border competition is not just affecting people’s willingness to move, but increasing the level of competition for the people most in demand. This in turn means salary levels in some areas are artificially inflated and as a result mobility is an increasingly attractive proposition.
Although salary is seemingly inextricably linked to international mobility almost 2/3rds of the people we spoke to (61%) said one of their key motivators for moving would be better job prospects.
Over the next 2-3 years though, we anticipate salary levels to find their own equilibrium. Only the most indemand disciplines, such as geology and engineering, will continue to evolve in this way and salaries in these areas will continue to remain buoyant and a key attraction for internationally motivated employees.
Globally we can already see a major culture change being driven by Generation Y and this will inevitably decide who wins and loses the war for talent.
Although competition between emerging and more developed regions will continue to drive changes in mobility patterns, we also anticipate the expectations of other, non-critical functions should level out and as a result those motivated by money alone will reduce significantly. Over the next 5 years we also anticipate that some functions will see salaries become harmonised across the world as mobility in oil and gas becomes increasingly the norm. As this happens employers will need to ensure their remuneration packages remain attractive and that employees can have a global perspective both within and outside their current organisation.
A recent study by PWC showed that Generation Y (or millennials) will “make up the significant majority of all international assignments by 2020”. As a result we anticipate we’ll see a significant change in focus with millennials focusing “on interest and opportunity,” rather than just financial rewards
Training and development have often been cited by this highly aspirational population as a key draw for them looking to move jobs; it empowers them to be more in control of their careers, makes them a much more attractive proposition to current and future employers and improves their attractiveness in the market. With competition driving demand and supply, for Gen-Y flexibility and mobility are key to their career aspirations, and if that means moving internationally to achieve them, then they are only too happy to do so. In fact, we’ve seen that Gen-Y are more open to international assignments than any other generation before and regard this as a key part of their own career and personal development.
Job prospects
61%
said one of their key motivators for moving would be better job prospects.
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Mobility
50%
Mobility is expected to grow by up to 50% by 2020
Lifestyle With mobility expected to grow by up to 50% by 2020, it’s hardly surprising that almost 2/3rds of our panel (60%) said international mobility was not just a way to make them more competitive in the recruitment market, but was also a great way to explore diverse lifestyles. Some even went as far as to say that a job would be a way to explore new countries and cultures and they intend to use this as a way to reduce risk when considering emigrating. The PWC study showed that CEOs are increasingly looking to change their approach to global mobility and would now look to include international secondments as part of their offering. This provides not only millennials the chance to explore the world and gain a much more attractive world-view of the oil and gas industry, but also encourage senior people to stay in the industry longer. At senior level we can already see people with significant experience and expertise (and who are particularly in demand) choosing to look outside their country of origin to provide them and their families with a different, and some might say, better lifestyle. With salaries increasing for key roles and competition driving demand, they are using this opportunity to give them a significant salary/rate bump and looking for jobs/assignments that give them the basis to explore countries or regions they are considering moving to later in life. Ask any oil and gas company in the world about what they are doing to recruit and retain their people and they’ll talk about their market-leading salary packages, exceptional bonus schemes, health and welfare plans and their world-class training and development
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programmes. None of which makes their recruitment offering stand out. Our survey shows that, in some regards there is already a major disconnect between what employees want and what employers are offering, and we anticipate this continuing unless non-financial compensation is also considered. As global mobility increasingly becomes the norm, we anticipate salary and benefit levels will become increasingly standardised and so global multinationals will need to be much more creative in their approach to recruiting and retaining key talent, including considering the importance of lifestyle for three very different generations of workers.
Considering the no-choice option With mobility becoming the norm across the industry it’s hardly surprising that less than a third of our panel (30%) felt they needed to look internationally for work. With international and intra-national mobility becoming a normal part of the industry as a whole, in the emerging and growth markets such as India, the US and the Middle East, the perception of mobility has changed. International mobility is now considered to be a standard part of a career in oil and gas. So the suggestion that people have to “go where the work is”, is misleading since the vast majority of employees do not feel they “have” to do it, it is that they naturally do it. This is confirmed by our panel as only 16% of people said the lack of local employment opportunities was a reason for them moving internationally.
30%
Of our panel felt they need to look internationally for work
Supporting mobility With companies having to consider mobility as a key part of their recruitment, retention, and growth strategies, and having to adapt their employer offering to be able to compete in the global war for talent, the industry needs to ensure that their offering is not disconnected from the needs of the people they are looking to attract. What’s more, with mobility becoming standard for people working within the oil and gas industry, its imperative employers understand how to facilitate the transition from country to country, and provide services that employees feel are critical to their international onboarding. This leaves them able to focus on what matters most – doing the job they’ve been employed to do. With that in mind we explore what support employees want from their employers and what concerns them about moving internationally as part of their oil and gas career.
Concerning Security Considering mobility is seemingly seen as a fundamental part of a long and prosperous career in the oil and gas industry, it’s perhaps surprising that many of the concerns employees have when moving abroad are around security. Almost 2/3rds of the people we spoke to (60%) said that security was becoming an increasingly important factor for them when considering international mobility. For many this is the key issue holding them back from taking on projects or jobs elsewhere in the world. But security does not just relate to secure ground transportation. It also refers to having somewhere safe and secure for themselves and their families to live; having safe and secure schools for their children and knowing that their employer has their wellbeing at heart. These factors are critical to people working all over the world, not just in the countries regarded as unstable and the sooner employers recognise them and make them a key part of their employer offering the better they’ll be at increasing the size and scope of their international talent pool.
Concerning health and welfare The second most important concern for employees is a much more fundamental aspect of their wellbeing. 44% of the people we spoke to said health and welfare was a real concern for them and their families when moving internationally. Some of the people currently on international assignment have even suggested their
families remain at home because this concern is not being fully addressed. For some employers and employees this is a natural part of working on assignment abroad, but if the war for talent is going to be fought on all fronts then this perception has to change, particularly when such large numbers of permanent experts are considering an international role. Although some major companies have a strong and welfare focused code of conduct for their employees and have set up wellness centres across the world, and others have afforded the same health and welfare benefits to active and retired employees, the focus across the industry seems to fall on employees only. Although employees recognise this as a key feature of their employment, as the permanent market becomes increasingly mobile then this offering will need to evolve and be extended to cover the people that are important in the lives of the people companies employ. Also project-based employees who are on assignment are concerned about the health and welfare benefits afforded to their families should the worst happen. Although some companies cover this eventuality and have programmes in place to help those left behind, this service needs to be extended so that families can feel safe in the knowledge their loved ones are protected and secure no matter where their job takes them.
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What concerns you most about working internationally?
Concerning instability With emerging markets becoming an increasingly attractive proposition for international job mobility it’s hardly surprising that potential employees are concerned about stability in those countries.
60% Security
44% My health and welfare
35% Political instability
27% Job stability
24% Standard of living
20% Family fitting in
19% Leaving friends and family
According to our panel, political instability is a real concern for more than 1 in 3 employees (35%). We’ve already seen how political instability in Africa has the potential to take its toll on the energy sector and are already seeing countries like Libya (which has the largest proven oil reserves in Africa) being affected by armed militias and striking oil workers shutting down many of the largest export terminals and oil fields. Analysts are also warning that the standoff over Syria has the potential to affect oil and gas production in both North Africa and the Middle East and could spill over into surrounding major oil-producing countries such as Iraq. The stories of oil and gas companies sending planes into troubled regions to evacuate workers and their families, and suspending operations as a result, has resonated with our employee population. Oil and gas companies have always taken worker safety very seriously and as production increases in regional hotspots this is only going to impact further. Although oil and gas companies are sensitive to the risks associated with doing business in new oil and gas economies and regard thorough threat evaluation and analysis as a key aspect of operating there, our employee panel tells us that intelligence before and during an assignment needs to be joined up and communicated. Employees understand that working in emerging markets has the potential to be challenging but believe companies need to have the networks, infrastructure and people in place to help them feel more secure. What’s more, this needs to be a key part of the recruitment and onboarding process when working in these countries. If a third of potential employees would consider not mobilising because of a perceived threat rather than a real threat of instability, then employers are potentially closing off a third of their potential talent pool.
More than a quarter of the people we spoke to (27%) believe that job stability is a major concern for them and a potential reason they’d not consider an international opportunity. This is in part linked to the view that security and instability are potential hazards in emerging oil and gas markets, but is also tied to fear of the unknown. As we go further down the list of concerns we can see that not feeling welcomed (13%), fitting into new ways of working (10%) and fitting into a new culture (6%) are very real concerns for some of the people we spoke to, and these are inextricably linked to feeling a person can do a job well. Indeed a recent study by Ipsos and BDO* found that employees look to limit the risk associated with moving to a new country by overwhelmingly selecting English speaking countries as their desired destination. The US ranked first in their table of desirable countries (34%), followed by the United Kingdom (22%), Canada (20%) and Australia (20%).
Rank
The study also showed that for some companies offering a guarantee that employees could move back to their current role/country after two years with further relocation assistance, reduced the perceived risk and was a major incentive for employees. With the feeling that job security is inextricably tied to feelings of well-being, companies and HR departments in particular need to be much more flexible in how they encourage and onboard people that may be suitable for international mobilisation. When Ipsos and BDO questioned what would make employees feel more receptive to global mobility, four of the top five incentives were linked to supporting their employees and reducing perceived risks, leaving them to focus on what they have most confidence in, namely doing their job in the best way possible.
Incentive
Percentage
1
Repatriation assistance, including a guarantee that they could move back to their current role after two years with further relocation assistance
45%
2
Round trip airfare to return home for family visits
43%
2t
A paid trip to visit the country before agreeing to move there
43%
3
Paid language training, if necessary
42%
3t
Immigration assistance for your spouse in order that they could obtain employment
42%
13% Not feeling welcomed 10% Fitting into new ways of working 6% Fitting into a new culture 5% Education levels 4% Making new friends
* http://www.bdointernational.com
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Support structures Moving internationally is a life-changing experience and one that is not taken easily. We’ve already seen that people within oil and gas are increasingly receptive to moving abroad and that the job market is becoming increasingly global. But we’ve also seen employees have a number of concerns that may make some of them reluctant to do so. Considering this we explore what employers need to provide to their existing and future employees if their mobilisation activity is going to be attractive and successful.
Immigration With mobility no longer focused on the West, and the emerging markets seen as an increasingly attractive proposition for employees across the world, almost ¾ of the people we spoke to said their main issue/challenge was managing the visa and immigration process. But this issue is not related to places such as India and China. Even in the United States oil and gas executives are at risk of losing a significant part of their talent pipeline because of things such as the annual cap on work visas and the strict restrictions about being able to stay in the country. We’ve spoken to employers who have sponsored graduates throughout their Masters and Doctorate programmes, whose costs can amount to hundreds of thousands of dollars, who then find themselves losing those people due to strict immigration rules that aim to protect domestic workers and salaries. While companies in other countries are actively recruiting non US-born graduates and taking all the experience, knowledge and expertise they’ve learned in the US, the strict limits imposed by the US government means the brain drain feared by many companies could be exacerbated. As the US expels talent though, other, more immigrantfriendly countries are taking advantage of this overabundance of new potential. Places such as Canada, China, Azerbaijan (where for the last two years immigrants have outnumbered emigrants) Brazil, the Middle East and Africa are benefitting significantly from this fluid movement of talent and as a result their future competitiveness remains steadfastly in their own hands. The visa and immigration services employees are concerned about relates to both of these factors. There are those that want support to be able to stay in the
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country they are currently based in, with employers taking the pressure off and managing the process from start to finish, and those who are much more fluid in their movements, and who want employers to be able to help them transition from country to country, project to project, seamlessly and with little downtime. Only when this happens will employees feel confident that the global oil and gas industry is truly ready to meet their short and long-term goals and that the market is a truly global one.
Medical and healthcare With an employees’ health and welfare no 2 on their list of concerns when moving abroad, it follows that this should also be high on their list of what employers should be offering. In fact the percentage of people that believe medical and healthcare services should be provided by an employer (62%) is higher than the number of people concerned about them when moving abroad. A third of our survey (35%) reiterated the importance of health and welfare when they agreed that medical and travel insurances are also a fundamental part of the employer proposition when international mobility is considered. This suggests that employees within the oil and gas industry consider medical and healthcare to be a fundamental provision, and should be something offered regardless of whether they consider this an issue or not. In fact medical and healthcare is becoming so important to employees in the oil and gas industry that healthcare and insurance providers are designing programmes specifically for the sector. Indeed health and welfare has become so essential to operating in the oil and gas industry that companies are increasingly designing their own systems and processes to complement the national and international standards, and regulatory requirements of operating in individual regions.
What’s more health management systems are being so integral to the structure and delivery of healthcare that they are being used increasingly to control health risks and to raise the standards of healthcare across the world. But providing good healthcare provision is not just about making employees feel valued and looked after. Good health and welfare provision ultimately increases productivity, is a great selling point in competitive recruitment markets and will significantly reduce churn and increase retention. What’s more, the business benefits are acknowledged to improve corporate reputation, improve long-term commitment and increase the take-up of mobilisation programmes.
differentiation is going to need to be around making employees feel comfortable, their families supported and their wellbeing a choice for the employer rather than a burden. Considering that almost half of our panel (48%) felt that working abroad is a great way to enhance their employability, it’s crucial they are given the support and infrastructure to be able to do the job that they have been recruited for.
How do you view working abroad?
Onboarding and onsite We’ve already discussed employees concerns about embedding themselves into new cultures or practices when living abroad, and how this has the potential to threaten their feelings of job stability. With that in mind it’s hardly surprising that employees also feel their employers need to support them with non job related services when moving abroad. Over a half of the people we spoke to (53%) agreed that an employer should help them find somewhere to live and over a third (36%) felt relocation services should also be a fundamental pre-requisite of living internationally. If we look across all of the responses to this question we see that employees regard their employers as having an obligation to not just help them get where they need to be, but also support them and their families for the immediate and long term. Taking into account providing help with schooling (18%), cultural orientation (11%), in-country orientation (12%), travel services (28%) and ongoing contact and care (6%), it’s clear the non-financial elements of the employer offering are regarded as being critical to people when considering an international move. The importance of the employer offering is therefore fundamental to global recruitment and project delivery. If organisations are going to be able to fight the war for talent in this highly competitive industry then the
48% Enhancing your long term employability
33% Chance to make big money
28% An opportunity to travel
25% Fast tracked career opportunity
24% Opportunity to permanently relocate
19% A short-term adventure 4% Other
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If you were to relocate internationally, what support would you want from your new employer? Visa and immigration services
74%
Finding somewhere to live
53%
62%
Medical and healthcare services
36%
Relocation services
28%
Travel services
24%
Tax services
Medical and travel insurances
35%
In-country support
26%
Legal assistance
22%
19%
Transport
Children’s schooling
18%
13%
Risk Assessment
In-country orientation
12%
11%
Cultural orientation
Secure transfers
10%
6%
Ongoing contact and care services
Regional & Salary trends
Europe
“Many major operators are offering up to 20% salary increases in order to attract the ‘best in class’ European experts.”
Europe Across the European region the majority of roles in the Oil & Gas upstream sector can be seen in Drilling and Well services, as well as Geotechnical and Geosciences disciplines. For the downstream market, such as chemical and petro-chemical facilities, almost all engineering disciplines & project management specialist skills are in high demand. 90% of contract placements sit at the high end of the earnings bracket, particularly for senior executive positions, whereas permanent salaries continue to be competitive due to the availability of local talent. Project management is increasing in focus as the major operators invest in large, more international projects which require a particular European skill set and level of expertise- this is most prevalent in the CIS and Benelux regions where inflated salary packages are being commanded. Many major operators are offering up to 20% salary increases in order to attract the ‘best in class’ European experts. Diversified energy resources and more environmentally friendly projects are growing in popularity across Western Europe, creating a demand for professionals in the Quality, Health, Safety & Environment disciplines. Overall, advanced technical experience and long lengths of service have resulted in an ageing talent market across Europe which needs to be addressed by clients in terms of training, educating and up skilling of the younger Oil & Gas generation.
Regional highlights: • Huge potential is presenting itself in Kazakhstan as activity advances in this area, presenting an increased requirement for technical sales specialists and senior drilling experts. • Further opportunities and optimism will prevail in Ukraine which is expected to receive a large investment boost, offering more potential for professionals seeking international project experience.
• The Netherlands is considered a centre of excellence for engineering experts as local operators have already been conducting turnaround projects over the last 30 years. This is now resulting in a rise in Dutch maintenance and project management roles for international assignments managed from the Netherlands. • Rotterdam has the leading world position in the Marine sector where we are seeing a lot of mergers & acquisitions taking place in areas such as the Gulf of Mexico, West Africa and the Middle East. As new client projects and developments emerge in this area, specialists with North Sea experience are increasing in demand. • Germany is the 3rd largest exporter of energy which results in a high number of EC&I commissioning engineers/technicians and an approximate 20% increase in electrical engineering salaries across the DACH region. • In the offshore sector for European HSE professionals there is a skills shortage of approximately 30% with clients struggling to fulfil project recruitment requirements. The average salary for a HSE manager is around €120k but larger clients can offer salaries of up to €140k+. • The competition for talent in both Norway and the North Sea is fierce as the general skills shortage across subsea / engineering & subsurface disciplines is driving up salaries and creating highly attractive packages, particularly for contractors. • For offshore workers there is a marked distinction between contract terms & conditions offered to UK & Norwegian specialists, where salaries and offshore rotas are considerably in the favour of people on Norwegian contracts. • In the UK, the salaries in Aberdeen are approximately 20% higher than the rest of the Oil & Gas market and other similar industries.
Progressive GE 21
Salary Data Drilling/Rigs
Perm annual salary €
Contract daily rate €
Cementing Engineer
48-53,000
650+
Cementing Supervisor
less than 36,000
650+
Coil Tubing Engineer
65-71,000
650+
Company Man
107-113,000
650+
Driller
59-65,000
320-360
Drilling Consultant
119-143,000
Drilling Fluid Engineer
90%
Salary Data
UK, France, DACH, Benelux, Norway, Russia
Geoscience/Reservoir Engineering
Perm annual salary €
Contract daily rate €
Petroleum Engineer
71-77,000
390-430
Petrophysicist
83-89,000
450-490
Reservoir Engineer
95-101,000
520-560
Reservoir Engineer Manager
143-167,000
650+
• Drilling
Seismic Interpreter
60-65,000
320-360
650+
Health, Safety & Environment
Perm annual salary €
Contract daily rate €
• Geosciences
119-143,000
650+
Environmental Engineer
48-54,000
600-620
Drilling Manager
190-214,000
650+
Environmental Scientist
54-59,000
260-300
Drilling Superintendant
143-167,000
360-390
ETL Developer
60-65,000
320-360
Drilling Supervisor
83-89,000
320-360
HSE Advisor
54-59,000
650+
Mud Logger
54-59,000
300-320
HSE Manager
119-143,000
390-430
• Marine & Maritime
MWD/LWD Specialist
95-101,000
520-560
HSSE Consultant
65-71,000
520-560
Rig Electrician
60-65,000
320-360
HSSE Inspector
36-42,000
190-230
• Senior Appointments
Rig Manager
143-167,000
650+
HSSE Manager
101-107,000
560-590
Rig Mechanic
54-59,000
300-320
QHSE Advisor
65-71,000
560-590
Rig Mover
143-167,000
650+
Safety Advisor
54-59,000
560-590
Rig Welder
42-48,000
230-260
Safety Consultant
83-89,000
650+
Senior Toolpusher
101-107,000
560-590
Safety Engineer
71-77,000
390-430
Slickline Operator
less than 36,000
190-230
Marine & Maritime
Perm annual salary €
Contract daily rate €
Subsea Engineer
95-101,000
520-560
Barge Master
60-65,000
650+
Well Services Supervisor
48-54,000
260-300
Marine Engineer
48-54,000
490-520
Marine Superintendant
54-59,000
600-620
of contract placements sit at the high end of the earnings bracket.
+20% “Salaries in Aberdeen are approximately 20% higher than the rest of the oil & gas market and other similar industries in the UK.”
Executive
Perm annual salary €
Contract daily rate €
Accountant
54-59,000
300-320
ROV Superintendant
101-107,000
560-590
Perm annual salary €
Contract daily rate €
Business Development Manager
119-143,000
650+
Project Management
CEO
167-190,000
650+
Financial Director - Projects
54-59,000
650+
IT Project Management Consultant
71-77,000
650+
Project Controller
71-77,000
650+
Project Coordinator
77-83,000
650+
Project Cost Engineer
54-59,000
650+
Project Director
101-107,000
650+
Project Engineer
71-77,000
650+
Project Manager
65-71,000
650+
Project Scheduler
35-42,000
190-230
Projects Administrator
107-113,000
450-490
Technical
Perm annual salary €
Contract daily rate €
Certification Technician
54-59,000
430-450
Commissioning Manager
54-59,000
320-360
CIO
119-143,000
430-450
Commercial & Technical Consultant
65-71,000
430-450
Company Secretary
60-65,000
320-360
Compliance Manager
71-77,000
600-620
Consultant SAP
71-77,000
650+
COO
238,000+
650+
Director
143-167,000
650+
General Manager
167-190,000
650+
Human Resources
71-77,000
390-420
Service Point Manager
65-71,000
360-390
VP
119-143,000
650+
Logistics & Supply Chain
Perm annual salary €
Contract daily rate €
Design Engineer
60-65,000
320-360
Application Specialist
54-59,000
300-320
EC&I Commissioning Engineer
113-119,000
620-650
Automation consultant
60-65,000
650+
Field Service Technician
77-83,000
520-560
Equipment Fleet Sales, Operations
95-101,000
520-560
IT Manager
60-65,000
650+
Improvement Manager
71-77,000
390-430
Network Design Engineer
65-71,000
360-390
Procurement Manager
65-71,000
450-490
Plant Software
36-42,000
190-230
Procurement Officer
48-54,000
650+
Process and Control Engineer
54-59,000
360-390
Project Procurement Manager
71-77,000
650+
Sales Engineer
36-42,000
190-230
Strategy Manager
89-95,000
490-520
Shutdown Technician
42-48,000
430-450
Geoscience/Reservoir Engineering
Perm annual salary €
Contract daily rate €
Tech Support
54-60,000
300-320
Engineering & Installation Manager
107-113,000
600-620
Technical Coordinator
83-89,000
620-650
Exploration Geologist
101-107,000
560-590
Technical Manager
77-83,000
560-590
Geocomputing
83-89,000
450-490
Technical Writer
65-71,000
360-390
Geologist
143-167,000
650+
Geophysicist
89-95,000
430-450
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Progressive GE
3
rd
“Germany is the 3rd largest exporter of energy which results in an approximate 20% increase in electrical engineering salaries across the DACH region.”
Areas of specialisation include:
• QHSE • Project Management • Technical/ Mechanical Engineering
Progressive GE 23
Europe
Territory covers
Salary Data
“There is a changing specialist profile across the region but most of the talent pool is mature, skilled & technically experienced.” In the developing market of West Africa (Nigeria) we see production has risen to 2.4 million barrels a day and there are signs that production is returning to normal. With this in mind we are still seeing high demand for roles in the drilling & well services disciplines. Nigeria held its first oil exploration bidding round for five years at the end of last year which will also drive demand in 2014-16. Demand for expats in the West Africa region is also high due to the need for international skills & experience and a lack of local qualified talent to fulfil project requirements. Salaries in this market are predominantly skills driven; therefore specialists are able to command very competitive packages, particularly for executive roles. Due to the exposure of these roles candidates can expect to receive higher day rates than would be expected in developed regions such as the US. The emerging markets of East Africa (Tanzania/ Mozambique) are a new territory which is now experiencing a surge in the Drilling, well services & Geosciences disciplines. The region is still premature but we can see a rise in the demand for drilling contractors as production and business levels increase in this area.
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Progressive GE
Availability of positions in these high-risk locations is on the increase due to the improved levels of activity which prevail. Salary packages being offered are very attractive to encourage candidates who have the suitable skill set and willingness to relocate, to fill these roles. Visa challenges also present an obstacle for the recruitment market in West Africa. Many of the technically skilled specialists are taking relocation assignments in the European region due to the flexibility & ease of placements, creating a talent deficit. The profile of professionals across the region is changing as the younger generation begins to grow, however most of the talent pool are mature, skilled & technically experienced. Specialists at the 50+yrs age bracket currently account for approximately 25% of placements. A lot of up skilling takes place on the job so that professionals can gain deeper country knowledge from their peers, which is imperative for the roles & demands of the client. Local government initiatives are focusing on educating/ training locals to address the skills gap in Africa. Local project quotas and content laws of local operators/ companies are the main drivers for this. However, the reality is that expat specialists remain the preferred option for roles in the region due to the length and breadth of their technical experience.
Drilling/ Rigs
Perm annual salary US$
Contract daily rate US$
Cementing Supervisor
107-115,000
1,100
Company Man
164-197,000
1,200
Completion Engineer
139-148,000
1,500
Drilling Consultant
230-262,000
1,400
Areas of specialisation include:
Drilling Engineer
164-197,000
1,700
Drilling Supervisor
131-139,000
1,700
• Petroleum Engineering
MWD/LWD Specialist
66-74,000
700
Rig mover
66-74,000
1,200
• Drilling
Solid Control/ Drilling waste Management Coordinator
123-131,000
900
• Topside Engineering
Solids control/ Drilling waste management
66-74,000
600
• Senior Appointments
Solids Control Engineer
98-107,000
600
Well Services Supervisor
98-107,000
800
Wireline Operator
66-74,000
550
Executive
Perm annual salary US$
Contract daily rate US$
CEO
328,000+
2,500
CFO
295-328,000
2,500
Contracts manager
107-115,000
1,000
Director
164-197,000
2,000
Vice President: Organisational Effectiveness
197-230,000
1,800
Geoscience/Reservoir Engineering
Perm annual salary US$
Contract daily rate US$
Development Geologist
123-131,000
1,300
Exploration Manager
262-295,000
2,000
Geologist
123-131,000
1,300
Geophysicist
90-98,000
1,300
Reservoir Engineer
98-107,000
1,300
Wireline Field engineer
82-90,000
900
Project Management
Perm annual salary US$
Contract daily rate US$
Business Manager
164-197,000
1,250
Project Controller
less than 49,000
900
Project Coordinator
less than 49,000
900
Project Manager
66-74,000
1,200
Project Scheduler
less than 49,000
700
Technical
Perm annual salary US$
Contract daily rate US$
Field Service Technician
57-66,000
700
Information Technology Manager
49-57,000
850
Technical Coordinator
148-156,000
700
Technical Manager
197-230,000
1,000
Well Integrity Engineer
107-115,000
900
Territory covers West & East Africa
• Geosciences
Progressive GE 25
Africa
Africa
South America “70% of upcoming global investment in Brazil is in FPSO’s.”
We expect to see high demand in the Geosciences discipline, as the bidding rounds in 2013 will need data acquisition and interpretation in 2014, resulting in an increase in demand for drilling/production experts as we move towards 2015. Marine specialists and Subsea Engineers will continue to be highly sought after due to the ongoing skills shortage in the region. Brazil has a long term commercial view and a strong relationship strategy which dictates how business is conducted and investments made. Many Chinese and Indian companies are investing heavily in the region particularly in the areas of FPSO’s and drilling rigs offshore- 70% of upcoming global investment in Brazil is in FPSO’s (Floating Production Storage and Offloading installation). Brazilian labour legislations dictate that a maximum of 1/3rd of headcount is filled by international candidates, limiting companies in recruiting the best talent. Due to the complexities in applying for visas and strict labour laws (mostly related to local requirements) Brazil currently has limited international candidates working in Oil &Gas compared to other regions. Due to this balance in the region of more roles being filled locally there is reduced opportunity for attracting experienced specialists to the region and salaries are benchmarked according to the local market rate. Salaries in South America increased by around 50% between 2006 and 2011 but over the last year and a half have stabilised. As Brazil is experiencing a high skills shortage it is creating this stabilisation of salaries. Major operators at present prefer internal transfers of candidates to ensure that positions are filled by local people with local market knowledge.
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Progressive GE
Language can often prove a restriction for international candidates as Spanish/Portuguese speakers are required as a priority, particularly in the LATAM region. In this region they are also able to maximise on the bargaining power of global client profiles which benefit their focus towards Renewable Energy, which is a growing area where we should see increased opportunity for specialists. Visa regulations provide added complexity when attracting international talent to South America as the processing times can take on average 3-5months, but the local government are working to eradicate some of these barriers in order to address the skills shortage gap. Due to the complexities in the Oil & Gas business in Brazil (deep water) labour laws are being examined to enable more freelancing/ contractor roles for international specialists in preparation for the uptake of new projects that lie ahead. At present the region is very client driven as operators can dictate their talent requirements, with some companies working on exclusivity of specialists particularly in Technical and Corporate positions. There appears to be more flexibility when it comes to senior management positions as clients seek global experience and expertise and candidates in these positions can therefore take advantage of premium packages. As the market moves towards a more specialist driven model in the coming years (due to increased investment, projects and opportunities) companies need to prepare themselves for this big step change and ensure their focus is around hiring the right people with the correct expertise. For example, Marine & subsea are becoming a bigger focus in the region as there are a lot of interesting, high tech and environmental changes taking place so we expect to see a rise in candidate opportunities within this discipline.
Drilling/Rigs
Permanent (annual salary) in BRL
Cementing Supervisor
114-133,000
Company Man
133-152,000
Directional Driller
190-209,000
Drilling Engineer
171-190,000
Drilling Fluid Engineer
114-133,000
Drilling Supervisor
209-228,000
Mud Logger
less than 114,000
MWD/LWD Specialist
323-342,000
Offshore Installations Manager
285-304,000
Radio Operator
less than 114,000
• Drilling
Rig Electrician
less than 114,000
Rig Mechanic
114-133,000
• Geosciences
Senior Toolpusher
380-456,000
Well Control Specialist
152-171,000
Executive
Permanent (annual salary) in BRL
Director
285-304,000
Executive General Manager
684-760,000
General Manager
247-266,000
Geoscience/Reservoir Engineering
Permanent (annual salary) in BRL
Data Manager
114-133,000
Development Geologist
342-361,000
Exploration Geologist
133-152,000
Geocomputing
228-247,000
Geologist
133-152,000
Geophysicist
171-190,000
Geoscientist
114-133,000
Geostatistician
133-152,000
LMWD
190-209,000
Petroleum Engineer
152-171,000
Petrophysicist
152-171,000
Reservoir Engineer
152-171,000
Seismic Interpreter
228-247,000
Supervisor
less than 114,000
Marine & maritime
Permanent (annual salary) in BRL
Chief Engineer
209-228,000
Fleet Manager
342-361,000
Machine Head of Ship/ Offshorer
209-228,000
ROV Pilot
171-190,000
Vessel Manager
152-171,000
Technical
Permanent (annual salary) in BRL
Designer
less than 114,000
Electrical Technician
114-133,000
Field Service Technician
133-152,000
LWD Engineer
152-171,000
Oil & Gas Technician
less than 114,000
Product Development Engineer
114-133,000
Technical Automation
less than 114,000
Technical Coordinator
114-133,000
Technical Manager
323-342,000
Territory covers Brazil & Latin America Areas of specialisation include:
• Reservoir Engineering • Marine & Maritime
Progressive GE 27
South America
Despite the recent tough economic conditions in the region, Brazil still sits at 15th place globally in terms of oil production. New dynamism is being injected into the market due to the 3 project bidding rounds which took place in 2013, providing a lot of optimism for the South American market and positivity for local recruitment.
Salary Data (permanent only)
US & North America
Perm annual salary US$
Contract daily rate US$
Company Man
98-107,000
900+
Completion Engineer
164-197,000
900+
Drilling Consultant
295-328,000
900+
Drilling Engineer
123-131,000
900+
Drilling Fluid Engineer
90-98,000
770-820
Drilling Manager
230-262,000
900+
Field Service Specialist II - Wellbore Construction (Liner Hanger)
49-57,000
310-360
MWD/LWD Specialist
197-230,000
900+
Rig Manager
197-230,000
900+
Well Control Specialist
230-262,000
900+
The oil bust of the late 80’s/ early 90’s has created a huge demand for candidates in the 35-45yrs age bracket, presenting a skills gap in the US market. Due to the political connotations attached to visa costs & challenges, the region are restricted on attracting talent in this age category.
Wireline Operator
74-82,000
440-490
Geoscience/Reservoir Engineering
Perm annual salary US$
Contract daily rate US$
Asset Manager
115-123,000
900+
Salaries in the region are driven mostly by permanent consultants at the higher end of the earnings bracketfor example reservoir engineers can demand salaries between $150-180k per year (£100-120k) and can expect to receive around 10 job offers at any one time due to the extent of their expertise.
Development Geologist
328,000+
900+
Exploration Geologist
328,000+
900+
• Drilling & Completions
Exploration Manager
164-197,000
900+
230-262,000
900+
• Geosciences
We are seeing a large pool of talent amongst those with 10+ years experience and the younger generation of technical specialists, which is presenting a brain drain in the region due to the lack of education made available during the oil bust.
Geochemist Geologist
139-148,000
900+
Geophysicist
148-156,000
900+
There is a fluid market for candidates relocating out of the US region, which is mostly prevalent amongst engineers seeking projects in West Africa/ Middle East & Asia. Flexibility in these roles which offer 28/28 project rotation means that candidates are able to benefit from increased day rates or project premiums.
Geoscientist
107-115,000
900+
Geotechnical Engineer
115-123,000
900+
• Project Services
Operations Geologist
115-123,000
900+
Petroleum Engineer
107-115,000
900+
• HSEQ
Petrophysicist
156-164,000
490-540
Reservoir Engineer
164-197,000
260-310
Project Management
Perm annual salary US$
Contract daily rate US$
Document Controller
66-82,000
However, due to the visa regulations imposed in the region the candidate pool is very localised which results in low demand for international talent, allowing locals to take advantage of their bargaining power. Most of the roles across the areas of specialisation are seen
310-360
Planning / Risk Manager
82-90,000
900+
Project Controller
66-82,000
360-410
Project Coordinator
less than 49,000
360-410
Project Director
197-230,000
900+
Project Engineer
82-90,000
900+
Project Manager
164-197,000
Salary Data
900+
QA Manager
82-90,000
900+
Vice President, Project Services
328,000+
900+
Technical
Perm annual salary US$
Contract daily rate US$
Certification Technician
less than 49,000
900+
Controls Engineer
115-123,000
410-440
Field Service Technician
66-98,000
360-410
GIS consultant
107-115,000
360-410
Instrumentation, Electrical and Pneumatic Controls
115-123,000
440-490
Principal Control System Engineer
197-230,000
670-720
Technical Coordinator
less than 49,000
360-410
Technical Manager
197-230,000
900+
Technical Specialist Intervention Services
82-90,000
360-410
Technical writer
262-295,000
440-490
Technical Writer - MWD/LWD
74-82,000
440-490
at the mid-career level where premium salaries can be expected, however due to the lack of availability of candidates the US are experiencing a talent war.
Therefore, the larger oil companies in North America have a mature pool of specialist engineers at their disposal which means they are able to cherry pick the best talent for their senior roles. This results in strong competition across both permanent and contract roles as the smaller companies also seek the more experienced candidates and are having to match the inflated salaries on offer.
Health, Safety & Environment
Perm annual salary US$
Contract daily rate US$
Environmental Advisor
66-74,000
900+
Environmental Engineer
131-139,000
490-540
Environmental Scientist
107-115,000
900+
HSE Advisor
156-164,000
900+
HSE Auditor
156-164,000
900+
HSE Consultant
164-197,000
900+
HSE Manager
131-139,000
900+
HSE Officer
107-115,000
900+
HSSE Advisor
115-123,000
900+
HSSE Consultant
139-148,000
900+
Safety Officer
90-98,000
900+
Senior hsse advisor
164-197,000
900+
28
Progressive GE
Territory covers US & Canada Areas of specialisation include:
• Reservoir Engineering • General Technical Engineering
Progressive GE 29
US & North America
Drilling/Rigs
“99% of business conducted within the region is local placements with talent seeking overseas opportunities as a way to further their career experience & skills.” In the US market there remains a healthy requirement for skilled and trained specialists, particularly in the areas of Drilling, Geosciences and Reservoir Engineering. 99% of business conducted is local placements with talent seeking overseas opportunities as a way to further their career experience & skills
Salary Data
Middle East
Salary Data
“There is huge diversity in the market maturity across the Middle East which dictates the type of projects, candidates and salaries that can be demanded.”
All roles within the Middle East focus on the upstream area of the Oil & Gas business with the biggest demand coming from the Exploration and Production disciplines. This is mostly prevalent in Kurdistan where there are approximately 55 international operators focusing on exploration/drilling/upstream and mechanical positions as this market continues to grow. There is huge diversity in the market maturity across the Middle East which dictates the type of projects, candidates and salaries that can be demanded; for example the Middle East is an immature market compared to Saudi Arabia which is considered mature within the Oil & Gas industry. The main driver for candidates in the Middle East is focused on hardship locations with most placements
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Progressive GE
offered to those who are completely mobile and have a preference for rotational/contract roles. Candidate profiles are often dictated by the client as they are able to stipulate the exact skills/ experience according to the project requirements; for example projects in Egypt would seek candidates with specific North Sea/ Gulf of Mexico experience. Clients are primarily searching for talent to fill project roles in the hardship locations across the Middle East with a specific demand for candidates with previous international experience; however visa requirements can often prove a challenge in this process. In Iraq the focus is for candidates with onshore experience whereas in Qatar the focus is for candidates with offshore experience. High risk areas such as Iraq, Angola, and Nigeria are locations with high demand for skilled candidates, who as a result, are able to benefit from premium salary packages. Local companies within the UAE have a preference for local talent, which accounts for approximately 10% of current placements. These companies operate local quotas for sourcing local talent. The standard offer packages can often be more attractive than those for international candidates due to the limited availability of candidates.
Perm annual salary US$
Contract daily rate US$
Construction General Manager
150-180,000
1,000
Construction Manager/ Supervisor/ Superintendant
100 -120,000
1,000
Construction Project Developer
100,000
700
Construction Project Manager
100 -120,000
700
Earth Moving Superindenant/ Supervisor
80 -100,000
500
QA Engineer
80 - 100,000
500
Site supervisor
70- 100,000
500
Drilling/Rigs
Perm annual salary US$
Contract daily rate US$
Driller
60-80,000
800 - 1,000
Drilling Engineer
150-180,000
1,600 - 2,000
Drilling Foreman
200,000 +
1,500 - 2,000
Drilling Supervisor
200,000 +
1,500 - 2,000
MWD/LWD Specialist
80-100,000
1,000 -1,500
Rig Mechanic
120,000
700
Geoscience/Reservoir Engineering
Perm annual salary US$
Contract daily rate US$
Territory covers
Geocomputing
120-150,000
1,500 - 2,000
Geologist
200,000 +
1,500 - 2,000
UAE & Qatar
Geoscientist
150-180,000
1,500 - 2,000
Reservoir Engineer
200,000 +
1,500 - 2,000
Health, Safety & Environment
Perm annual salary US$
Contract daily rate US$
Environmental Engineer
170,000
750 - 1500
HSE Advisor
150-180,000
1,200-1,500
• HSE
HSE Auditor
150,000
750 - 1,500
HSE Inspector
150,000
750 - 1,500
• Geosciences
HSE Manager
200,000 +
1,200 - 1,500
HSE Officer
150,000
750 - 1,500
HSSE Advisor
200,000 +
1,200 - 1,500
HSSE Manager
200,000 +
1,200 - 1,500
Occupational Health & Safety Manager
200,000 +
1,200 - 1,500
Production
Perm annual salary US$
Contract daily rate US$
Production Supervisor
100-130,000
700-1,200
Production Technologist
150-200,000
1,200-1,500
Refinery Operations Supervisor
120-150,000
800-1,400
Project Management
Perm annual salary US$
Contract daily rate US$
Proposal Eng II
70- 100,000
500
Document Controller
50-100,000
400 -600
Procurement/ Projects Management
80- 100,000
500 - 800
Project Coordinator
70-100,000
700
Project Manager
100-130,000
1,000
Project Scheduler
60-80,000
500
Areas of specialisation include: • Drilling • Well Operations
• EPC • Project Delivery
Progressive GE 31
Middle East
In the Middle East region nationalities often dictate the levels of salary that can be sought by candidates, for example in the drilling sector candidates are able to demand a premium salary for relocation packages. There is huge demand for drilling roles amongst Western expats as most candidates are able to demand day rates at the high end of the earnings scale and there is no discrepancy between contract & permanent roles.
Construction
Asia Pacific
“For mid level roles salaries are normalising between the expat communities and local talent.”
In the Asia Pacific region there remains a strong demand for specialists in the drilling and key subsurface disciplines, where we can see inflated salaries for high level positions. For the mid level roles salaries are normalising between the expat communities and local talent, particularly in Malaysia. In South East Asia there have been limitations placed on hiring expats which means that demand for professionals is now exceeding supply. The global driver for this is that regional and global expats are putting a lot of pressure on visa services which is proving a challenge. Asian governments are nationalising their efforts to focus on local talent for local roles, proving beneficial to them as salary packages are on the increase.
There continues to be heavy investment from key operators in Thailand which is presenting a rise in opportunities for professionals in this territory. Projects are on the increase to offset against the energy deficit which is prevalent in the country; as a result we expect to see enhanced levels of demand for specialist positions in project & construction management. Myanmar is now opening up its economy for international offshore & onshore projects which is increasing demand for both locals and expats across all disciplines. This will result in pressure on salaries as the requirement for skilled talent will begin to pick up momentum.
In Singapore there have been a record number of investments in FPSO/FSO’s which is escalating demand for roles in construction, commissioning and installation. This is making it easier for both local & expat specialists to move into niche markets and gain better experience in these disciplines.
Job opportunities in the Asia Pacific region in 2014 will be lucrative. We will see an increase in demand for roles specifically in subsea, process safety, drilling & subsurface engineering, where expats are still able to demand a premium for their skills & expertise in these disciplines.
Salary Data
Engineering – Expat / Senior Local
Perm annual salary US$
Contract daily rate US$
Commissioning Engineer
100– 175,000
600 – 1,200
Corrosion Engineer
200 – 250,000
600 – 1,200
EC&I Engineer
100 – 175,000
600 – 1,200
Engineering Manager
200 – 250,000
1,000 – 2,000
Mechanical Engineer
200 – 250,000
600 – 1,200
Process Engineer
170 – 190,000
600 – 1,200
Project Engineer
150– 250,000
600 – 1,200
Subsea Engineer
250– 300,000
1,000 – 1,800
Technical Safety Engineer
200– 250,000
900- 1,500
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Drilling/Rigs – Total Package / Expat
Perm annual salary US$
Contract daily rate US$
Completions Engineer
120 – 150,000
1,250 – 1,500
Completions Supervisor
150 – 180,000
1,500 – 1,800
Day Drilling Supervisor
180 – 200,000
1,800 – 2,000
Drilling Engineer
120 – 150,000
1,250 – 2,000
Drilling Manager
350 – 450,000
2,500 – 3,000
Drilling Superintendent
250 – 350,000
2,000 – 2,400
Night Drilling Supervisor
150 – 180,000
1,500 – 1,800
Offshore Installation Manager
180 – 220,000
1,800 – 2,000
Production Engineer
100 – 125,000
900 – 1,200
Well Services Engineer
120 – 150,000
1,250 – 1,500
Well Services Manager
250 – 350,000
2,000 – 2,400
Well Services Supervisor
150 – 180,000
1,500 – 1,800
HSE – Expat / Senior Local
Perm annual salary US$
Contract daily rate US$
HSE Advisor
100 – 150,000
800 – 1,200
HSE Coordinator
120 – 160,000
1,000 – 1,300
HSE Supervisor
140 – 190,000
1,200 – 1,700
QA/QC Engineer
70 – 100,000
800 – 1,200
QA/QC Manager
110 – 160,000
1,200 – 1,700
Marine – Expat / Senior Local
Perm annual salary US$
Contract daily rate US$
Hull Outfitting Engineer
100 – 150,000
1,000 – 1,200
Installation Engineer
130 – 180,000
1,300 – 1,800
Marine Engineer
100 – 150,000
1,000 – 1,200
Territory covers Singapore, Malaysia, Thailand, Indonesia, Myanmar, Australia & New Zealand Areas of specialisation include:
Naval Architect
150 – 200,000
1,300 – 1,800
Structural Engineer
100 – 150,000
1,000 – 1,200
• Subsurface
Project Management – Expat / Senior Local
Perm annual salary US$
Contract daily rate US$
• Subsea
Project Controller
75 – 90,000
600 – 900
• Project Controls • Supply Chain
Project Director
150 – 200,000
1,500 – 2,500
Project Manager
100 – 150,000
1,000 – 2,000
Projects Administrator
60 – 80,000
400 – 700
Subsurface / Expat / Senior Local
Perm annual salary US$
Contract daily rate US$
Development Geologist
150 – 200,000
1,250 – 1,750
Development Geophysicist
150 – 200,000
1,250 – 1,750
Exploration Geologist
120 – 150,000
800 – 1,500
Exploration Geophysicist
120 – 150,000
800 – 1,500
Geomodeller
150 – 200,000
1,250 – 1,750
Operations Geologist / Well Site Geologist
80 – 120,000
600 – 1,000
Petroleum Engineer
60 – 120,000
600 – 800
Petrophysicist
120 – 150,000
800 – 1,200
Production Technologist
60 – 120,000
600 – 800
Reservoir Engineer
120 – 150,000
1,250 – 1,750
• QHSE
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Asia Pacific
A large number of high profile projects are currently taking place, along with a rise in investments in Australia which is increasing demand for experts, in particular for roles in Queensland.
The market has been slow in Indonesia as they have experienced low levels of production in 2013. Many high profile projects are due to take off in 2014 with major operators, particularly in deep water development, which will mean a rise in the requirement for subsea and installation engineers.
Salary Data
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Progressive GE reports This report is part of Progressive GE’s commitment to supporting specialists and delivering market-leading recruitment solutions. As one of the world’s leading recruitment consultancies we pride ourselves on being a key recruitment partner for professionals and organisations across the global energy & natural resources sectors. Our series of reports offer best practice advice and insight to help you secure your next job or make business critical decisions that will enable your company to grow and assist you in managing your recruitment challenges when and where you need us most.
Methodology This comprehensive report takes into account the results from our global online survey which was sent to thousands of specialists and experts across the Oil & Gas, Maritime & Offshore and Mining industries. The survey focused on market trends and candidate perceptions around the topic of global mobilisation & salary levels.
Permanent salaries are gross average annual salaries, excluding bonuses & benefits and contractor rates are average daily rates. Salary rates quoted are indicative of the market only and will vary depending on company size, location, sector and a candidate’s qualifications, experience and responsibilities.
Further insight has been provided following in-depth interviews with our leading recruitment professionals across each region.
© Progressive GE 2014. All rights reserved. Progressive GE accepts no liability for the accuracy of the contents or the opinions expressed herein.
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Progressive GE
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