Austin, Texas - Citing the latest Current Employment Statistics (CES) report from the U.S. Bureau of Labor Statistics (BLS), the Texas Independent Producers and Royalty Owners Association (TIPRO) today highlighted new employment figures showing continued growth in monthly employment for the Texas upstream sector and continued demand for available talent throughout the industry.  

According to TIPRO’s analysis, direct Texas upstream employment for January 2023 totaled 198,100, an increase of 1,700 jobs from revised December employment numbers. Texas upstream employment in January 2023 represented the addition of 24,000 positions compared to January 2022, including an increase of 1,600 jobs in oil and natural gas extraction and 22,400 jobs in the services sector.

The Houston metropolitan area, the largest region in the state for industry employment, showed an increase of 700 upstream jobs in January compared to December, for a total of 66,400 direct positions, according to TIPRO. Houston metro upstream employment in January 2023 represented an increase of 6,200 jobs compared to January 2022, including an increase of 400 in oil and natural gas extraction and 5,800 jobs in the services sector.

TIPRO’s new employment data also indicated strong job postings for the Texas oil and natural gas industry for the month of January to start the year. According to the association, there were 12,478 active unique jobs postings for the Texas oil and natural gas industry in January, including 5,313 new job postings added in the month by companies. 

Among the updated 17 specific industry sectors TIPRO uses to define the Texas oil and natural gas industry, Support Activities for Oil and Gas Operations continued to lead in the rankings for unique job listings in January with 3,062 postings, followed by Gasoline Stations with Convenience Stores (2,152) and Crude Petroleum Extraction (1,191). The leading three cities by total unique oil and natural gas job postings were Houston (4,149), Midland (905) and Odessa (472), said TIPRO. 

The top three companies ranked by unique job postings in January were Love’s (1,151), Baker Hughes (617) and John Wood Group (582), according to TIPRO. Of the top ten companies listed by unique job postings last month, five companies were in the services sector, followed by three midstream companies, one in oil and natural gas extraction and one in gasoline stations with convenience stores.

Top posted industry occupations for January included heavy tractor-trailer truck drivers (373), maintenance and repair workers (361) and managers (310). Top qualifications for unique job postings included valid driver’s license (2,023), commercial driver's license (CDL) (289), and CDL Class A license (195). TIPRO reports that 38 percent of unique job postings required a bachelor’s degree, 32 percent had no education requirement listed, and 31 percent required a high school diploma or GED. There were 1,449 advertised salary observations, or 12 percent of total oil and natural gas job postings, with a median salary of $46,800.

In addition, TIPRO also highlights recent data released from the Texas comptroller’s office showing production taxes paid by the oil and natural gas industry to the state of Texas generated nearly $800 million in tax revenue in February 2023. According to the comptroller’s data, in February, Texas oil producers paid $492 million in production taxes. Natural gas producers, meanwhile, last month also paid $305 million in state taxes.

Further, the association calls attention to projections showing domestic oil and gas production will continue to rise. Oil output in the Permian Basin is forecasted to hit a record 5.68 million barrels per day (bpd) this month, according to the U.S. Energy Information Administration (EIA). In the Eagle Ford Shale in South Texas, oil output in March is also anticipated to reach 1.18 million bpd. Overall, U.S. crude oil production in March will top 9.36 million bpd, forecasts the EIA. Domestic natural gas production also remains strong. In the Permian Basin, natural gas output will hit 22.2 billion cubic feet per day (bcf/d) this month, while production of natural gas in the Eagle Ford Shale is forecasted to grow to 7.422 bcf/d. Altogether, EIA forecasts natural gas production in the United States to total 96.6 bcf/d in March.

“There continues to be a strong demand for talent in the Texas oil and natural gas industry in line with growing exploration and production activity in the state and rising demand for our product,” said Ed Longanecker, president of TIPRO. “Our industry is one of the only remaining sectors in the country that provides a pathway for the middle-class to support their families, something we must preserve. Policy decisions being made at the state and federal level should not hinder an industry that is critical to our state, country and allies abroad from an economic and energy security perspective,” concluded Longanecker.

For more detailed analysis on the economic impact of oil and natural gas, review TIPRO’s "2023 State of Energy Report" here.

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