Oil and gas hiring plummets 21 per cent in Gulf countries
Author: PM Editorial | Date: 02 Oct 2015
Job prospects thinning as the sector continues to face financial woes
Job opportunities in the Middle East’s oil and gas sector have dwindled by 21 per cent in August compared to a year ago as the industry continues to undergo contraction, according to Monster Gulf’s latest Employment Index.
The results suggest oil and gas have recorded the most stunted year-on-year job growth among any industry, ahead of production/manufacturing, automotive and ancillary, which dropped 17 per cent and the FMCG sector, which slid 11 per cent.
“Oil and gas exhibits the most notable decline in opportunities from a year ago,” said Sanjay Modi, regional managing director of Monster.com. “This slowdown comes as no surprise given the global ramifications and the hiring freeze the sector is undergoing.”
The reversal has not been exclusive to the Middle East, as oil prices continue their freefall. Since June 2014, the commodity has lost around 60 per cent of its value from US$115 per barrel to US$47 in September 2015.
Monster Gulf’s research echoes earlier findings from RigZone, which reported that “51 per cent of global hiring managers decreased their hiring efforts” in the oil and gas sector in Q2 2015, while 13 per cent have “completely frozen their recruitment plans”.
Among the sectors monitored by the Monster Employment Index, banking, financial services and insurance posted the highest growth at 35 per cent year on year. However, compared with three months ago, the pace of job creation in this sector has also eased by around 16 per cent.
Other sectors that have been upbeat about hiring during the period were IT and telecoms (up 30 per cent), hospitality (26 per cent), and retail/trade and education (both up 22 per cent). Healthcare was the only sector to grow during the most recent month surveyed, as woes over China’s economic situation and the ongoing oil slump began to bite.
The Monster Gulf report also highlighted that online hiring activity in the region has been growing steadily by 37 per cent over the past three months from the same period last year.