UKCS Offshore Workforce Demographics Report 2013

UK CONTINENTAL SHELF OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

Contents

1. 2. 3. 4. 5.

Foreword

4 5 6 7

Executive Summary

Introduction

Total Workforce Core Workforce

14

5.1

Comparative Trends of the Core Workforce 17

6. Residential Locations and Nationalities of the Workforce 20 6.1 Residential Locations 20 6.2 Workforce Nationalities 21 7. Female Workforce 23 8. Age Analysis 25 9. Skills Activity Update 30

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

1.

Foreword

The UK oil and gas industry has been active since the mid-1960s and has grown, now requiring around 26,000 workers who regularly travel offshore, alongside the hundreds of thousands who work onshore.

To ensure a continued, sufficient supply of skilled people to service UK oil and gas production, it is important that the industry understands the workforce profile and how it changes over time.

Oil & Gas UK’s most recent forecasts highlight record investment in new developments, growing interest in exploring for new reserves and fields that are expected to produce into the 2040s 1 . Developing an understanding of the workforce profile is therefore more important than ever in meeting the growing and long-term demand for a skilled workforce. This is Oil & Gas UK’s seventh annual UK Continental Shelf Offshore Workforce Demographics Report and is designed to help companies understand current trends and to plan ahead. It considers how the composition of the offshore workforce has changed from 2006 to 2012, with particular attention paid to age, gender and residential location. Oil & Gas UK is actively developing and helping to drive forward a number of industry programmes to sustain the supply of workers throughout the sector. These initiatives include, but are not limited to, improving the perception of the industry as a place to build a career, helping to encourage the uptake of Science, Technology, Engineering and Maths (STEM) subjects in schools, and supporting the transition of skilled people in the mid-career phase from other sectors.

We hope you enjoy reading the report. Any queries should be directed to Oil & Gas UK’s employment and skills issues manager, Dr Alix Thom, on athom@oilandgasuk.co.uk

Alix Thom Employment and Skills Issues Manager

1 Oil & Gas UK’s Activity Survey 2013 is available to download at: http://www.oilandgasuk.co.uk/forecasts.cfm

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

2.

Executive Summary

The data used in this report came from the Vantage Personnel On Board (POB) system and have been analysed to identify trends in the UK oil and gas industry offshore workforce.

The following summarises the key findings for 2012:

• A total of 56,982 people travelled offshore in 2012, which is the highest number since 2006 when data were first analysed and nearly a nine per cent increase from 2011 when 52,300 employees travelled offshore. • The core workforce (those working over 100 nights per year offshore) remained at approximately 45 per cent of the total workforce, reflecting the continuing stability of these roles. At 25,760, the number of core workers is at its highest since 2006 and represents an increase of 8.4 per cent from 2011 when there were 23,758 core workers. • Three and a half times more non-operator personnel than operator personnel travelled offshore in 2012. The total number of personnel travelling offshore increased by five per cent and ten per cent from 2011 to 2012 for operators and non-operators, respectively. • Over eighty per cent of the total number of workers travelling offshore are of British nationality. • Female employees represented 3.75 per cent (2,138) of the total offshore population in 2012, of which 753 are core workers. This is an increase of only 0.05 per cent from 2011. • The average age of the offshore workforce was 41.1 years. This is similar to the average age recorded over the last seven years; the lowest during that time was 40.4 years in 2009. • 2012 saw an increase in employees travelling offshore in all age brackets. There was a 13.7 per cent rise in the number of workers under the age of 30.

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

3. Introduction This report presents up-to-date analysis of demographics data for the offshore workforce from 2006 to 2012. The data are extracted from the Vantage Personnel On Board (POB) system, which is used to track the movements of personnel to and from offshore installations. The data are collected in two groups – the total numbers travelling offshore and the core workforce (those working over 100 nights per year offshore). The report will consider the differences that arise between the core and total workforce and between operator and non-operator workers, as well as analysing theworkers’ UK residential locations, the nationalities represented by the workforce, the female demographic and the age profile of the workforce and how this has changed.

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

4. Total Workforce At 56,982, 2012 saw the highest total number of workers travelling offshore on the UK Continental Shelf (UKCS) since 2006, when data were first analysed. This is an increase of nearly nine per cent from 2011 when 52,300 employees travelled offshore, which is the most significant year-on-year increase, and nearly a 14 per cent increase from 2006.

Figure 1: Total Number of Personnel who Travelled Offshore from 2006 to 2012

58,000

56,000

54,000

52,000

50,000

Number of Personnel

48,000

46,000

2006

2007

2008

2009 Years

2010

2011

2012

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

Figure 2 below illustrates the spread of the total workforce between those working for operators and those working for non-operators (companies which are not production operators). In 2006, there were five and a half times more employees for non-operators than operators. However, this has fluctuated between three to three and a half times more from 2007 to 2012.

Figure 2: Total Personnel Travelling Offshore for Operators and Non-Operators from 2006 to 2012

60,000

50,000

40,000

30,000

20,000

Number of Personnel

10,000

0

2006

2007

2008

2009 Years

2010

2011

2012

Operator

Non-Operator

Total

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

Of the total offshore workforce in 2012, 17.7 per cent (10,086) travelled offshore for ten nights or less (see figure 3 below). The non-core workforce (who works less than 100 nights per year offshore) will have predominantly onshore jobs with the requirement to travel offshore occasionally. It must also be noted that there may be a number of new starts to the core workforce (who work 100-plus nights per year) who have not yet spent over 100 nights offshore.

Figure 3: The Number of Nights Spent Offshore by the Non-Core Workforce in 2012

12,000

10,000

8,000

6,000

4,000 Number of Personnel

2,000

0

0 - 10 11 - 20 21 - 30 31 - 40 41 - 50 51 - 60 61 - 70 71 - 80 81 - 90 91 - 100

Number of Nights

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

Last year’s report plotted for the first time the total number of workers travelling offshore against the oil price, which showed a correlation between the number of personnel and oil price with a time lag of one year. The same correlation can be seen in Figure 4 below for 2012. If this trend is to continue, we would expect to see a plateau in the number of personnel in 2013. However, increasing levels of investment and activity on the UKCS 2 mean the industry may in fact see a further increase in the number of personnel as new or rescheduled projects start. Next year’s figures should therefore give an indication as to the veracity of the correlation seen so far.

Figure 4: The Total Number of Personnel Travelling Offshore between 2006 and 2012, Plotted Alongside the Average Oil Price ($)

60,000

200

58,000

180

56,000

160

54,000

140

52,000

120

50,000

100

48,000

80

Number of Personnel

46,000

60

Total Number of Personnel

Average Oil Price per $ per Barrel

44,000

40

Oil Price / $

42,000

20

40,000

0

2006

2007

2008

2009 Years

2010

2011

2012

2 Oil & Gas UK’s Activity Survey 2013 is available to download at: http://www.oilandgasuk.co.uk/forecasts.cfm

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

Figures 5 and 6 below illustrate that nearly half the number of personnel travelled offshore to a single location with the majority working for a single operator.

Figure 5: The Number of Locations Visited Offshore by the Total Workforce in 2012

3% 2% 2% 1% 3%

1 2 3 4 5 6 7 8 9 10+

4%

6%

49%

10%

20%

Figure 6: The Number of Operators Worked for by the Total Workforce in 2012

3%

0%

2%

4%

8%

0 1 2 3 4 5 6+

18%

65%

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

The largest proportion of the total offshore workforce travelled to the central North Sea in 2012, which is the most developed basin on the UKCS. The second largest population travelled to multiple sectors.

Figure 7: Geographic Distribution of the Total Workforce on the UK Continental Shelf

No. of Males & Females

No. of Males No. of Females

No. of Males & Females

No. of Males No. of Females

No. of Males & Females

No. of Males No. of Females

No. of Males & Females

No. of Males No. of Females

No. of Males & Females

No. of Males No. of Females

No. of Males & Females

No. of Males No. of Females

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

The west of Shetland has seen the largest increase of 117 per cent in terms of the total number of workers travelling to the sector from 2006 to 2012. There has been a 116.5 and a 133.3 per cent increase in the number of males and females travelling to the sector, respectively. The northern North Sea has seen the second largest increase from 2006 to 2012; in particular, there has been a large increase of 53.6 per cent in the number of female employees travelling to this sector.

Figure 8: Difference in the Geographic Distribution of the Total Workforce between 2006 and 2012

%Difference, 2006 to 2012

2012

2006

Sectors

No. of Males

No. of Females

No. of Males

No. of Females

No. of Males

No. of Females

Central North Sea 21,805 903

23,818 1,071

9.2

18.6

Northern North Sea 6,255

181

7,673

278

22.7

53.6

Southern North Sea 5,522

208

5,733

189

3.8

-9.1

814

30

783

39

-3.8

30

Morecambe Bay 3

West of Shetland 1,146

63

2,481 147

116.5

133.3

Multiple Sectors

12,959 385

14,356 414

10.8

7.5

3 Earliest Morecambe Bay figures recorded are from 2009 and not 2006

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

5. Core Workforce The core workforce is defined as those workers who work offshore for more than 100 nights per year. This captures either the common offshore work patterns of equal time (two weeks on, two weeks off/three weeks on, three weeks off) or two weeks on, three weeks off. In 2012, the core workforce was at its highest level in recent years with 25,760 personnel, representing an 8.4 per cent increase from2011, when there were 23,758 core workers, and a 17.6 per cent increase from2010, when there were 21,896 core workers. This rise in the number of core employees reflects the investment in new developments and improvements to existing assets and infrastructure.

Figure 9: Number of Core Personnel Travelling Offshore from 2006 to 2012

30,000

25,000

20,000

15,000

10,000

Number of Core Personnel

Core Workers

5,000

0

2006

2007

2008

2009 Years

2010

2011

2012

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

The core workforce, as in 2011, continues to account for approximately 45 per cent of the total workforce who travelled offshore in 2012.

Figure 10: Total Versus Core Personnel who Travelled Offshore from 2006 to 2012

60,000

Total

Core Workers

50,000

40,000

30,000

20,000 Number of Personnel

10,000

0

2006

2007

2008

2009 Years

2010

2011

2012

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

Similar to the total workforce, half of the core workers travelled offshore to a single location with the majority working for a single operator in 2012.

Figure 11: The Number of Locations Visited Offshore by the Core Workforce in 2012

1%

3%

2% 2%

3%

4%

6%

1 2 3 4 5 6 7 8 9 10+

50%

9%

20%

Figure 12: The Number of Operators Worked for by the Core Workforce in 2012

3%

3%

4%

6%

17%

1 2 3 4 5 6+

67%

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

5.1 Comparative Trends of the Core Workforce The change in the number of core workers has been plotted alongside a range of different metrics in figures 13 to 17 below to identify any notable correlations or trends. The number of core personnel, like the total workforce (see section 4), correlates with the oil price with a lag of one year (see figure 13 below). The red dotted projection line (based on historical data) forecasts an increase in the number of core personnel over the next two years. The actual figure for 2012 is already slightly higher than the line of projection but, if the correlation between the number of personnel and the oil price holds true, we would expect to see numbers plateau next year.

Figure 13: The Number of Core Personnel Travelling Offshore between 2006 and 2012, with Projected Figures to 2014, Plotted Alongside the Oil Price ($)

200

30,000

180

25,000

160

140

20,000

120

15,000

100

80

10,000

60

Oil Price per $ per Barrel

Number of Core Personnel

40

5,000

20

0

0

2006

2007

2008

2009

2010 Years

2011

2012

2013

2014

Core Workers

Oil Price / $

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

Although production and drilling activity declined, the core workforce travelling offshore has increased from 2010 to 2012 (as discussed on page 14). The decline in oil and gas production year on year is broadly in line with the trend seen since 2005. However since 2010, production fell by 30 per cent in just two years. Oil & Gas UK’s Activity Survey attributes this to the slowdown in investment which reached a low point in 2008 to 2009, extended planned maintenance shutdowns and a number of unplanned shutdowns.

Figure 14: The Relationship between the Number of Core Workers and Production Figures from 2006 to 2012

30,000

5

4.5

25,000

4

3.5

20,000

3

15,000

2.5

2

10,000 Number of Personnel

1.5

Core Workers Production

1

5,000

0.5

Production per Million Barrels of Oil Equivalent per Day

0

0

2006

2007

2008

2009 Years

2010

2011

2012

Figure 15: The Relationship between the Number of Core Workers and Drilling Activity from 2006 to 2012

30,000

350

300

25,000

Appraisal Exploration

250

20,000

Development Core Workers

200

15,000

150

Number of Wells

10,000

Number of Personnel

100

5,000

50

0

0

2006

2007

2008

2009

2010

2011

2012

Years

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

Figure 16: The Relationship between the Number of Core Workers and Overall Expenditure from 2006 to 2012

25

30,000

Exploration & Appraisal Costs Development Costs Operating Costs Core Workers

25,000

20

20,000

15

15,000

£ Billion

10

10,000 Number of Personnel

5

5,000

0

0

2006

2007

2008

2009

2010

2011

2012

Years

Figure 17: The Relationship between the Number of Core Workers and the Operating and Capital Expenditure Costs from 2006 to 2012

12

30,000

Operating Costs

Capital Expenditure Costs

10

25,000

Core Workers

8

20,000

6

15,000

£ Billion

10,000 Number of Personnel

4

2

5,000

0

0

2006

2007

2008

2009

2010

2011

2012

Years

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

6. Residential Locations and Nationalities of the Workforce

6.1 Residential Locations The map below (figure 18) shows the UK home addresses of personnel working offshore on the UKCS. It illustrates that the majority of offshore workers, just over half, live in Scotland. Twenty-five per cent of the total workforce lives in the north east of Scotland, with significant numbers living on the east coast and along the central belt. Roughly 30 per cent of the total offshore workforce has a registered postcode in England. The key areas are the north east, north west and East Anglia. This correlates with the presence of the fabrication industry in and around Newcastle, as well as oil and gas operations at Morecambe Bay and areas close to Humberside, which is a flight base for travelling to the southern North Sea.

Figure 18: A Map Illustrating the UK Home Addresses of all Workers on the UK Continental Shelf

Number of Personnel

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

6.2 Workforce Nationalities In 2012, 47,192 of the personnel who travelled offshore were of British nationality, which is 82.8 per cent of the total offshore workforce and an increase of 8.8 per cent from 2006 when 43,387 employees were of British nationality.

Figure 19: The Number of Offshore Workers of British Nationality from 2006 to 2012

48,000

47,000

46,000

45,000

44,000

43,000

42,000 Number of Personnel

41,000

40,000

39,000

2006

2007

2008

2009 Years

2010

2011

2012

The breakdown of nationalities represented by the UKCS workforce has also been analysed. The breadth of countries represented (shown in light green in the map below) demonstrates the workforce’s diversity and the industry’s significant global reach for employment.

Figure 20: A Map Showing the Nationalities Working Offshore on the UK Continental Shelf. The Countries Shown in Light Green are Represented by Employees

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

The breakdown of non-British nationalities working offshore on the UKCS is provided in figure 21 below. In comparison to 2011, a number of observations can be made: • The greatest number of non-British employees in 2012 were still Norwegian, followed by the Dutch and employees from the USA. • The proportion of Canadians, French, Germans, Polish, Irish and Lithuanians working on the UKCS declined in 2012. • The proportion of Maltese employees declined, dropping out of the top ten non-British nationalities working on the UKCS. • The Danish employees were a new entry in the top ten in 2012, accounting for 3.5 per cent of the offshore population from outside the UK.

Figure 21: The Top Ten Non-British Nationalities Working on the UK Continental Shelf

Proportion of Non-British Workers

Nationality

No. of Personnel

Norwegian

15%

1,473

Dutch

9.4%

918

American (USA)

4.7%

464

Polish

4.4%

429

Irish

3.5%

344

Danish

3.5%

340

French

2.5%

247

Canadian

2.3%

230

Lithuanian

2.1%

201

German

1.9%

188

Other

50.6%

4,956

Total No. of Non-British Employees

9,790

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

7. Female Workforce Since 2006, the industry has seen an increase of 18.7 per cent in the total number of females travelling offshore. However, this is just a 0.15 per cent increase in the proportion of female employees relative to the total workforce population. This confirms that the industry has a long way to go to increase gender diversity. In 2012, 2,138 females travelled offshore, representing 3.75 per cent of the total offshore workforce and an increase of 0.05 per cent from 2011. Of the female employees, 753 were core workers and 763 travelled offshore for 10 nights or less. The distribution of females across the various age ranges has remained fairly constant since 2006, with the highest number of females falling into the 24 to 29 age bracket in 2012 (see figure 22 below). From the age of 30 there is a decline in the number of females travelling offshore.

Figure 22: Female Offshore Population Versus Male Population, 2012

10,000

9,000

8,000

7,000

Female

6,000

Male

5,000

4,000

3,000 Number of Personnel

2,000

1,000

Under 18 18 - 23 24 - 29 30 - 34 35 - 39 40 - 44 45 - 49 50 - 54 55 - 59 60 - 64 65+ Female 0 122 620 419 310 238 194 151 64 15 5 Male 17 3,205 8,799 7,746 7,214 7,455 7,124 6,112 4,370 2,361 441 0

Age in Years

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

Figures 23 and 24 below show that 28 per cent of the total number of female employees (around 600) work in the catering discipline. The number of females in catering has increased year on year with the exception of 2010 to 2011. Other key disciplines in which females work offshore are as follows: maintenance (219 – 10.2 per cent), health, safety and environment (106 – five per cent) and medical (89 – four per cent).

It should be noted that there were 324 females (15 per cent) with ‘unknown’ in the job role field on Vantage.

Figure 23: A Comparison of the Total Number of Female Workers with those in Non-Catering Roles between 2006 and 2012

2,200

2,000

1,800

1,600

1,400

Number of Female Workers

Excluding Catering

1,200

All Female Workers

1,000

2006

2007

2008

2009 Years

2010

2011

2012

Figure 24: The Total Number of Female Workers and those in Non-Catering Roles between 2006 and 2012

Excluding Catering

Year

All

2006 2007 2008 2009 2010 2011 2012

1,756 1,881 1,887 1,895 1,833 1,930 2,138

1,279 1,386 1,362 1,326 1,289 1,371 1,539

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

8.

Age Analysis

The average age of the total offshore workforce was 41.1 years in 2012. This has remained fairly constant since 2006, staying in the range of 40 to 41 years.

Figure 25 below illustrates that, as the workforce increases, the greatest growth can be seen in young and middle aged personnel as opposed to those in older age groups. This data should dispel the perception that the offshore workforce is an ageing workforce.

Figure 25: The Age Profile of the Offshore Workforce from 2010 to 2012

2,000

2012 Figures

1,800

2011 Figures

1,600

2010 Figures

1,400

1,200

1,000

800

Number of Personnel

600

400

200

0

18

23

28

33

38

43

48

53

58

63

68

73

Age

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

Encouragingly, the figures reveal that in 2012 there were two and a half times more people in the age bracket 23 to 28 than in the age bracket of 60 to 65.

Figure 26: The Number of Workers Aged 23 to 28 Compared with those Aged 60 to 65 in 2012

2,000

1,800

1,600

7,940 Workers Aged 23 to 28

1,400

1,200

1,000

800

Number of Personnel

600

3,083 Workers Aged 60 to 65

400

200

0

18

23

28

33

38

43

48

53

58

63

68

73

Age

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

2012 saw an increase in employees in all age brackets. The largest rise compared with 2011 is in the 30 to 34 age range of 15.7 per cent, and there was also a 13.7 per cent rise in the number of workers under 30. This is encouraging, although the industry still needs to continue to retain and attract mid-career personnel (ages 35 to 49).

Figure 27: The Change in the Number of Workers in Each Age Range Since 2011 (Total Workforce)

1,200

1,000

800

600

400

200

Change in the Numbers of Workers Since 2011

0

Under 18 18 - 23 24 - 29 30 - 34 35 - 39 40 - 44 45 - 49 50 - 54 55 - 59 60 - 64 65+

-200

Age

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

More broadly, figures 28 and 29 compare the workers’ age ranges between 2006 and 2012. This reveals that 2012 saw a reversal of the previous reduction in mid-career personnel. However these numbers remain considerably lower than the growth seen in all other age brackets, illustrating a continual gap in the mid-career workforce.

Figure 28: The Change in the Numbers of Workers in Each Age Range for the Total Workforce between 2006 and 2012 and between 2006 and 2011

2,500

2,000

1,500

2006 - 2012 2006 - 2011

1,000

500

0

Under 18 18 - 23 24 - 29 30 - 34 35 - 39 40 - 44 45 - 49 50 - 54 55 - 59 60 - 64 65+ Change in the Numbers of Workers

-500

-1,000

Age

Figure 29: The Change in the Numbers of Core Workers in Each Age Range between 2006 and 2012

1,400

1,200

1,000

800

600

400

Change in the Numbers of Workers

200

0

Under 18 18 - 23 24 - 29 30 - 34 35 - 39 40 - 44 45 - 49 50 - 54 55 - 59 60 - 64 65+

Age

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

Personnel working for operators display a more even distribution across the age ranges whereas non-operators have more employees working in the early to mid-career range, with fewer workers from the age of 44 years onwards. However, when analysing the 65+ age group, the non-operators have a higher proportion of workers in this range than the operators.

Figure 30: Age Profile of Employees for Operators and Non-Operators in 2012

9,000

8,000

7,000

6,000

Operator Non-Operator

5,000

4,000

3,000

Number of Personnel

2,000

1,000

0

Under 18 18 - 23 24 - 29 30 - 34 35 - 39 40 - 44 45 - 49 50 - 54 55 - 59 60 - 64 65+

Age

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UKCS OFFSHORE WORKFORCE DEMOGRAPHICS REPORT 2013

9. Skills Activity Update As the report shows, the drop in personnel in the age range 35 to 49 in 2011 has reversed and the numbers in that age range increased in 2012, though by smaller numbers than all other age groups apart from those under 23 and over 65. This mid-career gap is replicated in a number of onshore roles, including design engineering, subsea and drilling engineering, and geosciences. Though this is partly due to cutbacks implemented when the oil price has fallen substantially in the past, it is also very much a consequence of our success as an industry. The skills, expertise and technology developed on the UKCS are highly sought after by other oil and gas provinces around the world; competition for skills is truly global. The shortage in skilled personnel is cited as one of the biggest challenges for the UK’s offshore oil and gas industry. During the past year, Oil & Gas UK has been working with industry to identify where, and to what extent, collaboration can help alleviate this issue. A number of areas for activity have been identified, including: • Establishing a high level industry relationship with the Ministry of Defence (MoD) – 18,000 to 20,000 men and women will leave the armed forces in each of the next three years and many of those will have transferable skills. OPITO is working with the MoD to map and identify skills in industry and military roles. • Developing discipline work groups to explore the feasibility of transition training/accelerated development. • Creating smarter training solutions – for example, through possible development of facilities that could be used as an assessment/proving centre for skilled workers from other industries and to reduce the offshore training time required for trainees. A feasibility study is underway for this initiative. • Lobbying the UK Government on immigration policy to facilitate recruitment of skilled personnel from non-EU countries. • Education – pooling resources and effort under the auspices of OPITO so the industry can reach more schools throughout the UK, more often, and with a consistent message about the importance of and opportunities afforded by studying STEM subjects (Science, Technology, Engineering and Maths). Though the sector has no difficulties in attracting new trainee entrants to the industry, it is important for the long term to sustain a pipeline of school leavers and graduates with STEM qualifications, not just for the long-term success of the industry but for UK plc. With record levels of investment and high levels of activity on the UKCS, the challenge of increasing the supply of skilled personnel in the industry will not be resolved in the immediate future. However, a sound understanding of our labour market and future demands for skills – both on and offshore – are essential to understanding that challenge and developing additional solutions.

page 30

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ISBN 1 903 004 05 5 © 2013 The UK Oil and Gas Industry Association Limited, trading as Oil & Gas UK.

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