Oil and Gas Workforce Shrinks

The number of employees in the oil and gas extraction industry has dropped by thousands since the start of the year, data on the U.S. Bureau of Labor Statistics (BLS) website shows.

According to the data, which was accessed by Rigzone, the number of employees in the sector has declined from 123,100 in January to 119,100 in August. Figures have recorded a month on month drop on four occasions so far this year, the data reveals.

The number of employees in the oil and gas extraction industry stood at 122,400 in February, 122,300 in March, 122,600 in April and May, 121,600 in June, and 121,200 in July, the data highlighted. July and August figures are preliminary, the data pointed out.

The BLS data, which spans from January 1972 to August 2025, showed that the highest oil and gas extraction industry employee figure was seen in March 1982, at 267,000. By December 2003, this figure had declined to 118,400, according to the data, which revealed that this figure climbed back up above 200,000, to 200,800, in October 2014. The lowest figure in the data set was seen in January 2022, at 110,800.

The BLS data is taken from the national Current Employment Statistics survey, the data page outlines. The CES program produces detailed industry estimates of nonfarm employment, hours, and earnings of workers on payrolls, the BLS site states, adding that CES National Estimates produces data for the nation and CES State and Metro Area produces estimates for all 50 States, the District of Columbia, Puerto Rico, the Virgin Islands, and about 450 metropolitan areas and divisions.

Each month, CES surveys approximately 121,000 businesses and government agencies, representing approximately 631,000 individual worksites, the BLS site notes.

The oil and gas extraction subsector is part of the mining, quarrying, and oil and gas extraction sector, the BLS site states. The site highlights that, according to the North American Industry Classification System, “industries in the Oil and Gas Extraction subsector operate and/or develop oil and gas field properties”.

“Such activities may include exploration for crude petroleum and natural gas; drilling, completing, and equipping wells; operating separators, emulsion breakers, desilting equipment, and field gathering lines for crude petroleum and natural gas; and all other activities in the preparation of oil and gas up to the point of shipment from the producing property,” the site adds.

“This subsector includes the production of crude petroleum, the mining and extraction of oil from oil shale and oil sands, and the production of natural gas, sulfur recovery from natural gas, and recovery of hydrocarbon liquids,” it continues.

The BLS describes itself on its website as an agency of the United States Department of Labor.

“It is the principal fact-finding agency in the broad field of labor economics and statistics and serves as part of the U.S. Federal Statistical System,” the site notes.

“BLS collects, calculates, analyzes, and publishes data essential to the public, employers, researchers, and government organizations,” it adds.

In a statement sent to Rigzone last month, which cited the latest CES report from the BLS at the time, the Texas Independent Producers and Royalty Owners Association (TIPRO) said, according to its analysis, direct Texas upstream employment for July totaled 205,200.

In its statement, TIPRO highlighted that the July figure was a decline of 1,400 industry positions from revised June employment numbers. The industry body added that this represented an increase of 200 jobs in oil and gas extraction and a decrease of 1,600 jobs in the services sector.

TIPRO said in its statement that fluctuations in monthly employment are normal and subject to revisions with CES data and added that “demand for talent in the Texas upstream sector remains high”. The industry body highlighted in its statement that, among the 19 specific industry sectors it uses to define the Texas oil and natural gas industry, Support Activities for Oil and Gas Operations “led in the ranking for unique job listings in July with 2,207 postings”.

In a separate statement sent to Rigzone by the Texas Oil & Gas Association (TXOGA) last month, TXOGA said data from the Texas Workforce Commission show upstream oil and natural gas employment fell by 1,400 in July compared to June.

TIPRO describes itself as a trade association representing the interests of nearly 3,000 independent oil and natural gas producers and royalty owners throughout Texas. TXOGA describes itself as the oldest and largest oil and gas trade association in Texas representing every facet of the industry. It was founded in 1919.

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