As Alberta settles into the reality of a new majority NDP government, fallen oil prices remain a reality and job security is a constant concern.
Mercer recently fielded a survey of nearly 1,800 oil and gas employees about their preferences and satisfaction with total rewards in the context of the industry’s current environment.
For the first time, having job security ranked first, ahead of base pay. In prior surveys that crossed industries, base pay has overshadowed all other elements by a significant margin. The job security finding reflects the growing anxiety of the workforce during a time when many organizations are cutting investments, freezing pay, or eliminating jobs.
And this anxiety is not misplaced. Another recent Mercer study of 154 oil and gas industry organizations in the US, Canada and Mexico, found that nearly half (44 per cent) will cut back on capital expenditures, a third (32 per cent) plan to decrease acquiring new outside talent and 16 per cent may reduce staff.
The survey employee data reveals that Canadian oil and gas employees are significantly less engaged than their US counterparts. When asked the same pride and commitment questions, Canadian workers were not as proud to work for their employer, more of them would not recommend their organization to others, and a higher percentage are looking to leave their employer for other opportunities. Engaged employees are more productive and this insecurity and lack of commitment could have significant consequences to the industry and Alberta’s economy.
For more information, download a copy of the study report Inside Employees’ Minds™: What Oil and Gas Employees Value - Canada
Mercer is a global consulting leader in health, wealth and careers. Mercer helps clients around the world advance the health, wealth and performance of their most vital asset – their people. Mercer’s more than 20,000 employees are based in more than 43 countries and the firm operates in over 140 countries. Mercer is a wholly owned subsidiary of Marsh & McLennan Companies (NYSE: MMC), a global professional services firm offering clients advice and solutions in the areas of risk, strategy and people. With annual revenue of $13 billion and 60,000 employees worldwide, Marsh & McLennan Companies is also the parent company of Marsh, a leader in insurance broking and risk management; Guy Carpenter, a leader in providing risk and reinsurance intermediary services; and Oliver Wyman, a leader in management consulting. For more information, visit www.mercer.ca. Follow Mercer on Twitter @MercerCanada.