Document summary
Skill shortage is a long-term structural issue for the oil & gas industry and the proper management of human capital must become more institutionalised by those companies operating in this sector. Analysis within an ESG framework reveals that the industry’s short-term approach to hiring decisions taken around 15 years ago, based purely on financial considerations has generated a labour supply crunch now threatening employee safety, the environment and capital expenditure projects for exploration & production, all potentially destructive of shareholder value.