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How you should be approaching energy recruiting in 2024, per Houston expert

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Recruiting in the energy sector may be challenging, but the right candidates are out there. Photo via Getty Images

The January jobs report, per BLS, may be cause for celebration with 353,000 new jobs, but with a low unemployment rate of 3.7 percent, the tight labor market persists.

The same report states there were 2,000 more jobs in oil and gas extraction in January. Finding the right people for energy jobs can be a challenge right now as the industry has experienced flux the past few years. Many energy employers find key talent has moved into new industry verticals, drawn by the promise of increased stability.

Recruiting in the energy sector may be challenging, but the right candidates are out there. It is important for hiring managers to be realistic as they approach recruiting and hiring timeframes and make smart hiring decisions. The organization will be better off in the long run for this approach.

The following recruiting strategies are poised to support energy employers throughout the year.

Get personal.

Job candidates want to feel like their future employer is genuinely interested in them, which means recruiters should personalize the candidate’s experience. This starts by taking a holistic look at the hiring funnel and considering ways to make each candidate feel as though they are the only one you are talking to for the role.

Each touchpoint impacts how the candidate perceives the organization. The job description should inspire candidates, making them excited to apply and motivating them to dream about a future with your organization. Personalizing recruitment outreach messages to speak to their individual talents instead of a standard, generic message speaks volumes.

Moving through the hiring process as quickly as possible is important, but recruiting is about the long game. There are candidates who fall into place in a matter of days. Other times, you may have a conversation with a candidate months or even years before the timing is right for them to make a move. Asking about the candidate’s professional timeline and letting them know that you are willing to work with them, no matter how fast or slow, makes them feel special and valued by your company.

Be ready to compromise.

It has become hard to find the right fit for some of the energy jobs today. However, this does present an opportune moment for employers to reassess the conventional prerequisites typically required for specific positions. Criteria such as an exact college degree, a specified number of years of relevant experience, industry-specific expertise, an unbroken work history and proficiency in specific software applications are areas to reconsider in the job postings, job descriptions and interviews. This strategic adjustment broadens the talent pool and provides access to individuals whose suitability for a role might have been overlooked. Shifting away from stringent education backgrounds and narrowly defined experience, and instead prioritizing qualities such as adaptability and learning capabilities in the search for candidates, recruiters may discover a smoother path to securing qualified candidates.

Grow internal talent.

Recruitment today also means recruiting internally. The optimal approach to efficiently filling positions is promoting the role internally as existing employees have a vested interest and are deeply ingrained in the company’s culture. Their familiarity with colleagues, procedures and protocols facilitates a swift transition into new roles. In order for this to become a possibility, it’s imperative for leaders to nurture internal talent through professional development initiatives that equip employees with the skills needed for advancement. Tailored learning opportunities, mentorship and guidance for reskilling and upskilling can foster internal mobility, enhance employee retention and ensure sustained success. With all this in mind, recruiters should keep in close contact with management teams to discuss internal candidates and their career path.

There is no one way to recruit in 2024, but focusing on the individual and their skills as well as in-house candidates can make it a successful endeavor.

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Jill Chapman is a director of early talent programs with Insperity, a leading provider of human resources and business performance solutions.

This article originally ran on InnovationMap.

Retirement is coming for the energy industry's workforce. Here's how to prepare for it. Photo via Getty Images

Houston expert shares strategies for addressing the energy industry’s potential workforce shortages

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The energy industry, a vital part of Houston’s business ecosystem, faces the challenge of a shrinking workforce.

A U.S. Chamber of Commerce report indicates the workforce has nearly two million fewer workers today as compared to February 2020. A considerable part of this decline can be attributed to retirement and early retirement rates, with the pandemic prompting three million people to early retirement. Furthermore, with an estimated 10,000 Baby Boomers turning 65 daily, the entire generation is expected to reach retirement age by 2030.

The tight labor market, coupled with the growing brain drain associated with retirement rates, should serve as a wake-up call for employers in the energy sector. There are tried-and-true strategies to prepare businesses for waves of retirement and ensure the knowledge does not walk out the door.

Upskilling: Invest in the workforce 

Knowledge and skills go with workers are they retire. To mitigate the brain drain, companies need to invest in upskilling their existing employees and new hires. Establishing formal training and development opportunities can help enrich the workforce to pick up the responsibilities of retiring colleagues. This investment ensures a smooth transition, shows employees they are valued by the organization, and increases employee loyalty and engagement.

Adopting innovative training programs that cater to the specific needs of the energy sector is one approach. Technologies rapidly evolve, and employees must stay current to remain effective in their roles. Investing in the latest training programs, workshops and certifications will enable the workforce to thrive in a rapidly changing industry.

Mentoring programs: Pass the torch

Mentorship programs can play a pivotal role as more employees retire. Experienced employees nearing retirement can mentor younger workers, transferring knowledge and skills while ensuring a seamless transition of expertise. The value of mentorship programs can be priceless for an organization as they help transfer on-the-job learning and experiences that are not taught in the classroom.

A structured mentorship program usually proves most effective as it outlines the responsibilities of the mentors and mentees. A structured approach, which should have built-in accountability measures, ensures there is a productive knowledge transfer process.

Intentional recruitment: Attract and retain talent

A proactive recruitment approach is essential as businesses work to fill knowledge gaps. Companies in the energy sector should seek out talent to bridge the generational divide. This may include targeting candidates who have the relevant skills and knowledge, yet they are willing to adapt to the industry’s changing landscape.

Workplace culture is still a relevant and important component of attracting and retaining top-notch talent. Beyond competitive compensations packages, today’s job candidates look for growth opportunities and a focus on work-life balance.

Retaining knowledge: Document the expertise

Institutional knowledge will walk out the door as experienced employees retire. Companies can prepare for and mitigate the knowledge migration with knowledge-sharing systems and comprehensive documentation processes. An established process can help preserve information that may seem like second nature to more experienced employees and make it accessible to current and future employees. Asking retiring employees to document their expertise and best practices can safeguard their insights within the organization.

Covering bases: Create an alumni network

Retirement does not always mean the employee wants to hang up their proverbial hat entirely. Filling the knowledge gap as employees retire can be daunting. However, the development of an alumni network can extend the life of the institutional knowledge and knowledge-sharing process. Bringing back retirees on a project basis or to consult is a solution benefiting everyone involved.

Every industry must prepare for the impending wave of retirements. The energy industry’s significant impact on the Houston economy requires proactive and thoughtful solutions. The tight labor market and retirement rates should have businesses in this sector working diligently to fill the upcoming knowledge gaps through upskilling, mentoring, intentional recruitment, knowledge-sharing systems and alumni networks. Taking these steps now, the energy industry can circumnavigate workforce shortages and prepare for continued success.

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Jill Chapman is a director of early talent programs with Insperity, a leading provider of human resources and business performance solutions.

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Houston robotics company unveils extreme-temperature tank robot

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Houston- and Boston-based Square Robot Inc.'s newest tank inspection robot is commercially available and certified to operate at extreme temperatures.

The new robot, known as the SR-3HT, can operate from 14°F to 131°F, representing a broader temperature range than previous models in the company's portfolio. According to the company, its previous temperature range reached 32°F to 104°F.

The new robot has received the NEC/CEC Class I Division 2 (C1D2) certification from FM Approvals, allowing it to operate safely in hazardous locations and to perform on-stream inspections of aboveground storage tanks containing products stored at elevated temperatures.

“Our engineering team developed the SR-3HT in response to significant client demand in both the U.S. and international markets. We frequently encounter higher temperatures due to both elevated process temperatures and high ambient temperatures, especially in the hotter regions of the world, such as the Middle East," David Lamont, CEO of Square Robot, said in a news release. "The SR-3HT employs both active and passive cooling technology, greatly expanding our operating envelope. A great job done (again) by our engineers delivering world-leading technology in record time.”

The company's SR-3 submersible robot and Side Launcher received certifications earlier this year. They became commercially available in 2023, after completing initial milestone testing in partnership with ExxonMobil, according to Square Robot.

The company closed a $13 million series B round in December, which it said it would put toward international expansion in Europe and the Middle East.

Square Robot launched its Houston office in 2019. Its autonomous, submersible robots are used for storage tank inspections and eliminate the need for humans to enter dangerous and toxic environments.

Houston oil giant ConocoPhillips will lay off up to 25% of workforce

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Oil giant ConocoPhillips is planning to lay off up to a quarter of its workforce, amounting to thousands of jobs, as part of broader efforts from the company to cut costs.

A spokesperson for ConocoPhillips confirmed the layoffs on Wednesday, September 3, noting that 20% to 25% of the company's employees and contractors would be impacted worldwide. ConocoPhillips currently has a global headcount of about 13,000 — meaning that the cuts would impact between 2,600 and 3,250 workers.

“We are always looking at how we can be more efficient with the resources we have,” a ConocoPhillips' spokesperson said via email, adding that the company expects the “majority of these reductions” to take place before the end of 2025.

ConocoPhillips' shares fell 4.3% last week. The Houston-based company's stock now sits at under $95 per share, down nearly 14% from a year ago.

News of the coming layoffs was first reported by Reuters, with anonymous sources telling the outlet that CEO Ryan Lance detailed the plans in a video message earlier Wednesday. In that video, Reuters reported, Lance said the company needed “fewer roles” while he cited rising costs.

Last month, ConocoPhillips reported second-quarter earnings of $1.97 billion. That beat Wall Street expectations, but was down from the nearly $2.33 billion the company reported for the same period last year.

In its latest earnings, reported on August 7, ConocoPhillips continued to point to cost cutting efforts — noting that it had identified more than $1 billion in cost reductions and margin optimization. The company also said it had agreed to sell its Anadarko Basin assets for $1.3 billion.

Engie launches next-generation data center development in Texas

coming soon

Houston-based Engie North America has entered into an agreement with Wyoming-based Prometheus Hyperscale to develop liquid-cooled data centers at select renewable and battery storage energy facilities along Texas’ I-35 corridor. Its first AI-ready data center compute capacity sites are expected to go live in 2026.

“By leveraging our robust portfolio of wind, solar, and battery storage assets — combined with our commercial and industrial supply capabilities and deep trading expertise — we're providing integrated energy solutions that support scalable, resilient, and sustainable infrastructure," David Carroll, chief renewables officer and SVP of ENGIE North America, said in a news release.

Prometheus plans to use its high-efficiency, liquid-cooled data center infrastructure in conjunction with ENGIE's renewable and battery storage assets. Both companies believe they can meet the growing demand for reliable, sustainable compute capacity, which would support AI and other more demanding workloads.

"Prometheus is committed to developing sustainable, next-generation digital infrastructure for AI," Bernard Looney, chairman of Prometheus Hyperscale, said in the release. "We cannot do this alone—ENGIE's existing assets and expertise as a major player in the global energy transition make them a perfect partner as we work to build data centers that meet market needs today and tomorrow."

On-site power generation provider Conduit Power will assist Prometheus for near-term bridging and back-up solutions, and help tenants to offset project-related carbon emissions through established market-based mechanisms.

More locations are being planned for 2027 and beyond.

"Our collaboration with Prometheus demonstrates our shared approach to finding innovative approaches to developing, building and operating projects that solve real-world challenges,” Carroll added in the release.

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