Job displacement in the oil and gas industry in Canada

Release date: December 1, 2020
Infographic: Job displacement in the oil and gas industry in Canada
Description: Job displacement in the oil and gas industry in Canada

Job displacement in the oil and gas industry in Canada

Employment in the oil and gas industry more than doubled from the mid-1990s to the early 2010s, rising from about 99,000 in 1995 to 218,000 in 2012.

  • Since 2012, employment has been declining, especially between2015 and 2016, when the number of jobs fell by 30,000.
  • In 2017, the industry employed 165,000 workers.

Every year, a certain number of workers lose their job as a result of permanent layoffs. This number rises when economic conditions deteriorate.

  • From 1995 to 2014, 6,000 to 15,000 permanent layoffs were recorded each year.
  • In 2015, as oil prices declined, the number of layoffs more than doubled to 25,500.

The majority of displaced workers who landed a new job found jobs outside the oil and gas industry.

  • Key sectors of re-employment include construction (29%), highly skilled services (18%) and manufacturing (7%).  

81.2% of permanently laid-off workers found employment in the year after losing their job.

  • Displaced workers aged 55 and over (69.5%) and high-tenure workers (69.7%) were generally less likely to find a new job.

Source: Statistics Canada. 2020. "How Do Workers Displaced from Energy-producing Sectors Fare after Job Loss? Evidence from the Oil and Gas Industry." Economic Insights. Statistics Canada Catalogue no. 11-626-X, No. 123.

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