Canada’s oil sands economy
The number of oil sands jobs in Canada reached a peak in early 2014.1 However, global oil prices dropped by 70 per cent between mid-2014 and 2016.2 Jurisdictions with undiversified exports, such as Alberta, which relies heavily on its oil sands industry, were badly hit.3 As a result, Canada’s oil and gas industry terminated an estimated 53,119 jobs between 2014 and 2019.4
By March 2020, Alberta’s economy had still not recovered.5 An oil price war between Russia and Saudi Arabia in early 2020 plunged crude prices down once again.6 The COVID-19 pandemic further exacerbated the situation. The demand for fuel collapsed, and the world took an economic downturn.7 For Alberta’s oil sands industry, the situation was nothing short of a crisis.8
Will Alberta’s oil sands industry expand?
From January 2019 until December 2020, the production of oil in Alberta curtailed.9 This was to protect the value of Canadian oil by preventing it from being sold at large discounts.10 Monthly limits have since been lifted for 2021.11 However, the industry has already suffered a significant blow to expansion plans this year.
One of Joe Biden’s first acts as President was to cancel the US portion of the Keystone XL pipeline.12 The USD $8 billion project was intended to carry over 800,000 barrels of bitumen per day from Alberta’s oil sands to refineries in Texas.13 This would have had a devastating environmental impact. Oil sands’ crude produces approximately 31 per cent more greenhouse emissions than conventional crude.14 The cancellation has cost about 1,000 temporary construction jobs in Canada.15 It is also predicted to stifle investment and production growth in Alberta’s oil sands for years to come.16
How to get a job working in oil sands
Of course, plenty of jobs remain in Canada’s oil sands. Approximately 175,040 workers were employed in Canada’s oil and gas industry in December 2020.17 Sites like OilJobFinder help those who are interested in finding employment.18 Alberta’s mining, oil and gas extraction industry’s average hourly wage was CAD $42.80 in 2016.19 This was well above the provincial average of CAD $29.61, and it continues to draw workers from Canada and abroad.20
How to get a job in Alberta’s oil sands
To get a job in Alberta’s oil sands, it helps to have either engineering skills or an education in geosciences.21 But, there are a variety of roles available. The oil sands capital, Fort McMurray, has a population of about 66,500.22 It, therefore, relies upon migration to fill all the oil sands jobs. Positions range from manual labour, such as welders and pipefitters, to highly qualified computer system analysts and geologists.23 Applying directly to the companies invested in Alberta’s oil sands is the best way to find employment.
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Sources
- Parkland Institute. (n.d.). The Future of Alberta’s Oil Sands Industry: More Production, Less Capital, Fewer Jobs. [online] Available at: https://www.parklandinstitute.ca/the_future_of_albertas_oil_sands_industry.
- Parker, T. (2019). The Global Collapse of Oil Prices. [online] BTA – Building Trades of Alberta. Available at: https://bta.ca/global-collapse-of-oil-prices/ [Accessed 27 Jan. 2021].
- Parker, T. (2019). The Global Collapse of Oil Prices. [online] BTA – Building Trades of Alberta. Available at: https://bta.ca/global-collapse-of-oil-prices/ [Accessed 27 Jan. 2021].
- Parkland Institute. (n.d.). The Future of Alberta’s Oil Sands Industry: More Production, Less Capital, Fewer Jobs. [online] Available at: https://www.parklandinstitute.ca/the_future_of_albertas_oil_sands_industry.
- Western Canada: Oil price crash sends Alberta’s economy back into crisis. (n.d.). The Globe and Mail. [online] Available at: https://www.theglobeandmail.com/canada/british-columbia/article-western-canada-oil-price-crash-sends-albertas-economy-back-into/.
- Oil price war will last months, experts say, adding “pain” to Canada’s oilpatch | CBC News. (n.d.). CBC. [online] Available at: https://www.cbc.ca/news/business/oil-price-war-impacts-on-canada-1.5505640 [Accessed 27 Jan. 2021].
- World Bank. (2020). Impact of COVID-19 on Commodity Markets Heaviest on Energy Prices; Lower Oil Demand Likely to Persist Beyond 2021. [online] Available at: https://www.worldbank.org/en/news/press-release/2020/10/22/impact-of-covid-19-on-commodity-markets-heaviest-on-energy-prices-lower-oil-demand-likely-to-persist-beyond-2021.
- Bulletin of the Atomic Scientists. (2020). Between COVID-19 and a price war, Canada’s oil patch is on life support. [online] Available at: https://thebulletin.org/2020/03/between-covid-19-and-a-price-war-canadas-oil-patch-is-on-life-support/ [Accessed 27 Jan. 2021].
- www.alberta.ca. (n.d.). Oil production limit. [online] Available at: https://www.alberta.ca/oil-production-limit.aspx.
- www.alberta.ca. (n.d.). Oil production limit. [online] Available at: https://www.alberta.ca/oil-production-limit.aspx.
- www.alberta.ca. (n.d.). Oil production limit. [online] Available at: https://www.alberta.ca/oil-production-limit.aspx.
- www.ft.com. (n.d.). Subscribe to read | Financial Times. [online] Available at: https://www.ft.com/content/be262b55-4209-43c3-9df6-a73bb09ae029 [Accessed 27 Jan. 2021].
- www.ft.com. (n.d.). Subscribe to read | Financial Times. [online] Available at: https://www.ft.com/content/be262b55-4209-43c3-9df6-a73bb09ae029 [Accessed 27 Jan. 2021].
- Institute, P. (n.d.). The Real GHG trend: Oilsands among the most carbon intensive crudes in North America. [online] Pembina Institute. Available at: https://www.pembina.org/blog/real-ghg-trend-oilsands#:~:text=The%20Carnegie%20Endowment [Accessed 27 Jan. 2021].
- the Guardian. (2021). Alberta leader says Biden’s move to cancel Keystone pipeline a “gut punch.” [online] Available at: https://www.theguardian.com/environment/2021/jan/27/alberta-leader-says-bidens-move-to-cancel-keystone-pipeline-a-gut-punch [Accessed 27 Jan. 2021].
- Global News. (n.d.). Keystone XL cancelling will stifle Canada’s oil industry for years: experts. [online] Available at: https://globalnews.ca/news/7591631/keystone-xl-cancelling-effect-canada/.
- careersinoilandgas.com. (n.d.). Employment + Labour Data. [online] Available at: https://careersinoilandgas.com/what-is-lmi/employment-labour-data/ [Accessed 27 Jan. 2021].
- www.oiljobfinder.com. (n.d.). Find Oil and Gas Jobs | Oilfield Positions | OilJobFinder. [online] Available at: https://www.oiljobfinder.com/ [Accessed 27 Jan. 2021].
- alis.alberta.ca. (n.d.). Mining and Oil and Gas Extraction: Industries in Alberta – alis. [online] Available at: https://alis.alberta.ca/occinfo/industry-profiles/mining-and-oil-and-gas-extraction/.
- alis.alberta.ca. (n.d.). Mining and Oil and Gas Extraction: Industries in Alberta – alis. [online] Available at: https://alis.alberta.ca/occinfo/industry-profiles/mining-and-oil-and-gas-extraction/.
- www.oiljobfinder.com. (n.d.). Oil Sands Jobs in Canada | Alberta Oil and Gas Jobs. [online] Available at: https://www.oiljobfinder.com/albertaoilsands.php.
- Government of Canada, Statistics Canada (2016). Census Profile, 2016 Census – Fort McMurray [Population centre], Alberta and Saskatchewan [Province]. [online] Statcan.gc.ca. Available at: https://www12.statcan.gc.ca/census-recensement/2016/dp-pd/prof/details/page.cfm?Lang=E&Geo1=POPC&Code1=0292&Geo2=PR&Code2=47&Data=Count&SearchText=FortMcMurray&SearchType=Begins&SearchPR=01&B1=All&wbdisable=true.
- JobMonkey. (n.d.). Oil Sands Jobs. [online] Available at: https://www.jobmonkey.com/oilindustry/oil_sands_jobs/ [Accessed 27 Jan. 2021].