Even with the promising signs that the oil slump is subsiding, oil and gas workers in Oklahoma may suffer another wave of job cuts by the year’s end.
A News on 6 report on Wednesday stated that 11,000 Oklahomans working in the oil and gas industry could lose their jobs by the end of 2015. The economic research company Region Track stated that petroleum producers In Oklahoma will most likely experience a 38 percent cut in revenue this year compared to the record level profits of 2014.
Oklahoma has already seen 5,400 jobs slashed due to the crashed price of oil prior to the 11,000 expected. In addition, the state also suffered a rig reduction from the November high of 172 to 105 last week, according to data from Baker Hughes.
Large cuts in the energy industry have made news for the first two quarters of 2015. Halliburton cut 9,000 jobs in six months and reported a loss of $643 million in Q1 of 2015. Schlumberger reported even deeper cuts that tallied around 11,000 in efforts to reduce personnel employment 15 percent when compared to the third quarter of 2014.
Worldwide, job cuts from the oil bust reached a staggering 150,000 at the end of May, according to energy recruiting firm Swift Worldwide Resources. However, some analysts believe the worst is over, and by the end of the year, the US could see a stout recovery. Analysts tend to agree that a slowdown in non-OPEC production, led by U.S. shale producers, and unrest in the Middle East and North Africa, particularly Iraq, would support prices this year.