REPORT: Canada’s energy sector faces hiring crunch as 54,000 workers near retirement

CALGARY — Canada’s energy industry could face a significant labour shortage over the next decade as tens of thousands of workers approach retirement and demand for skilled employees continues to grow, according to a new workforce outlook released Thursday.A report from Careers in Energy forecasts that Canada’s energy sector will need to fill approximately 72,600 positions by 2035 as retirements accelerate and companies expand operations across both traditional oil and gas industries and emerging energy technologies.The study found that roughly 54,200 energy workers will become eligible for retirement over the forecast period, while the industry is expected to create another 18,400 new direct jobs by 2035. Together, those factors are expected to drive a major hiring requirement across the sector.Canada’s energy industry currently directly employs about 192,500 people, while an estimated 370,000 additional indirect jobs are supported through supply chains and related economic activity. The report also noted that every $1 billion spent on energy infrastructure development and construction generates approximately 5,400 additional jobs throughout the broader Canadian economy.The outlook comes as Canada seeks to strengthen its role as a global energy supplier amid growing geopolitical uncertainty and increasing demand for reliable energy sources.“As energy security becomes a defining global priority, Canada is uniquely positioned as a reliable global energy supplier,” said Energy Safety Canada President and CEO Vineeta Maguire..Energy group projects steady oil and gas activity, highlights importance of sector jobs .“Sustaining that position will depend on a skilled, adaptable workforce capable of supporting both established and emerging energy systems.”The report projects labour and skills shortages could begin emerging as early as 2027, particularly in drilling and servicing operations, engineering, facility operations, skilled trades, transportation and heavy equipment operation.While oil and natural gas production, oil sands operations, pipelines, refining and energy services remain the backbone of Canada’s energy sector, growing activity in liquefied natural gas (LNG), low-carbon hydrogen, biomass fuels and carbon capture and storage projects is creating demand for new skills and occupations.The report also found that advances in automation, technology and industry consolidation are changing workforce requirements. While companies are producing more energy with fewer workers overall, increasing technical complexity is driving demand for workers with specialized skills across 81 occupations.Kevin Krausert, CEO and co-founder of Avatar Innovations, said the findings highlight the challenge facing the sector as governments increasingly look to Canada to help meet global energy demand.“At a time when Canada is asked to step up as a global energy supplier, the workforce behind that ambition is stretched thin,” said Krausert.“This report makes clear that the skills shortages are real and coming fast. Canada’s energy sector is ready to hire, and any additional investment in our energy sector will directly result in safe jobs, innovation and productivity.”According to the report, energy jobs remain among the highest-paying in Canada, with average total compensation more than double the national average and strong benefits packages.Careers in Energy said coordinated workforce planning, training and skills development will be necessary if Canada hopes to meet future labour demands while maintaining its position as a major global energy producer and exporter.

REPORT: Canada’s energy sector faces hiring crunch as 54,000 workers near retirement

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