global mobilisation insights report

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globalenergy & naturalresources Mobilisation and its impact on the global Oil & Gas market

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Find out how mobilisation is impacting companies and employees across the world in this comprehensive market trends report for the global energy & natural resources industries.

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Page 1: Global mobilisation insights report

globalenergy & naturalresources

Mobilisation and its impact on the global Oil & Gas market

Page 2: Global mobilisation insights report

Progressive GE 3

“Skills shortages, ‘buying expertise’ and visa limitations impacting the sourcing of talent remain factors affecting the global Oil & Gas recruitment market.” Introduction

The Global Energy & Natural Resources market is experiencing considerable growth and investment.

Majors & operators are embarking on large international projects which will open up mobilisation opportunities for talent considering overseas assignments- but how will this impact on salaries and how does it affect perceptions in the Oil & Gas industry?

In this global mobilisation report we highlight candidate motivations across the globe in terms of the rise in

overseas opportunities, which regions are considered the most attractive and what support is the most important from an employer to our international talent base.

Finally we explore factors such as skills shortages, the focus on ‘buying expertise’ and the limitations that visa requirements present to our global candidate base. We also outline salary rates and provide regional insights around market trends across core disciplines and how these impact candidates across the globe.

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Introduction

Mobilisation Insightsn InsightsMobilisation & its effect on recruitment and retentionMotivation & mobilisationSupporting mobilitySupport structuresnsRegional & Salary trendsnEuropeAfricaSouth AmericaUS & North AmericaMiddle EastAsia Pacific

Methodology

Index

Page 3: Global mobilisation insights report

Progressive GE 5

Setting the sceneOver the space of 3 months Progressive GE has been speaking with employees from across the world to understand how attractive the prospect of working abroad is, where the most attractive places to work are, the drivers for international mobility and what provision employees would expect if they were to look at an international move.

We spoke to both contractors and permanent members of staff across the Americas, Africa, Asia Pacific, Europe and the Middle East, whose experience ranged

from operations, project management and logistics, to construction, drilling and Health & Safety.

Our respondent panel approximates a 50/50 split between contract and permanent employees. Before we explore employee perceptions of mobility though, we first wanted to understand where respondents were engaging from, to better understand their likelihood and receptiveness towards global mobility.

Mobilisation & its effect on recruitment and retention

UK 13% UK 10%

South America 6%

South America 21%

Africa 9% Africa 6%

Asia Pac 29%

Asia Pac 20%

Europe 17%

Europe 17%Middle East 11%

Middle East 11%

North America 13%

North America 15%

Contractors by region Permanent staff by region

The contractor/permanent splitOut of our contractor population we can see there is a pretty even balance between the people that currently work in their country of origin and those that don’t; with 47% currently working outside where they were born. That’s hardly surprising considering demand across the global energy market is showing greater impetus in countries such as China, India and Brazil. In countries such as these, demand is far outstripping the supply of local talent and companies are looking to build international project teams to meet their local skills gaps, while also bringing in international expertise to meet their local knowledge requirements.

The impact of shale on the US oil and gas industry, which has increased by over 25% in the last five years, is also having a significant impact on the levels of talent required in country. This means demand for people with highly specific skills has become a global one. Indeed when we look further into our contractor population we can see that 62% of people we spoke to have 10+ years experience, which goes some way towards explaining how this population has become increasingly migratory.

What could be regarded as surprising though is that over 1/3rd of our permanent panel (38%) work outside their country of origin. This suggests migration is not as transitional as many would believe.

Experience is also increasingly becoming a critical driver for companies looking to recruit permanent members of staff, although we do see a much broader spread of experience for recruits of this type. Only 40% of people we spoke to have more than 10 years experience, 12% have between 8-10 years and almost a quarter (22%) have between 5 and 7 years.

So it seems we have two streams of recruitment activity happening across the world; a permanent cycle where companies are looking for a broader skillset and a range of experience, typically in more support-driven roles, and a contract market where companies are looking to fill their immediate and, potentially, long-term skills gaps, which are more market and demand-focused.

Permanent

Contract

Contract

Permanent

Country of origin

Experience

No 47% Yes 53%

No 38% Yes 62%

62%

40%

22%

12%

of people we spoke to have 10+ years experience

of people we spoke to have 10+ years experience

of people we spoke to have between 8-10 years experience

of people we spoke to have between 5-7 years experience

Page 4: Global mobilisation insights report

6 Progressive GE

The professional contractorWhen we talk specifically to contractors there’s been a marked increase in full-time professional contractors. Indeed over recent years we’ve seen a permanent brain drain within the oil and gas industry as more employees look for the challenge, opportunity and financial benefits associated with being a full-time contractor, while leaving behind the comfort and stability associated with being a full-time employee.

Perhaps in synergy with this rise in the professional and full-time contractor we can also see employers becoming increasingly attracted to the prospect of recruiting international project teams and shipping them out to different projects and assignments across the world.

The breakdown of our contractor population reaffirms that new markets are the most attractive proposition, with Asia in particular having the largest contingent of contractors with 29% currently located there. This is 10% more than the second biggest population, Europe at 19%, Africa (9%) and South America which accounts for only 6%. However we do expect these numbers to increase significantly in the next few years, particularly in South America and Africa.

The first signs of that movement are already being seen in Brazil where demand has been growing over recent years as the country increases its oil reserves. In Brazil recent discoveries have resulted in the highest increase

in oil reserves anywhere in the world, jumping from 14th to 8th in the world rankings*. And with Petrobras alone planning to invest US$147 billion in the next five years demand is only going to increase.

What’s more, with Africa currently supplying roughly 12% of the world’s oil and having significant untapped reserves (which have been estimated at 8% of the world’s total) Africa is sure to continue to drive demand for oil and gas talent; particularly when we consider the potential opportunities emerging as a result of new exploration programmes, development of its ports, pipeline engineering and major infrastructure projects happening across the continent.

Movement of talentConsidering the major global opportunities for contractors and permanent hires it’s worthwhile understanding how likely we are to see movement in the talent pool and whether this is likely to impact on employers and their need to be more international in their outlook.

Although demand for contractors has eased slightly in the final quarter of 2013, confidence and demand will inevitably pick up as we move into 2014 and in particular the second half of the year. With that in mind, we are already seeing confidence from contractors grow. When we asked contractors how likely they are to look for a new assignment in the next 12 months it’s therefore little surprise that 29% said they’d be likely

* Reference: PWC 2013

Africa9%

Europe19%29%

Asia

Contingent of contractors per region

How likely are you to look for another job in the next 12 months?

How likely are you to look for another job in the next 12 months ?

61% Highly likely

50% Highly likely

29% Likely

29% Likely

2% Highly unlikely

2% Highly unlikely

1% Unlikely

6% Unlikely

7% Neutral

13% Neutral

and 61% said very likely to do so. However this does suggest that many assignments are coming to an end or that contracts are being managed on a relatively short-term basis, which could mean a project-focused talent drain that has the potential to put extra pressure on project delivery.

A lot of the global activities we’ve seen over recent months suggests that there is still a talent war happening across the industry and a noticeable amount of recruitment activity is focused on people moving across competing companies or across borders to get the salaries and opportunities available to them in the market.

Confidence is also permanentWhat is surprising though is that almost 4/5ths (79%) of permanent employees are either likely (29%) or very likely (50%) to look for a new job in the next 12 months. The difference though is that many of these potential permanent specialists are looking to move towards self-employed contracts as demand for contractors increases, skills gaps continue to grow and salaries are increasing exponentially as a result.

An additional concern though is that we expect to see a major global talent drain across all areas of the oil and gas supply chain, as experienced people recruited in the 70s and early 80s get closer to retirement and companies risk losing years of experience and expertise.

Permanent

Contract

South America

6%

Page 5: Global mobilisation insights report

Progressive GE 9

Contractor mobilityIf we look closer at the contractor market we can see the proportion of people that have worked internationally for at least 3 months is not as extensive as many would expect. Only 58% of people said this was the case. What is telling though is that we can see international contracts are becoming increasingly attractive, no doubt driven by better pay, opportunities and potential conditions outside of our respondents original countries of origin.

Looking at the table we can see that more than 10 years ago we saw 1 in 5 (20%) contractors had worked internationally but then saw a dip between 5 and 10 years, where numbers fell by almost a half (12%).Over the last 5 years though this trend has been changing incrementally year-on-year as international demand and competition for senior talent has increased. In fact the percentage of contractors that had worked internationally was back at the 10 years+ level in 2013 when 20% of people said they’d been employed internationally between 12 and 24 months ago. Although the last 12 months has seen that number drop slightly, we can see almost unanimous agreement that contractors are receptive to working internationally in the future, with 96% of people saying this is an attractive proposition.

What’s more, more than a half of the contractors we spoke to (56%) agreed they’d seen a rise in the number of international opportunities and this was key to their willingness to move across international borders. Whether this was a positive or negative factor provides some insight into the attractiveness of international mobility for contractors or whether the market demands have forced them to change their career ambitions. Our study confirms this as it shows a 50:50 split between contractors who feel they have to work abroad to achieve their ambitions and those that see it as a positive and personal change, although international mobility is not for everyone. In fact even though half of our study (49%) did not feel they needed to move abroad, over ¾ felt this was a positive change in the market and one they were comfortable with.

Have you ever worked internationally for at least 3 months?

Do you have to work abroad to achieve your ambitions?

No 49% Yes 51%

No 42% Yes 58%

How long ago did you work internationally?

18% Less than a year ago

20% Between 1 and 2 years

15% Between 2 and 3 years

14% Between 3 and 5 years

12% Between 5 and 10 years

20% More than 10 years ago

Contract

Would you consider working internationally in the future?

No 4%

Yes 96%

Do you see the rise in overseas opportunities as a positive change?

No 23% Yes 77%Progressive GE 9

Permanent mobilityConsidering permanent recruitment, where the major areas of growth have been within support or operations functions, we can see that this is still a highly mobile market with 45% of the people we spoke to saying they had worked for more than 3 months in an international location. Unlike contract though over the last 5 years mobility of permanent employees has grown exponentially to the extent that 27% of people had worked internationally less than 12 months ago – the highest level we’ve seen for some time. These trends are perhaps little surprise when we consider that the global oil and gas market has become a lot more disparate over recent years, and new emerging markets have been driving demand, and indeed the supply of people with international experience.

What is surprising however is that working internationally in the future is a slightly more attractive proposition for permanent members of staff than it is for contractors, with 97% of the people we spoke to saying they’d seriously consider this opportunity. So what’s driving this for permanent mobility?

There are still significant talent gaps across the whole of the oil and gas industry which began back in the 1980’s when around ¼ of geologists and engineers left the industry. Compounding this was the number of petroleum engineers and geology students dropped significantly in places like the US and Europe. Putting these two things together has meant that the legacy of the 1980s is still being felt today and is likely to increase even more given that a recent study found that an additional 22,000 engineers and geologists were likely to leave the industry over the next two years.

Have you ever worked internationally for at least 3 months?

No 55% Yes 45%

Permanent

How long ago did you work internationally?

27% Less than a year ago

20% Between 1 and 2 years

15% Between 2 and 3 years

12% Between 3 and 5 years

17% Between 5 and 10 years

9% More than 10 years ago

Would you consider working internationally in the future?

No 3%

Yes 97%

Page 6: Global mobilisation insights report

Progressive GE 1110 Progressive GE

Added to these issues the rise in national oil companies in areas such as the Middle East and Africa, and the growth of independent companies throughout the whole of the supply chain, (both of which have increased demand and competition for qualified energy professionals), we can see that those in the industry are a much more attractive proposition than even before. This means competition has become fiercer, pay rates and benefits have increased significantly in some areas and the opportunities for people with specific skills and experience are much more compelling and international opportunities are much more attractive.

Whether permanent employees feel the need to move abroad to achieve their ambitions shows that the permanent recruitment market is slightly different to the contract one in that the majority of people in this employment group (60%) feel international mobility to be a key part of their career development.

This corresponds very closely with the number of people who feel there has been a rise in permanent overseas opportunities in the last 12 months (62%) and suggests we are seeing fewer opportunities for growth within their existing place of employment and that other companies or countries offer greater chances for personal growth.

Looking closer we see that over 4/5ths of the permanent staff we spoke to saw the rise in international opportunities as a positive force for change and one they welcomed. This could again be driven by lack of opportunities in their current company or market, or could be driven by lifestyle or financial factors, which we’ll explore later.

Do you have to work abroad to achieve your ambitions?

Have you seen a rise in overseas opportunities within your area over the past 12 months?

Do you see the rise in overseas opportunities as a positive change?

No 40% Yes 60%

No 38% Yes 62%

No 17% Yes 83%

Permanent

International mobility

60%60% feel international mobility to be a key part of their career development.

Show me the moneyIt’s perhaps little surprise that salary is the biggest attraction for people considering a move outside their country of origin, with 91% of our panel saying that this is the most important factor in their decision-making. As competition drives up international mobility and demand, our research shows that cross-border competition is not just affecting people’s willingness to move, but increasing the level of competition for the people most in demand. This in turn means salary levels in some areas are artificially inflated and as a result mobility is an increasingly attractive proposition.

Over the next 2-3 years though, we anticipate salary levels to find their own equilibrium. Only the most in-demand disciplines, such as geology and engineering, will continue to evolve in this way and salaries in these areas will continue to remain buoyant and a key attraction for internationally motivated employees.

Although competition between emerging and more developed regions will continue to drive changes in mobility patterns, we also anticipate the expectations of other, non-critical functions should level out and as a result those motivated by money alone will reduce significantly.

Over the next 5 years we also anticipate that some functions will see salaries become harmonised across the world as mobility in oil and gas becomes increasingly the norm. As this happens employers will need to ensure their remuneration packages remain attractive and that employees can have a global perspective both within and outside their current organisation.

Job prospectsAlthough salary is seemingly inextricably linked to international mobility almost 2/3rds of the people we spoke to (61%) said one of their key motivators for moving would be better job prospects.

A recent study by PWC showed that Generation Y (or millennials) will “make up the significant majority of all international assignments by 2020”. As a result we anticipate we’ll see a significant change in focus with millennials focusing “on interest and opportunity,” rather than just financial rewards

Globally we can already see a major culture change being driven by Generation Y and this will inevitably decide who wins and loses the war for talent.

Training and development have often been cited by this highly aspirational population as a key draw for them looking to move jobs; it empowers them to be more in control of their careers, makes them a much more attractive proposition to current and future employers and improves their attractiveness in the market.

With competition driving demand and supply, for Gen-Y flexibility and mobility are key to their career aspirations, and if that means moving internationally to achieve them, then they are only too happy to do so. In fact, we’ve seen that Gen-Y are more open to international assignments than any other generation before and regard this as a key part of their own career and personal development.

With international migration high on the agenda for both contractor and permanent professionals and their motivation to move increasing year-on-year, we explored what makes employees consider moving internationally.

Motivation & mobilisation

61%Job prospects

said one of their key motivators for moving would be better job prospects.

Page 7: Global mobilisation insights report

Progressive GE 1312 Progressive GE

Of our panel felt they need to look internationally for work

30%

LifestyleWith mobility expected to grow by up to 50% by 2020, it’s hardly surprising that almost 2/3rds of our panel (60%) said international mobility was not just a way to make them more competitive in the recruitment market, but was also a great way to explore diverse lifestyles. Some even went as far as to say that a job would be a way to explore new countries and cultures and they intend to use this as a way to reduce risk when considering emigrating.

The PWC study showed that CEOs are increasingly looking to change their approach to global mobility and would now look to include international secondments as part of their offering. This provides not only millennials the chance to explore the world and gain a much more attractive world-view of the oil and gas industry, but also encourage senior people to stay in the industry longer.

At senior level we can already see people with significant experience and expertise (and who are particularly in demand) choosing to look outside their country of origin to provide them and their families with a different, and some might say, better lifestyle. With salaries increasing for key roles and competition driving demand, they are using this opportunity to give them a significant salary/rate bump and looking for jobs/assignments that give them the basis to explore countries or regions they are considering moving to later in life.

Ask any oil and gas company in the world about what they are doing to recruit and retain their people and they’ll talk about their market-leading salary packages, exceptional bonus schemes, health and welfare plans and their world-class training and development

programmes. None of which makes their recruitment offering stand out. Our survey shows that, in some regards there is already a major disconnect between what employees want and what employers are offering, and we anticipate this continuing unless non-financial compensation is also considered. As global mobility increasingly becomes the norm, we anticipate salary and benefit levels will become increasingly standardised and so global multinationals will need to be much more creative in their approach to recruiting and retaining key talent, including considering the importance of lifestyle for three very different generations of workers.

Considering the no-choice optionWith mobility becoming the norm across the industry it’s hardly surprising that less than a third of our panel (30%) felt they needed to look internationally for work. With international and intra-national mobility becoming a normal part of the industry as a whole, in the emerging and growth markets such as India, the US and the Middle East, the perception of mobility has changed. International mobility is now considered to be a standard part of a career in oil and gas. So the suggestion that people have to “go where the work is”, is misleading since the vast majority of employees do not feel they “have” to do it, it is that they naturally do it. This is confirmed by our panel as only 16% of people said the lack of local employment opportunities was a reason for them moving internationally.

50%Mobility

Mobility is expected to grow by up to 50% by 2020

Concerning SecurityConsidering mobility is seemingly seen as a fundamental part of a long and prosperous career in the oil and gas industry, it’s perhaps surprising that many of the concerns employees have when moving abroad are around security.

Almost 2/3rds of the people we spoke to (60%) said that security was becoming an increasingly important factor for them when considering international mobility. For many this is the key issue holding them back from taking on projects or jobs elsewhere in the world.

But security does not just relate to secure ground transportation. It also refers to having somewhere safe and secure for themselves and their families to live; having safe and secure schools for their children and knowing that their employer has their wellbeing at heart. These factors are critical to people working all over the world, not just in the countries regarded as unstable and the sooner employers recognise them and make them a key part of their employer offering the better they’ll be at increasing the size and scope of their international talent pool.

Concerning health and welfareThe second most important concern for employees is a much more fundamental aspect of their wellbeing. 44% of the people we spoke to said health and welfare was a real concern for them and their families when moving internationally. Some of the people currently on international assignment have even suggested their

families remain at home because this concern is not being fully addressed.

For some employers and employees this is a natural part of working on assignment abroad, but if the war for talent is going to be fought on all fronts then this perception has to change, particularly when such large numbers of permanent experts are considering an international role.

Although some major companies have a strong and welfare focused code of conduct for their employees and have set up wellness centres across the world, and others have afforded the same health and welfare benefits to active and retired employees, the focus across the industry seems to fall on employees only.

Although employees recognise this as a key feature of their employment, as the permanent market becomes increasingly mobile then this offering will need to evolve and be extended to cover the people that are important in the lives of the people companies employ.

Also project-based employees who are on assignment are concerned about the health and welfare benefits afforded to their families should the worst happen. Although some companies cover this eventuality and have programmes in place to help those left behind, this service needs to be extended so that families can feel safe in the knowledge their loved ones are protected and secure no matter where their job takes them.

With companies having to consider mobility as a key part of their recruitment, retention, and growth strategies, and having to adapt their employer offering to be able to compete in the global war for talent, the industry needs to ensure that their offering is not disconnected from the needs of the people they are looking to attract.

What’s more, with mobility becoming standard for people working within the oil and gas industry, its imperative employers understand how to facilitate the transition from country to country, and provide services that employees feel are critical to their international onboarding. This leaves them able to focus on what matters most – doing the job they’ve been employed to do.

With that in mind we explore what support employees want from their employers and what concerns them about moving internationally as part of their oil and gas career.

Supporting mobility

Page 8: Global mobilisation insights report

Progressive GE 15

Concerning instabilityWith emerging markets becoming an increasingly attractive proposition for international job mobility it’s hardly surprising that potential employees are concerned about stability in those countries.

According to our panel, political instability is a real concern for more than 1 in 3 employees (35%). We’ve already seen how political instability in Africa has the potential to take its toll on the energy sector and are already seeing countries like Libya (which has the largest proven oil reserves in Africa) being affected by armed militias and striking oil workers shutting down many of the largest export terminals and oil fields. Analysts are also warning that the standoff over Syria has the potential to affect oil and gas production in both North Africa and the Middle East and could spill over into surrounding major oil-producing countries such as Iraq.

The stories of oil and gas companies sending planes into troubled regions to evacuate workers and their families, and suspending operations as a result, has resonated with our employee population. Oil and gas companies have always taken worker safety very seriously and as production increases in regional hot-spots this is only going to impact further.

Although oil and gas companies are sensitive to the risks associated with doing business in new oil and gas economies and regard thorough threat evaluation and analysis as a key aspect of operating there, our employee panel tells us that intelligence before and during an assignment needs to be joined up and communicated.

Employees understand that working in emerging markets has the potential to be challenging but believe companies need to have the networks, infrastructure and people in place to help them feel more secure. What’s more, this needs to be a key part of the recruitment and onboarding process when working in these countries. If a third of potential employees would consider not mobilising because of a perceived threat rather than a real threat of instability, then employers are potentially closing off a third of their potential talent pool.

44% My health and welfare

60% Security

35% Political instability

27% Job stability

24% Standard of living

20% Family fitting in

19% Leaving friends and family

13% Not feeling welcomed

10% Fitting into new ways of working6% Fitting into a new culture5% Education levels4% Making new friends

What concerns you most about working internationally?

More than a quarter of the people we spoke to (27%) believe that job stability is a major concern for them and a potential reason they’d not consider an international opportunity.

This is in part linked to the view that security and instability are potential hazards in emerging oil and gas markets, but is also tied to fear of the unknown. As we go further down the list of concerns we can see that not feeling welcomed (13%), fitting into new ways of working (10%) and fitting into a new culture (6%) are very real concerns for some of the people we spoke to, and these are inextricably linked to feeling a person can do a job well.

Indeed a recent study by Ipsos and BDO* found that employees look to limit the risk associated with moving to a new country by overwhelmingly selecting English speaking countries as their desired destination. The US ranked first in their table of desirable countries (34%), followed by the United Kingdom (22%), Canada (20%) and Australia (20%).

The study also showed that for some companies offering a guarantee that employees could move back to their current role/country after two years with further relocation assistance, reduced the perceived risk and was a major incentive for employees. With the feeling that job security is inextricably tied to feelings of well-being, companies and HR departments in particular need to be much more flexible in how they encourage and onboard people that may be suitable for international mobilisation.

When Ipsos and BDO questioned what would make employees feel more receptive to global mobility, four of the top five incentives were linked to supporting their employees and reducing perceived risks, leaving them to focus on what they have most confidence in, namely doing their job in the best way possible.

Rank PercentageIncentive

1 45%

2 43%

3 42%

2t 43%

3t 42%

Repatriation assistance, including a guarantee that they could move back to their current role after two years with further relocation assistance

Round trip airfare to return home for family visits

A paid trip to visit the country before agreeing to move there

Paid language training, if necessary

Immigration assistance for your spouse in order that they could obtain employment

* http://www.bdointernational.com

Page 9: Global mobilisation insights report

Progressive GE 1716 Progressive GE

ImmigrationWith mobility no longer focused on the West, and the emerging markets seen as an increasingly attractive proposition for employees across the world, almost ¾ of the people we spoke to said their main issue/challenge was managing the visa and immigration process.

But this issue is not related to places such as India and China. Even in the United States oil and gas executives are at risk of losing a significant part of their talent pipeline because of things such as the annual cap on work visas and the strict restrictions about being able to stay in the country.

We’ve spoken to employers who have sponsored graduates throughout their Masters and Doctorate programmes, whose costs can amount to hundreds of thousands of dollars, who then find themselves losing those people due to strict immigration rules that aim to protect domestic workers and salaries.

While companies in other countries are actively recruiting non US-born graduates and taking all the experience, knowledge and expertise they’ve learned in the US, the strict limits imposed by the US government means the brain drain feared by many companies could be exacerbated.

As the US expels talent though, other, more immigrant-friendly countries are taking advantage of this overabundance of new potential. Places such as Canada, China, Azerbaijan (where for the last two years immigrants have outnumbered emigrants) Brazil, the Middle East and Africa are benefitting significantly from this fluid movement of talent and as a result their future competitiveness remains steadfastly in their own hands.

The visa and immigration services employees are concerned about relates to both of these factors. There are those that want support to be able to stay in the

country they are currently based in, with employers taking the pressure off and managing the process from start to finish, and those who are much more fluid in their movements, and who want employers to be able to help them transition from country to country, project to project, seamlessly and with little downtime.

Only when this happens will employees feel confident that the global oil and gas industry is truly ready to meet their short and long-term goals and that the market is a truly global one.

Medical and healthcareWith an employees’ health and welfare no 2 on their list of concerns when moving abroad, it follows that this should also be high on their list of what employers should be offering. In fact the percentage of people that believe medical and healthcare services should be provided by an employer (62%) is higher than the number of people concerned about them when moving abroad. A third of our survey (35%) reiterated the importance of health and welfare when they agreed that medical and travel insurances are also a fundamental part of the employer proposition when international mobility is considered.

This suggests that employees within the oil and gas industry consider medical and healthcare to be a fundamental provision, and should be something offered regardless of whether they consider this an issue or not. In fact medical and healthcare is becoming so important to employees in the oil and gas industry that healthcare and insurance providers are designing programmes specifically for the sector.Indeed health and welfare has become so essential to operating in the oil and gas industry that companies are increasingly designing their own systems and processes to complement the national and international standards, and regulatory requirements of operating in individual regions.

Moving internationally is a life-changing experience and one that is not taken easily. We’ve already seen that people within oil and gas are increasingly receptive to moving abroad and that the job market is becoming increasingly global. But we’ve also seen employees have a number of concerns that may make some of them reluctant to do so. Considering this we explore what employers need to provide to their existing and future employees if their mobilisation activity is going to be attractive and successful.

Support structuresWhat’s more health management systems are being so integral to the structure and delivery of healthcare that they are being used increasingly to control health risks and to raise the standards of healthcare across the world.

But providing good healthcare provision is not just about making employees feel valued and looked after. Good health and welfare provision ultimately increases productivity, is a great selling point in competitive recruitment markets and will significantly reduce churn and increase retention.

What’s more, the business benefits are acknowledged to improve corporate reputation, improve long-term commitment and increase the take-up of mobilisation programmes.

Onboarding and onsiteWe’ve already discussed employees concerns about embedding themselves into new cultures or practices when living abroad, and how this has the potential to threaten their feelings of job stability. With that in mind it’s hardly surprising that employees also feel their employers need to support them with non job related services when moving abroad.

Over a half of the people we spoke to (53%) agreed that an employer should help them find somewhere to live and over a third (36%) felt relocation services should also be a fundamental pre-requisite of living internationally.

If we look across all of the responses to this question we see that employees regard their employers as having an obligation to not just help them get where they need to be, but also support them and their families for the immediate and long term. Taking into account providing help with schooling (18%), cultural orientation (11%), in-country orientation (12%), travel services (28%) and ongoing contact and care (6%), it’s clear the non-financial elements of the employer offering are regarded as being critical to people when considering an international move.

The importance of the employer offering is therefore fundamental to global recruitment and project delivery. If organisations are going to be able to fight the war for talent in this highly competitive industry then the

differentiation is going to need to be around making employees feel comfortable, their families supported and their wellbeing a choice for the employer rather than a burden.

Considering that almost half of our panel (48%) felt that working abroad is a great way to enhance their employability, it’s crucial they are given the support and infrastructure to be able to do the job that they have been recruited for.

How do you view working abroad?

48% Enhancing your long term employability

33% Chance to make big money

28% An opportunity to travel

25% Fast tracked career opportunity

24% Opportunity to permanently relocate

19% A short-term adventure

4% Other

Page 10: Global mobilisation insights report

If you were to relocate internationally, what support would you want from your new employer?

6%

19%

24%

28%

36%

62%

Secure transfers

In-country orientation

Children’s schooling

Legal assistance

Finding somewhere to live

Visa and immigration services

10%

12%

18%

22%

In-country support 26%

Medical and travel insurances 35%

53%

74%

Ongoing contact and care services

11% Cultural orientation

13% Risk Assessment

Transport

Tax services

Travel services

Relocation services

Medical and healthcare services

Regional & Salary trends

Page 11: Global mobilisation insights report

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“Many major operators are offering up to 20% salary increases in order to attract the ‘best in class’ European experts.”

Across the European region the majority of roles in the Oil & Gas upstream sector can be seen in Drilling and Well services, as well as Geotechnical and Geosciences disciplines. For the downstream market, such as chemical and petro-chemical facilities, almost all engineering disciplines & project management specialist skills are in high demand. 90% of contract placements sit at the high end of the earnings bracket, particularly for senior executive positions, whereas permanent salaries continue to be competitive due to the availability of local talent.

Project management is increasing in focus as the major operators invest in large, more international projects which require a particular European skill set and level of expertise- this is most prevalent in the CIS and Benelux regions where inflated salary packages are being commanded. Many major operators are offering up to 20% salary increases in order to attract the ‘best in class’ European experts.

Diversified energy resources and more environmentally friendly projects are growing in popularity across Western Europe, creating a demand for professionals in the Quality, Health, Safety & Environment disciplines. Overall, advanced technical experience and long lengths of service have resulted in an ageing talent market across Europe which needs to be addressed by clients in terms of training, educating and up skilling of the younger Oil & Gas generation.

Regional highlights:• Huge potential is presenting itself in Kazakhstan as

activity advances in this area, presenting an increased requirement for technical sales specialists and senior drilling experts.

• Further opportunities and optimism will prevail in Ukraine which is expected to receive a large investment boost, offering more potential for professionals seeking international project experience.

EuropeEurope

• The Netherlands is considered a centre of excellence for engineering experts as local operators have already been conducting turnaround projects over the last 30 years. This is now resulting in a rise in Dutch maintenance and project management roles for international assignments managed from the Netherlands.

• Rotterdam has the leading world position in the Marine sector where we are seeing a lot of mergers & acquisitions taking place in areas such as the Gulf of Mexico, West Africa and the Middle East. As new client projects and developments emerge in this area, specialists with North Sea experience are increasing in demand.

• Germany is the 3rd largest exporter of energy which results in a high number of EC&I commissioning engineers/technicians and an approximate 20% increase in electrical engineering salaries across the DACH region.

• In the offshore sector for European HSE professionals there is a skills shortage of approximately 30% with clients struggling to fulfil project recruitment requirements. The average salary for a HSE manager is around €120k but larger clients can offer salaries of up to €140k+.

• The competition for talent in both Norway and the North Sea is fierce as the general skills shortage across subsea / engineering & subsurface disciplines is driving up salaries and creating highly attractive packages, particularly for contractors.

• For offshore workers there is a marked distinction between contract terms & conditions offered to UK & Norwegian specialists, where salaries and offshore rotas are considerably in the favour of people on Norwegian contracts.

• In the UK, the salaries in Aberdeen are approximately 20% higher than the rest of the Oil & Gas market and other similar industries.

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Salary DataDrilling/Rigs Perm annual salary € Contract daily rate €Cementing Engineer 48-53,000 650+Cementing Supervisor less than 36,000 650+Coil Tubing Engineer 65-71,000 650+Company Man 107-113,000 650+Driller 59-65,000 320-360Drilling Consultant 119-143,000 650+Drilling Fluid Engineer 119-143,000 650+Drilling Manager 190-214,000 650+Drilling Superintendant 143-167,000 360-390Drilling Supervisor 83-89,000 320-360Mud Logger 54-59,000 300-320MWD/LWD Specialist 95-101,000 520-560Rig Electrician 60-65,000 320-360Rig Manager 143-167,000 650+Rig Mechanic 54-59,000 300-320Rig Mover 143-167,000 650+Rig Welder 42-48,000 230-260Senior Toolpusher 101-107,000 560-590Slickline Operator less than 36,000 190-230Subsea Engineer 95-101,000 520-560Well Services Supervisor 48-54,000 260-300

Executive Perm annual salary € Contract daily rate €Accountant 54-59,000 300-320

Business Development Manager 119-143,000 650+

CEO 167-190,000 650+

CIO 119-143,000 430-450

Commercial & Technical Consultant

65-71,000 430-450

Company Secretary 60-65,000 320-360

Compliance Manager 71-77,000 600-620

Consultant SAP 71-77,000 650+

COO 238,000+ 650+

Director 143-167,000 650+

General Manager 167-190,000 650+

Human Resources 71-77,000 390-420

Service Point Manager 65-71,000 360-390

VP 119-143,000 650+

Logistics & Supply Chain Perm annual salary € Contract daily rate €Application Specialist 54-59,000 300-320

Automation consultant 60-65,000 650+

Equipment Fleet Sales, Operations 95-101,000 520-560

Improvement Manager 71-77,000 390-430

Procurement Manager 65-71,000 450-490

Procurement Officer 48-54,000 650+

Project Procurement Manager 71-77,000 650+

Strategy Manager 89-95,000 490-520

Geoscience/Reservoir Engineering Perm annual salary € Contract daily rate €Engineering & Installation Manager 107-113,000 600-620Exploration Geologist 101-107,000 560-590Geocomputing 83-89,000 450-490Geologist 143-167,000 650+Geophysicist 89-95,000 430-450

of contract placements sit at the high end of the earnings bracket.

“Germany is the 3rd largest exporter of energy which results in an approximate 20% increase in electrical engineering salaries across the DACH region.”

90%

3rd

“Salaries in Aberdeen are approximately 20% higher than the rest of the oil & gas market and other similar industries in the UK.”

+20%

Salary DataGeoscience/Reservoir Engineering Perm annual salary € Contract daily rate €Petroleum Engineer 71-77,000 390-430Petrophysicist 83-89,000 450-490Reservoir Engineer 95-101,000 520-560Reservoir Engineer Manager 143-167,000 650+Seismic Interpreter 60-65,000 320-360Health, Safety & Environment Perm annual salary € Contract daily rate €Environmental Engineer 48-54,000 600-620Environmental Scientist 54-59,000 260-300ETL Developer 60-65,000 320-360HSE Advisor 54-59,000 650+HSE Manager 119-143,000 390-430HSSE Consultant 65-71,000 520-560HSSE Inspector 36-42,000 190-230HSSE Manager 101-107,000 560-590QHSE Advisor 65-71,000 560-590Safety Advisor 54-59,000 560-590Safety Consultant 83-89,000 650+Safety Engineer 71-77,000 390-430Marine & Maritime Perm annual salary € Contract daily rate €Barge Master 60-65,000 650+

Marine Engineer 48-54,000 490-520

Marine Superintendant 54-59,000 600-620

ROV Superintendant 101-107,000 560-590

Project Management Perm annual salary € Contract daily rate €Financial Director - Projects 54-59,000 650+

IT Project Management Consultant 71-77,000 650+

Project Controller 71-77,000 650+

Project Coordinator 77-83,000 650+

Project Cost Engineer 54-59,000 650+

Project Director 101-107,000 650+

Project Engineer 71-77,000 650+

Project Manager 65-71,000 650+

Project Scheduler 35-42,000 190-230

Projects Administrator 107-113,000 450-490

Technical Perm annual salary € Contract daily rate €Certification Technician 54-59,000 430-450

Commissioning Manager 54-59,000 320-360

Design Engineer 60-65,000 320-360

EC&I Commissioning Engineer 113-119,000 620-650

Field Service Technician 77-83,000 520-560

IT Manager 60-65,000 650+

Network Design Engineer 65-71,000 360-390

Plant Software 36-42,000 190-230

Process and Control Engineer 54-59,000 360-390

Sales Engineer 36-42,000 190-230

Shutdown Technician 42-48,000 430-450

Tech Support 54-60,000 300-320

Technical Coordinator 83-89,000 620-650

Technical Manager 77-83,000 560-590

Technical Writer 65-71,000 360-390

EuropeTerritory covers UK, France, DACH, Benelux, Norway, Russia

Areas of specialisation include: • Drilling • Geosciences • QHSE • Project Management• Technical/ Mechanical

Engineering • Marine & Maritime• Senior Appointments

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In the developing market of West Africa (Nigeria) we see production has risen to 2.4 million barrels a day and there are signs that production is returning to normal. With this in mind we are still seeing high demand for roles in the drilling & well services disciplines.

Nigeria held its first oil exploration bidding round for five years at the end of last year which will also drive demand in 2014-16.

Demand for expats in the West Africa region is also high due to the need for international skills & experience and a lack of local qualified talent to fulfil project requirements. Salaries in this market are predominantly skills driven; therefore specialists are able to command very competitive packages, particularly for executive roles. Due to the exposure of these roles candidates can expect to receive higher day rates than would be expected in developed regions such as the US.

The emerging markets of East Africa (Tanzania/ Mozambique) are a new territory which is now experiencing a surge in the Drilling, well services & Geosciences disciplines. The region is still premature but we can see a rise in the demand for drilling contractors as production and business levels increase in this area.

Availability of positions in these high-risk locations is on the increase due to the improved levels of activity which prevail. Salary packages being offered are very attractive to encourage candidates who have the suitable skill set and willingness to relocate, to fill these roles.

Visa challenges also present an obstacle for the recruitment market in West Africa. Many of the technically skilled specialists are taking relocation assignments in the European region due to the flexibility & ease of placements, creating a talent deficit.

The profile of professionals across the region is changing as the younger generation begins to grow, however most of the talent pool are mature, skilled & technically experienced. Specialists at the 50+yrs age bracket currently account for approximately 25% of placements. A lot of up skilling takes place on the job so that professionals can gain deeper country knowledge from their peers, which is imperative for the roles & demands of the client.

Local government initiatives are focusing on educating/training locals to address the skills gap in Africa. Local project quotas and content laws of local operators/companies are the main drivers for this. However, the reality is that expat specialists remain the preferred option for roles in the region due to the length and breadth of their technical experience.

“There is a changing specialist profile across the region but most of the talent pool is mature, skilled & technically experienced.”

Africa Salary DataDrilling/ Rigs Perm annual salary US$ Contract daily rate US$ Cementing Supervisor 107-115,000 1,100Company Man 164-197,000 1,200Completion Engineer 139-148,000 1,500Drilling Consultant 230-262,000 1,400Drilling Engineer 164-197,000 1,700Drilling Supervisor 131-139,000 1,700MWD/LWD Specialist 66-74,000 700Rig mover 66-74,000 1,200Solid Control/ Drilling waste Management Coordinator

123-131,000 900

Solids control/ Drilling waste management

66-74,000 600

Solids Control Engineer 98-107,000 600Well Services Supervisor 98-107,000 800Wireline Operator 66-74,000 550Executive Perm annual salary US$ Contract daily rate US$CEO 328,000+ 2,500CFO 295-328,000 2,500Contracts manager 107-115,000 1,000Director 164-197,000 2,000Vice President: Organisational Effectiveness

197-230,000 1,800

Geoscience/Reservoir Engineering Perm annual salary US$ Contract daily rate US$Development Geologist 123-131,000 1,300Exploration Manager 262-295,000 2,000Geologist 123-131,000 1,300Geophysicist 90-98,000 1,300Reservoir Engineer 98-107,000 1,300Wireline Field engineer 82-90,000 900Project Management Perm annual salary US$ Contract daily rate US$Business Manager 164-197,000 1,250Project Controller less than 49,000 900Project Coordinator less than 49,000 900Project Manager 66-74,000 1,200Project Scheduler less than 49,000 700Technical Perm annual salary US$ Contract daily rate US$Field Service Technician 57-66,000 700Information Technology Manager 49-57,000 850Technical Coordinator 148-156,000 700Technical Manager 197-230,000 1,000Well Integrity Engineer 107-115,000 900

Africa

Territory covers West & East AfricaAreas of specialisation include: • Petroleum Engineering

• Geosciences• Drilling• Topside Engineering • Senior Appointments

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Despite the recent tough economic conditions in the region, Brazil still sits at 15th place globally in terms of oil production. New dynamism is being injected into the market due to the 3 project bidding rounds which took place in 2013, providing a lot of optimism for the South American market and positivity for local recruitment.

We expect to see high demand in the Geosciences discipline, as the bidding rounds in 2013 will need data acquisition and interpretation in 2014, resulting in an increase in demand for drilling/production experts as we move towards 2015. Marine specialists and Subsea Engineers will continue to be highly sought after due to the ongoing skills shortage in the region.

Brazil has a long term commercial view and a strong relationship strategy which dictates how business is conducted and investments made. Many Chinese and Indian companies are investing heavily in the region particularly in the areas of FPSO’s and drilling rigs offshore- 70% of upcoming global investment in Brazil is in FPSO’s (Floating Production Storage and Offloading installation).

Brazilian labour legislations dictate that a maximum of 1/3rd of headcount is filled by international candidates, limiting companies in recruiting the best talent. Due to the complexities in applying for visas and strict labour laws (mostly related to local requirements) Brazil currently has limited international candidates working in Oil &Gas compared to other regions. Due to this balance in the region of more roles being filled locally there is reduced opportunity for attracting experienced specialists to the region and salaries are benchmarked according to the local market rate.

Salaries in South America increased by around 50% between 2006 and 2011 but over the last year and a half have stabilised. As Brazil is experiencing a high skills shortage it is creating this stabilisation of salaries. Major operators at present prefer internal transfers of candidates to ensure that positions are filled by local people with local market knowledge.

Language can often prove a restriction for international candidates as Spanish/Portuguese speakers are required as a priority, particularly in the LATAM region. In this region they are also able to maximise on the bargaining power of global client profiles which benefit their focus towards Renewable Energy, which is a growing area where we should see increased opportunity for specialists.

Visa regulations provide added complexity when attracting international talent to South America as the processing times can take on average 3-5months, but the local government are working to eradicate some of these barriers in order to address the skills shortage gap. Due to the complexities in the Oil & Gas business in Brazil (deep water) labour laws are being examined to enable more freelancing/ contractor roles for international specialists in preparation for the uptake of new projects that lie ahead.

At present the region is very client driven as operators can dictate their talent requirements, with some companies working on exclusivity of specialists particularly in Technical and Corporate positions. There appears to be more flexibility when it comes to senior management positions as clients seek global experience and expertise and candidates in these positions can therefore take advantage of premium packages.

As the market moves towards a more specialist driven model in the coming years (due to increased investment, projects and opportunities) companies need to prepare themselves for this big step change and ensure their focus is around hiring the right people with the correct expertise. For example, Marine & subsea are becoming a bigger focus in the region as there are a lot of interesting, high tech and environmental changes taking place so we expect to see a rise in candidate opportunities within this discipline.

“70% of upcoming global investment in Brazil is in FPSO’s.”

South America

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Salary Data (permanent only)Drilling/Rigs Permanent (annual salary) in BRLCementing Supervisor 114-133,000Company Man 133-152,000Directional Driller 190-209,000Drilling Engineer 171-190,000Drilling Fluid Engineer 114-133,000Drilling Supervisor 209-228,000Mud Logger less than 114,000MWD/LWD Specialist 323-342,000Offshore Installations Manager 285-304,000Radio Operator less than 114,000Rig Electrician less than 114,000Rig Mechanic 114-133,000Senior Toolpusher 380-456,000Well Control Specialist 152-171,000Executive Permanent (annual salary) in BRL Director 285-304,000Executive General Manager 684-760,000General Manager 247-266,000Geoscience/Reservoir Engineering Permanent (annual salary) in BRL Data Manager 114-133,000Development Geologist 342-361,000Exploration Geologist 133-152,000Geocomputing 228-247,000Geologist 133-152,000Geophysicist 171-190,000Geoscientist 114-133,000Geostatistician 133-152,000LMWD 190-209,000Petroleum Engineer 152-171,000Petrophysicist 152-171,000Reservoir Engineer 152-171,000Seismic Interpreter 228-247,000Supervisor less than 114,000Marine & maritime Permanent (annual salary) in BRL Chief Engineer 209-228,000Fleet Manager 342-361,000Machine Head of Ship/ Offshorer 209-228,000ROV Pilot 171-190,000Vessel Manager 152-171,000Technical Permanent (annual salary) in BRLDesigner less than 114,000Electrical Technician 114-133,000Field Service Technician 133-152,000LWD Engineer 152-171,000Oil & Gas Technician less than 114,000Product Development Engineer 114-133,000Technical Automation less than 114,000Technical Coordinator 114-133,000Technical Manager 323-342,000

South America

Territory covers Brazil & Latin AmericaAreas of specialisation include: • Drilling • Geosciences • Reservoir Engineering • Marine & Maritime

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In the US market there remains a healthy requirement for skilled and trained specialists, particularly in the areas of Drilling, Geosciences and Reservoir Engineering. 99% of business conducted is local placements with talent seeking overseas opportunities as a way to further their career experience & skills

Salaries in the region are driven mostly by permanent consultants at the higher end of the earnings bracket- for example reservoir engineers can demand salaries between $150-180k per year (£100-120k) and can expect to receive around 10 job offers at any one time due to the extent of their expertise.

There is a fluid market for candidates relocating out of the US region, which is mostly prevalent amongst engineers seeking projects in West Africa/ Middle East & Asia. Flexibility in these roles which offer 28/28 project rotation means that candidates are able to benefit from increased day rates or project premiums.

However, due to the visa regulations imposed in the region the candidate pool is very localised which results in low demand for international talent, allowing locals to take advantage of their bargaining power. Most of the roles across the areas of specialisation are seen

at the mid-career level where premium salaries can be expected, however due to the lack of availability of candidates the US are experiencing a talent war.

The oil bust of the late 80’s/ early 90’s has created a huge demand for candidates in the 35-45yrs age bracket, presenting a skills gap in the US market. Due to the political connotations attached to visa costs & challenges, the region are restricted on attracting talent in this age category.

We are seeing a large pool of talent amongst those with 10+ years experience and the younger generation of technical specialists, which is presenting a brain drain in the region due to the lack of education made available during the oil bust.

Therefore, the larger oil companies in North America have a mature pool of specialist engineers at their disposal which means they are able to cherry pick the best talent for their senior roles. This results in strong competition across both permanent and contract roles as the smaller companies also seek the more experienced candidates and are having to match the inflated salaries on offer.

Salary DataHealth, Safety & Environment Perm annual salary US$ Contract daily rate US$Environmental Advisor 66-74,000 900+Environmental Engineer 131-139,000 490-540Environmental Scientist 107-115,000 900+HSE Advisor 156-164,000 900+HSE Auditor 156-164,000 900+HSE Consultant 164-197,000 900+HSE Manager 131-139,000 900+HSE Officer 107-115,000 900+HSSE Advisor 115-123,000 900+HSSE Consultant 139-148,000 900+Safety Officer 90-98,000 900+Senior hsse advisor 164-197,000 900+

US & North America“99% of business conducted within the region is local placements with talent seeking overseas opportunities as a way to further their career experience & skills.”

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Salary DataDrilling/Rigs Perm annual salary US$ Contract daily rate US$Company Man 98-107,000 900+Completion Engineer 164-197,000 900+Drilling Consultant 295-328,000 900+Drilling Engineer 123-131,000 900+Drilling Fluid Engineer 90-98,000 770-820Drilling Manager 230-262,000 900+Field Service Specialist II - Well-bore Construction (Liner Hanger)

49-57,000 310-360

MWD/LWD Specialist 197-230,000 900+Rig Manager 197-230,000 900+Well Control Specialist 230-262,000 900+Wireline Operator 74-82,000 440-490Geoscience/Reservoir Engineering Perm annual salary US$ Contract daily rate US$Asset Manager 115-123,000 900+Development Geologist 328,000+ 900+Exploration Geologist 328,000+ 900+Exploration Manager 164-197,000 900+Geochemist 230-262,000 900+Geologist 139-148,000 900+Geophysicist 148-156,000 900+Geoscientist 107-115,000 900+Geotechnical Engineer 115-123,000 900+Operations Geologist 115-123,000 900+Petroleum Engineer 107-115,000 900+Petrophysicist 156-164,000 490-540Reservoir Engineer 164-197,000 260-310Project Management Perm annual salary US$ Contract daily rate US$Document Controller 66-82,000 310-360Planning / Risk Manager 82-90,000 900+Project Controller 66-82,000 360-410Project Coordinator less than 49,000 360-410Project Director 197-230,000 900+Project Engineer 82-90,000 900+Project Manager 164-197,000 900+QA Manager 82-90,000 900+Vice President, Project Services 328,000+ 900+Technical Perm annual salary US$ Contract daily rate US$Certification Technician less than 49,000 900+Controls Engineer 115-123,000 410-440Field Service Technician 66-98,000 360-410

GIS consultant 107-115,000 360-410Instrumentation, Electrical and Pneumatic Controls

115-123,000 440-490

Principal Control System Engineer 197-230,000 670-720Technical Coordinator less than 49,000 360-410Technical Manager 197-230,000 900+Technical Specialist Intervention Services

82-90,000 360-410

Technical writer 262-295,000 440-490Technical Writer - MWD/LWD 74-82,000 440-490

US & North America

Territory covers US & CanadaAreas of specialisation include: • Drilling & Completions • Geosciences • Reservoir Engineering• General Technical

Engineering • Project Services • HSEQ

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Middle East

In the Middle East region nationalities often dictate the levels of salary that can be sought by candidates, for example in the drilling sector candidates are able to demand a premium salary for relocation packages. There is huge demand for drilling roles amongst Western expats as most candidates are able to demand day rates at the high end of the earnings scale and there is no discrepancy between contract & permanent roles.

All roles within the Middle East focus on the upstream area of the Oil & Gas business with the biggest demand coming from the Exploration and Production disciplines. This is mostly prevalent in Kurdistan where there are approximately 55 international operators focusing on exploration/drilling/upstream and mechanical positions as this market continues to grow.

There is huge diversity in the market maturity across the Middle East which dictates the type of projects, candidates and salaries that can be demanded; for example the Middle East is an immature market compared to Saudi Arabia which is considered mature within the Oil & Gas industry.

The main driver for candidates in the Middle East is focused on hardship locations with most placements

offered to those who are completely mobile and have a preference for rotational/contract roles. Candidate profiles are often dictated by the client as they are able to stipulate the exact skills/ experience according to the project requirements; for example projects in Egypt would seek candidates with specific North Sea/ Gulf of Mexico experience.

Clients are primarily searching for talent to fill project roles in the hardship locations across the Middle East with a specific demand for candidates with previous international experience; however visa requirements can often prove a challenge in this process. In Iraq the focus is for candidates with onshore experience whereas in Qatar the focus is for candidates with offshore experience. High risk areas such as Iraq, Angola, and Nigeria are locations with high demand for skilled candidates, who as a result, are able to benefit from premium salary packages.

Local companies within the UAE have a preference for local talent, which accounts for approximately 10% of current placements. These companies operate local quotas for sourcing local talent. The standard offer packages can often be more attractive than those for international candidates due to the limited availability of candidates.

“There is huge diversity in the market maturity across the Middle East which dictates the type of projects, candidates and salaries that can be demanded.”

Salary DataConstruction Perm annual salary US$ Contract daily rate US$Construction General Manager 150-180,000 1,000Construction Manager/ Supervisor/ Superintendant

100 -120,000 1,000

Construction Project Developer 100,000 700Construction Project Manager 100 -120,000 700Earth Moving Superindenant/ Supervisor

80 -100,000 500

QA Engineer 80 - 100,000 500Site supervisor 70- 100,000 500Drilling/Rigs Perm annual salary US$ Contract daily rate US$Driller 60-80,000 800 - 1,000Drilling Engineer 150-180,000 1,600 - 2,000Drilling Foreman 200,000 + 1,500 - 2,000Drilling Supervisor 200,000 + 1,500 - 2,000MWD/LWD Specialist 80-100,000 1,000 -1,500Rig Mechanic 120,000 700Geoscience/Reservoir Engineering Perm annual salary US$ Contract daily rate US$ Geocomputing 120-150,000 1,500 - 2,000Geologist 200,000 + 1,500 - 2,000Geoscientist 150-180,000 1,500 - 2,000Reservoir Engineer 200,000 + 1,500 - 2,000Health, Safety & Environment Perm annual salary US$ Contract daily rate US$ Environmental Engineer 170,000 750 - 1500HSE Advisor 150-180,000 1,200-1,500HSE Auditor 150,000 750 - 1,500HSE Inspector 150,000 750 - 1,500HSE Manager 200,000 + 1,200 - 1,500HSE Officer 150,000 750 - 1,500HSSE Advisor 200,000 + 1,200 - 1,500HSSE Manager 200,000 + 1,200 - 1,500Occupational Health & Safety Manager

200,000 + 1,200 - 1,500

Production Perm annual salary US$ Contract daily rate US$ Production Supervisor 100-130,000 700-1,200Production Technologist 150-200,000 1,200-1,500Refinery Operations Supervisor 120-150,000 800-1,400Project Management Perm annual salary US$ Contract daily rate US$ Proposal Eng II 70- 100,000 500Document Controller 50-100,000 400 -600Procurement/ Projects Management

80- 100,000 500 - 800

Project Coordinator 70-100,000 700Project Manager 100-130,000 1,000

Project Scheduler 60-80,000 500

Middle East

Territory covers UAE & QatarAreas of specialisation include: • Drilling • Well Operations • HSE • Geosciences • EPC • Project Delivery

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In the Asia Pacific region there remains a strong demand for specialists in the drilling and key subsurface disciplines, where we can see inflated salaries for high level positions. For the mid level roles salaries are normalising between the expat communities and local talent, particularly in Malaysia.

In South East Asia there have been limitations placed on hiring expats which means that demand for professionals is now exceeding supply. The global driver for this is that regional and global expats are putting a lot of pressure on visa services which is proving a challenge. Asian governments are nationalising their efforts to focus on local talent for local roles, proving beneficial to them as salary packages are on the increase.

A large number of high profile projects are currently taking place, along with a rise in investments in Australia which is increasing demand for experts, in particular for roles in Queensland.

In Singapore there have been a record number of investments in FPSO/FSO’s which is escalating demand for roles in construction, commissioning and installation. This is making it easier for both local & expat specialists to move into niche markets and gain better experience in these disciplines.

There continues to be heavy investment from key operators in Thailand which is presenting a rise in opportunities for professionals in this territory. Projects are on the increase to offset against the energy deficit which is prevalent in the country; as a result we expect to see enhanced levels of demand for specialist positions in project & construction management.

Myanmar is now opening up its economy for international offshore & onshore projects which is increasing demand for both locals and expats across all disciplines. This will result in pressure on salaries as the requirement for skilled talent will begin to pick up momentum.

The market has been slow in Indonesia as they have experienced low levels of production in 2013. Many high profile projects are due to take off in 2014 with major operators, particularly in deep water development, which will mean a rise in the requirement for subsea and installation engineers.

Job opportunities in the Asia Pacific region in 2014 will be lucrative. We will see an increase in demand for roles specifically in subsea, process safety, drilling & subsurface engineering, where expats are still able to demand a premium for their skills & expertise in these disciplines.

Salary DataEngineering – Expat / Senior Local Perm annual salary US$ Contract daily rate US$Commissioning Engineer 100– 175,000 600 – 1,200Corrosion Engineer 200 – 250,000 600 – 1,200EC&I Engineer 100 – 175,000 600 – 1,200Engineering Manager 200 – 250,000 1,000 – 2,000Mechanical Engineer 200 – 250,000 600 – 1,200Process Engineer 170 – 190,000 600 – 1,200 Project Engineer 150– 250,000 600 – 1,200 Subsea Engineer 250– 300,000 1,000 – 1,800Technical Safety Engineer 200– 250,000 900- 1,500

Asia PacificSalary DataDrilling/Rigs – Total Package / Expat Perm annual salary US$ Contract daily rate US$Completions Engineer 120 – 150,000 1,250 – 1,500Completions Supervisor 150 – 180,000 1,500 – 1,800Day Drilling Supervisor 180 – 200,000 1,800 – 2,000Drilling Engineer 120 – 150,000 1,250 – 2,000Drilling Manager 350 – 450,000 2,500 – 3,000Drilling Superintendent 250 – 350,000 2,000 – 2,400Night Drilling Supervisor 150 – 180,000 1,500 – 1,800Offshore Installation Manager 180 – 220,000 1,800 – 2,000Production Engineer 100 – 125,000 900 – 1,200Well Services Engineer 120 – 150,000 1,250 – 1,500Well Services Manager 250 – 350,000 2,000 – 2,400Well Services Supervisor 150 – 180,000 1,500 – 1,800HSE – Expat / Senior Local Perm annual salary US$ Contract daily rate US$HSE Advisor 100 – 150,000 800 – 1,200HSE Coordinator 120 – 160,000 1,000 – 1,300 HSE Supervisor 140 – 190,000 1,200 – 1,700QA/QC Engineer 70 – 100,000 800 – 1,200 QA/QC Manager 110 – 160,000 1,200 – 1,700Marine – Expat / Senior Local Perm annual salary US$ Contract daily rate US$Hull Outfitting Engineer 100 – 150,000 1,000 – 1,200 Installation Engineer 130 – 180,000 1,300 – 1,800 Marine Engineer 100 – 150,000 1,000 – 1,200 Naval Architect 150 – 200,000 1,300 – 1,800 Structural Engineer 100 – 150,000 1,000 – 1,200 Project Management – Expat / Senior Local

Perm annual salary US$ Contract daily rate US$

Project Controller 75 – 90,000 600 – 900Project Director 150 – 200,000 1,500 – 2,500 Project Manager 100 – 150,000 1,000 – 2,000 Projects Administrator 60 – 80,000 400 – 700Subsurface / Expat / Senior Local Perm annual salary US$ Contract daily rate US$ Development Geologist 150 – 200,000 1,250 – 1,750Development Geophysicist 150 – 200,000 1,250 – 1,750Exploration Geologist 120 – 150,000 800 – 1,500Exploration Geophysicist 120 – 150,000 800 – 1,500Geomodeller 150 – 200,000 1,250 – 1,750Operations Geologist / Well Site Geologist

80 – 120,000 600 – 1,000

Petroleum Engineer 60 – 120,000 600 – 800Petrophysicist 120 – 150,000 800 – 1,200Production Technologist 60 – 120,000 600 – 800Reservoir Engineer 120 – 150,000 1,250 – 1,750

Asia Pacific

Territory covers Singapore, Malaysia, Thailand, Indonesia, Myanmar, Australia & New Zealand

Areas of specialisation include: • Subsurface • Subsea • Project Controls • Supply Chain• QHSE

“For mid level roles salaries are normalising between the expat communities and local talent.”

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This report is part of Progressive GE’s commitment to supporting specialists and delivering market-leading recruitment solutions. As one of the world’s leading recruitment consultancies we pride ourselves on being a key recruitment partner for professionals and organisations across the global energy & natural resources sectors.

Our series of reports offer best practice advice and insight to help you secure your next job or make business critical decisions that will enable your company to grow and assist you in managing your recruitment challenges when and where you need us most.

© Progressive GE 2014. All rights reserved. Progressive GE accepts no liability for the accuracy of the contents or the opinions expressed herein.

MethodologyThis comprehensive report takes into account the results from our global online survey which was sent to thousands of specialists and experts across the Oil & Gas, Maritime & Offshore and Mining industries. The survey focused on market trends and candidate perceptions around the topic of global mobilisation & salary levels.

Further insight has been provided following in-depth interviews with our leading recruitment professionals across each region.

Permanent salaries are gross average annual salaries, excluding bonuses & benefits and contractor rates are average daily rates. Salary rates quoted are indicative of the market only and will vary depending on company size, location, sector and a candidate’s qualifications, experience and responsibilities.

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Page 19: Global mobilisation insights report

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