From the Editor - April 2015
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A few days ago I was discussing my Editor’s Column with a colleague. Considering the recent events in our business (falling oil prices, budget cuts, layoffs) he suggested I use a future column to reassure the younger members that everything will be okay for them. This seemed like a pretty good idea until I gave it some more thought. In good conscience, I can’t tell or try to convince anyone in our business that all will be fine in the future. I can, however, fairly confidently state that the industry will be okay and will probably have a good future. Whether or not any particular member will be a part of that future is much less certain. |
Statistically, most of us will be just fine. However, even with a relatively low probability of losing your job, statistics don’t matter if you are the one affected. In that scenario, it is now a 100% chance that you are facing a potentially life-changing event. I have been fortunate to work continuously in this business for over 35 years. At last count, I have lived through, and survived, a minimum of 10 rounds of “staff reductions”. Many very talented friends and co-workers have left the business, usually not by their choosing. During my career, I have learned a few things about how to survive the cyclical nature of the oil and gas industry.
My basic premise here is that life is not fair. You may be highly skilled and still lose your job. There are, however, a few things that you can do to improve your chances of being a survivor.
•Maintain and improve your skill set. The way we work has changed and will continue to change. Industry courses provide a great way to continue to learn, but training budgets are often an early casualty of a down cycle in our business. Often even in-house courses are cut back to “save money”. It just so happens that HGS provides opportunities, via regular meetings and presentations or sponsored conferences and workshops that can help.
•Develop an extensive professional network. While it is critical to maintain and improve your skill set, it is often the case that retention of a job or finding a new job depends more on who you know than on what you know. There is a great value having an extensive professional network. Many interesting jobs are never publically advertised and are often offered to someone the hiring manager is familiar with from working together on other projects as a partner, participating with them in professional committees or having had a memorable discussion with them at a conference, dinner, field trip, etc. Again, HGS provides an excellent opportunity to help you to build a robust professional network. Please pay attention to Ken Nemeth’s repeated message concerning the benefits of participating in HGS and volunteering to help the society.
So what can you do if the job disappears? Many years ago I received probably one of the most important pieces of financial advice I have ever received. It basically went along the following lines:
We are fortunate to work in an industry in which, for the most part, the salaries are very good. We are potentially unfortunate to work in an industry which is volatile and cyclical and our good paying jobs can disappear without any warning at all. It is important always to keep this in mind. The suggestion that I was given was that it was critically important to maintain available cash equal to at least 6-12 month’s salary. This is the difference between being confident at in interview and appearing desperate. It is too easy to forget that the good salary you are earning today may disappear tomorrow. If you have to worry about the check arriving in time or the annual bonus being paid with the expected amount and at the expected time, I would suggest some financial planning is in order.
We have an amazing opportunity, as professionals, to work in a challenging and rewarding industry. Many of us have had the opportunity to work in various basins and perhaps to work and live in other countries. When things are good, they tend to be very, very good. Please don’t forget that the good times don’t last forever and, while they will most likely return, it is up to each of us to prepare ourselves to be a survivor. HGS is here and available to help in this preparation.