Appalachian Basin

Cleveland State University Report Finds Utica Shale to Create Thousands of New Jobs in Ohio

A new, three-part, economic study hailing from Cleveland State University (CSU) determined that continued development of Ohio’s Utica shale has the potential to create thousands of new jobs for Ohioans across multiple industries  every year for the next four years.  This finding may come as no surprise to those closely following the massive economic benefits  and falling unemployment rates  that shale development has already brought to Ohio.

According to the CSU report’s projections, Ohio will become home to 9,342, 9,961, 10,233, and 10,505 new oil and gas related jobs in 2016, 2017, 2018, and 2019 respectively.  These positions will be spread across the legal, engineering, financial, and administrative fields as well as on-site crews.

A summary of their estimated projections for workforce demand in Ohio is below:

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CSU’s researchers came to this conclusion by conducting a granular study of the labor demand that is typically created by upstream industries and certain mid and downstream industries, specifically those that relate to the building and operation of natural gas pipelines, processing infrastructure, and the construction and management of a petrochemical cracker.  Then, in order to assess the status of applicable skill sets currently available in Ohio, the researchers examined the labor occupations relevant for the oil and gas industries.

All of this work was designed to illustrate what occupations may be in short supply as the Utica shale continues to be developed and what public policy or training opportunities should be created in order to ensure that local Ohioans are the best equipped for these new jobs.  Apprenticeship training programs like those mentioned in this report have already been undertaken by Ohio’s Local 396, Plumbers and Pipefitters in order to meet the growing demand for local welders that was generated by the over $8 billion in pipeline construction announced in Ohio.

This new study breaks down just how many different industries will experience job growth like this during each of the pre-drilling, drilling, and post drilling phases.

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As you have probably noticed, many of these positions are jobs that require post-secondary or higher education and/or work experience and certification and will thus command higher salaries.  As noted in the report, “the more training-intense jobs are higher-paying and are likely to be in great demand.”

This report serves as an important reminder that Ohio’s economy has not stopped benefiting from the development of its natural resources and will certainly continue to do so for many years to come.

 

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