‘Higher estimate’ for Norway job cuts

18 August 2015, News Wires – More than 36,000 oil industry-related jobs have been axed in Norway as a result of an industry downturn, according to the latest official statistics, which is significantly higher than an alternative figure typically used to measure the impact on employment.
Offshore oil platform

Offshore oil platform

The precise estimate of 36,357 issued by Norway’s Labour & Welfare Administration (NAV) includes redundancies and lay-offs notified by oil companies, contractors and suppliers nationwide, as well as job cuts in other related sectors such as the hotel business and transport due to the slump, according to local publication Stavanger Aftenblad.

This compares with the latest estimate for August of 22,439 redundancies issued by DNB Markets.

Among the worst-hit regions is Rogaland district in western Norway that is the cradle of the country’s 40-year-old petroleum industry – including oil capital Stavanger – where NAV has registered 12,732 job losses over the past year.

An oil and gas industry slump due to cutbacks in exploration and field development spending amid low oil prices has resulted in widespread lay-offs and redundancies across the board at oil companies, oilfield service and drilling contractors, as well as offshore vessel owners, as work has dried up.

– Upstream

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