THE OIL AND NATURAL GAS INDUSTRY OFFERS HIGHER WAGES FOR BLACK STEM PROFESSIONALS
When it comes to preparing the next generation for careers in science, technology engineering and mathematics, also known at “STEM,” Jack Gerard, the president and CEO of the American Petroleum Institute, said that leaders in the oil and natural gas industry have to answer the “awareness question.”
“There are many people out there, today, that don’t really understand the oil and natural gas industry or the opportunities that it can present for them, their families and for well-paying careers,” said Gerard. “It’s incumbent upon us, as an industry, to have this dialogue more often and to intensify this discussion, so that people really understand,” the connection between the oil and natural gas industry and their everyday lives.
The American Petroleum Institute (API) and the Joint Center for Political and Economic Studies, recently hosted a panel discussion focused on increasing diversity and inclusion in STEM careers and in the oil and natural gas industry. API, the only national trade group representing all facets of the oil and natural gas industry, according to the group’s website, supports 10.3 million jobs in the United States and nearly 8 percent of the U.S. economy.
The panel discussion coincided with the release of a new RAND report titled, “Postsecondary Education and STEM Employment in the United States.” The report, which was prepared for API, examined national education trends and the relationship between degree attainment and employment and wages, specifically in STEM fields.
“Many of tomorrow’s best paying careers, at all levels, will require some kind of training or education in a STEM discipline,” said Gerard.
STEM degrees can lead to higher earnings and can help to close the wage gap between Blacks and Whites. Those higher earnings are even more pronounced in the oil and gas industry.
Blacks with STEM bachelor’s degrees earn $45.15 in hourly wages in the oil and natural gas industry, compared to Blacks with non-STEM bachelor’s degrees, who make $28.10 per hour, according to the RAND report.
Whites with STEM bachelor’s degrees make slightly more per hour than Blacks with STEM degrees working in the oil and natural gas industry ($45.26 vs. $45.15).
The hourly wage gap is higher between Whites and Blacks with non-STEM degrees that work in the oil and gas industry ($37.73 vs. $28.10).
According to the 2016 report titled, “Minority and Female Employment in the Oil & Natural Gas and Petrochemical Industries, 2015-2035” by IHS Global prepared for API, “nearly 1.9 million direct job opportunities are projected through 2035 in the oil and natural gas and petrochemical industries” and “African Americans and Hispanics will account for over 80 percent of the net increase in the labor force from 2015 to 2035.”
Gerard said that over the next 10 years about 50 percent of the oil and natural gas workforce is going to “turnover.”
According to the IHS Global report on minority and female employment in the oil and natural gas industry, Blacks accounted for 6.7 percent of the total workforce.
Gerard said that as the current workforce reaches retirement age, the industry will need a rising generation to fill those jobs. Understanding the demographic shifts the industry has to get more aggressive in addressing that challenge, added Gerard.
“If we’re going to do the things that are necessary to move the needle to impact those 1.9 million jobs, we have to go where most people don’t want to go and that’s in the Black and brown communities,” said Dr. Calvin Mackie, a motivational speaker and founder of STEM NOLA. “We often talk about STEM in a way that a common man and common woman really can’t grasp.”
Mackie said that millions of Black and brown boys play football and basketball every Saturday, dreaming of making it to the NFL or NBA, even though their chances of achieving that goal are statistically low.
“If we’re going to solve this problem, we have to go to the communities and make sure that on every Saturday there are a million Black and brown kids doing STEM, hoping and believing that, 15 years later, they will become,” millionaires and billionaires, said Mackie.
Mackie runs a program that exposes elementary and high school students from underserved communities to STEM principles and STEM careers.
Gerard said that leaders of the oil and natural gas industry recognize that they have to engage more effectively with minority communities, in order to build relationships and train and recruit their future workforce.
“We need help from people who have been on the frontlines for many years,” said Gerard.
Overton said that working with groups like the National Newspaper Publishers Association can improve the oil and natural gas industry’s outreach in the Black community.
Overton also shared an anecdote about the African American women who were depicted in the movie “Hidden Figures.”
African American NASA mathematician Dorothy Vaughan predicted that an incoming IBM computer would displace “human computers” in the 1960s. In anticipation, she learned the computer language Fortran, and she taught it to her team of Black women mathematicians. When the IBM arrived, the team was ready and took over new jobs operating the IBM, Overton said.
“We are in this moment of rare opportunity…we can be proactive instead of reactive, like those women in ‘Hidden Figures,’” said Spencer Overton, the president of the Joint Center for Political and Economic Studies.
Mackie said that in order to increase awareness about STEM careers in the oil and natural gas industry, programs have to be culturally and environmentally relevant.
“When we start talking about STEM education…sometimes it’s disenfranchising our children, because it’s not exposing them to the possibility of the hundreds of thousands of jobs in the oil and gas industry,” said Mackie.
Mackie said that the nature of work is rapidly changing, driven by innovation and technology; that rapid change has the power to change lives for those individuals who have access to the resources to harness those tools.
Some education advocates fear that Black children, oftentimes don’t have access to those resources.
“America is in trouble,” said Mackie. “We have to make sure that we expose every kid to the possibility of STEM, because the future will belong to those that can play in it and create it and all of our kids deserve that possibility.”
Gerard noted that the oil and natural gas industry contributes to the production of the energy efficient screens found on windows, the paint on the walls in our homes and offices, the fiber composites in the carpet, and the plastic components in smartphones.
“We have to make our industry more relevant in those conversations, so that rising generations realize that there are vast opportunities up and down the continuum,” said Gerard. “So, we don’t scare them with the STEM conversation, but we teach them that everything that they do is grounded in this industry and the opportunity within that space is very significant.”
Gerard continued: “If we can work on this together, we’re going to see a lot of opportunities out there, because people will start making those connections between [the oil and natural gas industry] to things they take for granted and to well-paying careers.”
PHOTO: (From left-right) Dr. Benjamin F. Chavis, Jr., the president and CEO of the NNPA; Dr. Calvin Mackie, a motivational speaker and founder of STEM NOLA; Spencer Overton, the president of the Joint Center for Political and Economic Studies; and Jack Gerard, the president and CEO of the American Petroleum Institute, pause for a photo a during a panel discussion about diversity and inclusion in the oil and natural gas industry at George Washington University in Washington, D.C. (Freddie Allen/AMG/NNPA)