US Energy Sector in the Age of COVID

By David Gross

This year, ten characters changed our world, perhaps forever: SARS-CoV-2 (“COVID-19” or “COVID”). The energy industry, most notably the oil sector, was among the first industries to experience COVID’s ferocity and will likely be among the last industries to recover.

Strategic Value Partners (SVP), a Dallas-based management consulting firm, and The Energists, a Houston-based retained executive search firm, came together in 2020 to survey energy companies and capture COVID’s impact on revenue, employment, compensation and benefits, and existing and future human capital plans.

Against the backdrop of COVID-driven uncertainties about the pace of the revenue (and profit) recovery, layoffs, and compensation and benefit reductions, we find it surprising—and, refreshing—to see energy companies thinking aggressively about talent. According to 33 percent of our respondents, their companies have not suspended any key contributor or leadership recruiting effort in 2020. Even more encouraging? A whopping 79 percent of respondents said their companies will likely add at least one new search for a key contributor or leader in 2021.

Companies with plans to add key contributors and leaders in 2020 and 2021 should expect a large and rich talent pool, the likes of which are rarely seen. First-movers will benefit the most as will companies who accelerate searches planned for 2021 into 2020. With more than 165 vaccines under development and more than 24 vaccines already in human trials, we anticipate that companies will ramp up their hiring of key contributors and leaders even faster than our survey results, published in October 2020, indicate.

To obtain these survey results, and our entire 20-page report, click here to request a copy.

David Gross is a Founder & Managing Director at Strategic Value Partners (SVP). SVP delivers tangible results through strategic planning, team building and development, and intensive change management. SVP serves aerospace and defense, automotive, healthcare, natural resource, retail, and TMT companies. SVP also collaborates with alternative investment managers. In every case, SVP's goal is to create exponential returns while proactively managing strategic, operating, and financial risks. For additional information, please visit www.consultsvp.com or email connectwithus@consultsvp.com.