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Job satisfaction and quit intentions of offshore workers in the UK North Sea oil and gas industry

Author

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  • Heather Dickey
  • Verity Watson
  • Alexandros Zangelidis

Abstract

The North Sea oil and gas industry currently faces recruitment and retention difficulties due to a shortage of skilled workers. The vital contribution of this sector to the U.K. economy means it is crucial for companies to focus on retaining existing employees. One means of doing this is to improve the job satisfaction of workers. In this paper, we investigate the determinants of job satisfaction and intentions to quit within the U.K. North Sea oil and gas industry. We analyse the effect of personal and workplace characteristics on the job satisfaction and quit intentions of offshore employees. The data used were collected using a self-completed questionnaire. Job satisfaction was analysed using an ordinal probit model and quit intentions were analysed using a binary probit model. 321 respondents completed the questionnaire. We find that respondents in good financial situations, those whose skills are closely related to their job, and those who received training reported higher levels of job satisfaction. Furthermore, we establish the importance of job satisfaction, promotion prospects and training opportunities in determining workers’ intentions to quit the offshore oil and gas sector. To encourage better retention, companies should seek to adopt policies that focus not only on pay but also provide promotion and training opportunities aimed at investing in their employees’ skills development.
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Suggested Citation

  • Heather Dickey & Verity Watson & Alexandros Zangelidis, 2011. "Job satisfaction and quit intentions of offshore workers in the UK North Sea oil and gas industry," Scottish Journal of Political Economy, Scottish Economic Society, vol. 58(5), pages 607-633, November.
  • Handle: RePEc:bla:scotjp:v:58:y:2011:i:5:p:607-633
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    References listed on IDEAS

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    Cited by:

    1. Ray Markey & Katherine Ravenswood & Don Webber, 2012. "The impact of the quality of the work environment on employees’ intention to quit," Working Papers 20121221, Department of Accounting, Economics and Finance, Bristol Business School, University of the West of England, Bristol.

    More about this item

    JEL classification:

    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy

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