Falling oil and gas prices have helped many Americans by expanding their purchasing power. But these diminished prices have taken a significant toll on workers in the domestic energy and mining sector. As reported by the Associated Press, more than one hundred and twenty two thousand workers in the sector have lost their job over the past year.
Moreover, even as workers nationally earn a bit more than they did a year ago, average wages have fallen by nearly two percent for energy production workers. The November jobs report highlights the divide between the broader economy and the ailing fossil fuels industry.
Overall, U.S. employers added two hundred and eleven thousand jobs last month according to the government’s preliminary estimate. But the nation’s energy industry shed more than eleven thousand jobs. Over the past eighteen months, oil prices have slumped from one hundred and seven dollars a barrel to roughly forty dollars.
Gasoline prices have declined from about three dollars and seventy cents per gallon to a bit above two dollars. Those prices could fall further or at least stay very low given OPEC’s recent decision to maintain high levels of production. Additional energy sector layoffs are also likely as companies attempt to improve their finances.
