Mining or Oil and Gas: Where Will Talent Flow in 2025?
Introduction
Canada’s resource industries are undergoing significant shifts in 2025. Oil and gas companies are expanding production and increasing wages, while mining remains critical to the energy transition. However, as policy changes and investment trends favor oil and gas, mining risks losing skilled talent to better-paying opportunities.
With a federal election approaching, potential policy changes could accelerate oil and gas growth, increasing job demand. As wages rise in one sector, will mining struggle to keep talent? This blog explores current wage trends, election-driven industry changes, and what mining companies can do to stay competitive in hiring.
How Wage Differences Influence Workforce Movement
Wages in oil and gas have consistently outpaced those in mining, and the gap is widening.
Oil and gas salaries: In 2022, the average annual compensation per job in the oil and gas extraction sector was $214,935 (1).
Mining salaries: In 2022, the average annual compensation per job in the mining and quarrying sector (excluding oil and gas) was $139,217 (1).
Beyond wages, oil and gas companies often offer higher performance-based bonuses and lucrative benefits, making these roles attractive to skilled professionals.
LNG projects: New liquefied natural gas projects and ongoing exploration investments are expected to sustain high wage levels (2).
High-demand roles: Engineers, geologists, and heavy equipment operators are seeing increasing demand across both sectors (3).
Talent movement: As salaries climb in oil and gas, mining professionals may find it harder to ignore financial incentives in the energy sector.
The Impact of Canada’s Election on Oil and Gas Growth
The upcoming federal election is expected to significantly impact Canada’s resource industries.
Policy changes: The Conservative Party, currently leading in polls, has pledged to reverse emissions caps and remove capital gains tax increases that have discouraged energy investment (4).
Industry expansion: These policy changes could create a stronger business environment for oil and gas, leading to increased exploration and production (4).
Workforce growth: Employment in oil and gas is projected to grow seven percent in 2025, reaching approximately 41,800 jobs (5).
If expansion continues, demand for skilled professionals will rise, further pressuring mining’s ability to secure talent.
How Mining Can Compete for Top Talent
Mining companies may not always match oil and gas salaries, but they can leverage other strengths to attract and retain skilled professionals.
Career stability: Unlike oil and gas, which is highly market-dependent, mining offers longer project lifespans and more secure employment (6).
Career growth and global mobility: Many mining professionals gain international experience and develop expertise in automation, AI, and sustainable extraction. Companies that emphasize structured career pathways can position themselves as long-term career destinations (7).
Workplace flexibility: Oil and gas jobs often feature rotational schedules, which appeal to some professionals. Mining companies can explore hybrid work models for corporate roles and optimize travel arrangements for site-based employees to improve work-life balance (8).
Environmental responsibility: Younger professionals increasingly prioritize sustainability in career decisions. Mining companies leading in responsible extraction and green technologies can attract mission-driven candidates (9).
What This Means for Industry Professionals
For professionals deciding between careers in mining or oil and gas, salary is only one factor.
Job security: Oil and gas offers higher pay but is more volatile, with job losses occurring when markets dip. Mining provides greater stability, especially in critical minerals (6).
Career development: Mining offers structured career growth, leadership paths, and skill development in emerging technologies (7).
Lifestyle and work schedules: Oil and gas roles often feature rotational work, while mining provides more structured employment with predictable career progression (8).
Conclusion
The competition for talent between mining and oil and gas is intensifying. Rising wages in oil and gas, along with potential election-driven industry growth, could challenge mining’s ability to retain skilled professionals.
Mining companies that focus on stability, career development, and sustainability will be in the strongest position to attract and retain top talent. For industry professionals, making informed career decisions will require balancing salary considerations with job security, career progression, and lifestyle preferences.
As workforce competition increases, building a strong pipeline of talent will be more important than ever. Companies that take a proactive approach to recruitment by assessing future hiring needs and strengthening team structures will be better positioned to secure the right people when demand surges.
To stay informed on hiring trends in the natural resource sector, follow us for insights on industry shifts, workforce planning, and talent strategies. If you are a mining or energy leader looking to build or retain a strong team, reach out to discuss how strategic recruitment can help you stay ahead.
References:
Labour Compensation in Canada’s Oil and Gas Extraction Sector, Canadian Energy Centre.
Canada’s Energy Future 2025: LNG Growth and Market Trends, Canada Energy Regulator.
Skills Shortages in Canada’s Resource Industries, Mining Industry Human Resources Council (MiHR).
Canada’s Looming Election Cheers Equity Investors Hoping for Increased Returns, Reuters.
Canadian Energy Sector Eyes Growth Despite Tariff Concerns, Wealth Professional.
Labour Market Outlook for Mining in Canada 2025, Mining Industry Human Resources Council (MiHR).
Global Mobility and Skills Development in Mining, International Council on Mining & Metals (ICMM).
Workforce Trends in Canada’s Mining and Energy Sectors, PwC Canada.
Sustainability and ESG in Mining: Attracting the Next Generation of Talent, Deloitte.