CPABC Industry Update Summer 2014 - Page 12

Competition, Capital, and People (cont’d) Top 10 Construction-Related Jobs The costs associated with LNG grow even greater when labour challenges enter the equation. Finding the labour to advance Canadian projects will be challenging. High levels of development and construction activity are causing shortages of skilled labour across the country, including mechanical, electrical, and process engineers, construction foreman, welders, etc. Exacerbating this challenge is the increased need for specialized LNG-specific skill sets (aluminum welders, for example), where experience is limited in Canada. Increased demand for specialized skills will drive costs up and lead to higher salaries, perquisites, and training costs, and, at the end of the day, high project costs. Adding to the labour force dynamic, the use in Canada of temporary foreign workers has recently come under fire. To help solve the labour challenge, the BC government announced an LNG-labour working group that included 18 representatives from government officials, organized labour, the Haisla Nation, and major LNG industry players. The group produced 15 recommendations to tackle apprenticeship, training, and other challenges in growing the LNG industry. The report is publicly available and actions are under way to implement the proposed recommendations. Addressing labour concerns is only one of the important elements of successful project management. Project success also depends on a sophisticated and holistic approach to project and cost management, from the fundamental structural design of the organization, to creative contractual terms for project build-out, to the use of technology to increase reliability and reduce costs. Innovating at every turn is essential. Companies must re-think traditional business processes and embed digital oilfield concepts such as remote operations centres directly into projects at the outset. They must also develop operating practices for the underlying natural gas development and production operations that align with the unique challenges and opportunities posed by unconventional resource development. with the Greatest Demand* 1. Steamfitters & pipefitters 2.  Construction workers and labourers (including riggers) 3. Welders 4. Concrete finishers 5. Heavy equipment operators 6. Carpenters 7. Truck drivers 8. Purchasing agents and officers 9. Gas fitters 10. Crane operators *  ource: B.C. Natural Gas Workforce Strategy S Committee, B.C. Natural Gas Workforce Strategy and Action Plan, July 2013. page 12 | I N D U S T R Y U P D AT E