Gorgon Project Update
Jul 3rd 2013, 1:03 pm
#31
BE Enthusiast
Joined: Aug 2002
Location: Northumberland to Maida Vale Perth
Posts: 972
Re: Gorgon Project Update
Aye Brian
Things have changed over here in the last few years.
You might have noticed a lot of the workshops have closed since you were over here last. The old Western Construction shop was taken over by Downers and closed its doors 2 months ago. The huge workshop called Civmech has no work and will close soon and all this during the biggest boom WA has ever seen. Its as if the engineering industry has gouged itself to death. Everything is being sent overseas to be constructed. When this boom is finally over there will be no industry left.
I wouldn't jump back to Scotland just yet though. 4 weeks is not a long time to get your foot in the door. Because most of the work now is for the big oil companies the recruiting processes become very drawn out.
Keel
Things have changed over here in the last few years.
You might have noticed a lot of the workshops have closed since you were over here last. The old Western Construction shop was taken over by Downers and closed its doors 2 months ago. The huge workshop called Civmech has no work and will close soon and all this during the biggest boom WA has ever seen. Its as if the engineering industry has gouged itself to death. Everything is being sent overseas to be constructed. When this boom is finally over there will be no industry left.
I wouldn't jump back to Scotland just yet though. 4 weeks is not a long time to get your foot in the door. Because most of the work now is for the big oil companies the recruiting processes become very drawn out.
Keel
been here 4 weeks now and been applying asking around for 2 of them weeks and hardly any reply back,and any that did say things are slow,i know it was 10 years ago i was traveling here and got the same job 4 months later and was always getting calls for work,now i have moved my family over here im wondering if i did the right thing,i have worked a lot offshore back in the uk giving up a job i was on offshore after being there 2 years with possible more years on that,and hardly been out of work back in the uk,things i think have changed here and im now wondering if i made a huge mistake in coming over here,I thought oil and gad industry was booming here then why am i sitting here looking for work?I know i would get work next day back home,im a pipefitter just incase anyone asks.Hope things get better as i would hate to consider going back to uk which would be a costly mistake for me.
Jul 4th 2013, 10:41 am
#32
Forum Regular
Joined: Jan 2013
Posts: 175
Re: Gorgon Project Update
We are seeing a big pull back.. most of our fabrication work goes offshore as it can be 4 time cheaper from china landed here..
seems to me Europe is on a roll with off shore work Scotland being one of the hubs
seems to me Europe is on a roll with off shore work Scotland being one of the hubs
Jul 4th 2013, 1:08 pm
#33
BE Enthusiast
Joined: Jul 2008
Posts: 823
Re: Gorgon Project Update
Engineering in Perth feels like London 10 years ago where things got a bit pricey and everything that could be done overseas was. In that time London (and Aberdeen) have gone full swing around as wages stagnated and the pound dropped, now UK is booming for engineering work as it's lower cost and good quality. I expect the same to happen here with wages to drop for the next few years for those lucky to hang on, no more big detailed design jobs after Roy Hill for quite some time. There will be lots of O&M stuff though for existing plants and as the dollar and wages fall more and more will come back in - I hope... It's really tough in Perth at the moment, and as the engineering side is at the front I would think there's a tough few years ahead for the rest here as it flows through.
Jul 6th 2013, 12:47 am
#34
Account Closed
Joined: Mar 2009
Posts: 383
Re: Gorgon Project Update
People have outpriced themselves.
Full Stop.
Full Stop.
Jul 7th 2013, 6:17 am
#35
Forum Regular
Joined: Jan 2013
Posts: 175
Re: Gorgon Project Update
Engineering in Perth feels like London 10 years ago where things got a bit pricey and everything that could be done overseas was. In that time London (and Aberdeen) have gone full swing around as wages stagnated and the pound dropped, now UK is booming for engineering work as it's lower cost and good quality. I expect the same to happen here with wages to drop for the next few years for those lucky to hang on, no more big detailed design jobs after Roy Hill for quite some time. There will be lots of O&M stuff though for existing plants and as the dollar and wages fall more and more will come back in - I hope... It's really tough in Perth at the moment, and as the engineering side is at the front I would think there's a tough few years ahead for the rest here as it flows through.
One of the problems i see here is the wage expectation of relatively unskilled labor coming out of the mines. There is work about but people need to travel for it i think the days have gone were you can expect to stay in one place for your entire career, I realise that this can still be done but the planet is a very small place these days aand if you want the premium projects you cant sit on your hands.
Employers can afford to be very choosey at the moment and cherry pick the better workers.
Off shore wind in Europe is going gang busters at the moment and all the related onshore backup work which can only be good for the UK, there are some great success stories related to this in the press. Germany giving the green light to 1360ish new turbines a few weeks back is a very small part of this industry but it seems to be were Europe is heading .
Last edited by SUPERCAD; Jul 7th 2013 at 6:27 am.
Jul 7th 2013, 9:42 am
#36
Proudly Deplorable
Joined: May 2003
Location: Alloha snack bar
Posts: 24,246
Re: Gorgon Project Update
Not so. The price of labour is based on the availability of labour (which can have many factors). When labour is in short supply, the price goes up - and vice versa
Companies pay what they need to pay to secure the labour they require. No profitable company pays more for labour than they need to
People don't outprice themselves - the market decides
Basic economics
Companies pay what they need to pay to secure the labour they require. No profitable company pays more for labour than they need to
People don't outprice themselves - the market decides
Basic economics
Jul 7th 2013, 10:48 am
#37
Account Closed
Joined: Mar 2009
Posts: 383
Re: Gorgon Project Update
People have outpriced themselves... as now they cant accept a lower wage...
Big mortgages, loans, cars, boats, fancy holidays.... a slow down approaching.... basic economics..... a severe correction,...... ooops can this be a recession? Im unsure.
Who can afford this, what about billy the mechanic on $50k a year in the city, took a job on $120k but now as no job, no real qualifications, what does he say to his wife and the $400k mortgage he has?
Big mortgages, loans, cars, boats, fancy holidays.... a slow down approaching.... basic economics..... a severe correction,...... ooops can this be a recession? Im unsure.
Who can afford this, what about billy the mechanic on $50k a year in the city, took a job on $120k but now as no job, no real qualifications, what does he say to his wife and the $400k mortgage he has?
Jul 8th 2013, 1:08 am
#38
Proudly Deplorable
Joined: May 2003
Location: Alloha snack bar
Posts: 24,246
Re: Gorgon Project Update
People have outpriced themselves... as now they cant accept a lower wage...
Big mortgages, loans, cars, boats, fancy holidays.... a slow down approaching.... basic economics..... a severe correction,...... ooops can this be a recession? Im unsure.
Who can afford this, what about billy the mechanic on $50k a year in the city, took a job on $120k but now as no job, no real qualifications, what does he say to his wife and the $400k mortgage he has?
Big mortgages, loans, cars, boats, fancy holidays.... a slow down approaching.... basic economics..... a severe correction,...... ooops can this be a recession? Im unsure.
Who can afford this, what about billy the mechanic on $50k a year in the city, took a job on $120k but now as no job, no real qualifications, what does he say to his wife and the $400k mortgage he has?
A particularly Australian phenomenon
