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Page added on January 1, 2015
Hundreds with oil company get layoff notices
The price of oil continues to drop, and that now means mass layoffs for oil workers in Bakersfield.
The Employment Development Department showed 700 people to be laid off by Ensign Energy Services, but that bad news came very suddenly for families, even with the threat of low oil prices looming overhead for months.
“I’ve got six kids,” said Edgar Salazar, choking back tears. “It’s stressful on a man. I have to support my family some way or another.”
Salazar was laid off just before Christmas. He’s a 14-year veteran of the oil industry and has never been unemployed.
Now, he’s a casualty of those drastic declines in oil prices.
“I’ve never seen it this bad,” he said.
On Jan. 1, 2014, the price of oil per barrel was $99. Now, it has dropped to $48.
“It basically impacts your life,” said Salazar. “I’d rather pay $4.80 a gallon and keep my family fed.”
Those in the oil industry generally know what they’re signing up for.
“What we get for a barrel of oil is what we get. That’s our living,” said Les Clark of the Independent Oil Producers Agency. “We’ve been through these hills and valleys before.”
But, those hills and valleys now make Salazar question the job that has brought him this far, trying to figure out something as his family survives on unemployment.
“Change of career,” he said. “Something more stable.”
Clark admitted Wednesday that there’s no way to determine the future of oil prices.
“Oil comes up out of the ground and turns into gold, and everybody goes away happy. That’s not the way that works,” he said.
According to the EDD, the time period of Ensign’s layoffs is listed as “not known,” as opposed to “temporary” or “permanent.”
In addition to Salazar, Eyewitness News received calls from multiple employees, all saying that Ensign gave them little notice – or none at all.
He didn’t know until he was given his last paycheck. Those workers have been treating their layoffs as permanent.
“Not a professional way to find out that, ‘Hey, my job’s going to end soon!'” said Salazar’s wife, Jessica.
When Eyewitness News reached out to Ensign, by phone and in person, we got no response.
Although the Salazar family isn’t certain of what their future holds, they have no choice but to be optimistic.
“We’ll be alright,” said Edgar Salazar. “We’ll be alright.”
11 Comments on "Hundreds with oil company get layoff notices"
rockman on Thu, 1st Jan 2015 8:31 pm
“We’ll be alright,” said Edgar Salazar. “We’ll be alright.” Maybe… time will tell. In Houston I participate with OHH: Oilfield Helping Hands:
Oilfield Helping Hands has grown since 2003 to multiple annual fund-raising events held by each of the chapters. We have sponsors for each of the events, and expenses are kept to the lowest possible amount to maximize the funds that can be awarded to recipients. Through these events and event sponsors, the volunteer efforts of our members and corporate memberships, we have been able to return more than $2.4 million to recipients through March 2014.
OHH is about helping oilfield families in financial crisis. It is about raising money and keeping costs down. It is about feeling good knowing you have helped someone in your immediate oilfield community. It is about having fun.
Needless to say the demand for help has been minimal the last few years. No doubt that is about to change. The group was formed in 2003 when oil was selling for $30/bbl. NG was selling for $5-$6 per mcf at that time. Today it’s selling for less than $4/mcf.
penury on Thu, 1st Jan 2015 9:04 pm
it is a shame, and for some people it will prove to be worse. The flip side of the coin from the ones cheering saving a dollar a gallon on gas. With our economy we will be seeing more of this shortly. Every trade group and organization should have a group like Rockman.
Hiruit Nguyse on Thu, 1st Jan 2015 10:18 pm
6 KIDS! How about some fukin contraception???
Speculawyer on Thu, 1st Jan 2015 10:52 pm
Yeah, I just don’t have sympathy for people that say things like “I have six kids.” Use some contraception. No one should be having 6 kids unless they are amazingly wealthy.
Makati1 on Fri, 2nd Jan 2015 4:13 am
Could be millions on the street by New Years 2016 if the prices stay in the low, low WalMart range.
rockman on Fri, 2nd Jan 2015 7:44 am
M – Will likely get worse overall before it gets better for the general economy. The energy industry will regress much quicker then the general economy will improve. It will take several years at a minimum for the lost energy jobs/incomes/taxes/etc to be replaced. And by then we might be seeing the beginning of the next higher energy price cycle which will cut back the general economy once more.
Makati1 on Fri, 2nd Jan 2015 8:21 am
rockman, I think you are spot on. Although, I do not see a recovery after the next crash. Just a continual slide down the ladder to somewhere around 3rd world levels. Not that 3rd world is necessarily bad, just a severe shock to the citizens of North America.
I live in a 3rd world country, the Philippines, as you know. It is actually better in many ways than the areas of the US I lived in for 64 years. I love it here and dislike my annual visit to my parents in the US every year. They are 88 and 90 so, I do not expect to make the trip too many more times. After they are gone, I will not go back to the States, ever. My family can come and visit me in the land of eternal summer, if they want to see me.
Have a great 2015!
JuanP on Fri, 2nd Jan 2015 8:29 am
Rock’s comment is interesting, thanks!
As far as the article goes, I couldn’t get past the six kids part, knowing it was a depressing article because of the unemployment subject, which I find extremely depressing. Because of my depression I have to be selective on mt reading, some articles can sink me. I hate the ones that include personal examples, I prefer to analyze more abstract statistics.
My heart goes out to the people facing hard times; I have them all around including family, friends, coworkers, and neighbors. There will be very rough days ahead. Look out for each other and the people around you, guys. I know from experience what a difference having a few good people around makes in times of need.
I, personally, spend more on others than on myself, particularly my nieces and nephews, and that’s the way I like it. I do it for selfish reasons; it makes me feel good and fight my depression. I don’t see it as being generous or making a sacrifice. I have all I need.
Kenz300 on Fri, 2nd Jan 2015 9:18 am
“I’ve got six kids,” said Edgar Salazar, choking back tears. “It’s stressful on a man. I have to support my family some way or another.”
SIX kids ……….
GregT on Fri, 2nd Jan 2015 12:21 pm
Juan,
Try to keep things in perspective. If there is anything to be depressed about, it should be life itself. We all know how that ends. Acceptance my friend.
“It isn’t the burdens of today that drive men mad. It is the regrets over yesterday and the fear of tomorrow. Regret and fear are twin thieves who rob us of today.”
Makati1 on Fri, 2nd Jan 2015 7:30 pm
Food for thought:
http://journal-neo.org/2015/01/01/world-overpopulation-hold-on-buddy/
Comments?