Quantifying the Impact of the Drop in Oil on the Future Manpower Needs of the UK Oil
Dissertation Chapter Three: Research Methodology
4.1. Conclusion and recommendation
The research has pointed out that there is a change in the number of employees in the
oil and gas industry in the UK. In fact, this has a detrimental effect on the economy as well as
the social life of the citizens. The results support that there has been a decline in the number
of employees in this sector which requires UK government intervention to improve the
condition as well as create more jobs. As earlier stated to improve this condition some
adjustments need to be made like, employing highly qualified personnel, carrying
performance evaluation more often, as well as ensuring that the human resource in this sector
executes their mandates as required. Although, it was established that the price of the crude
oil and the variable year, it is imperative for the prices of the UK oil and gas to be
considerably low to benefit other sectors. This is because, if the oil and gasses’ prices are set
at minimal, the cost of production, transportation, agriculture among other will intensely
benefit. Thus, it is within the UK’s government mandate to ensure that the petroleum prices
are consistently low to boost oil dependent sectors, which improves the revenue generation,
production and service’s delivery. To make this a reality, the UK government will continue
subsidizing the fossil fuel. Through this, the government will ensure that they reap maximum
returns from this sector, such as job creation, improved service delivery, generation of
revenue among others. The dynamic Computable General Equilibrium pointed that when the
oil and gasses’ prices are low, there are increases in the UK GDP. Therefore, there is great
urge to keep the prices of the oil and gasses low to boost the GDP of the country. Therefore,
the government should set up strategies that ensure that the oil and gasses are low, like
eliminating intermediaries in the supply chain, subsidizing the oil and gasses sector, or not
taxing these products.
The research was successful since the objectives of the research have been achieved.
Given another chance in the future, I would make some adjustment on the research. For
instance, an increase in the sample size of the data to increase accuracy. This can be achieved
by using monthly data instead of annual data. Also, since literature shows that from 2010 to
mid-2014 the prices were steady and after that the prices declined. A test of whether the two-
period prices are significantly different would be carried out. This will help in testing whether
the claim that there is a recent decline in the oil and gasses’ prices.
