AUSTIN – Texas upstream oil and gas employment remained essentially flat in 2025, even as producers continued to deliver strong output amid challenging market conditions, according to data released by the Texas Workforce Commission.
Through November 2025, upstream employment totaled 201,200 jobs. While employment declined by 3,500 jobs in November compared with October, year-to-date employment was little changed, with a net gain of 300 direct upstream jobs. Employment was also modestly higher than a year earlier, rising by 100 jobs, or 0.1 percent.
“Reaching new production highs in multiple categories with employment essentially remaining steady is absolutely remarkable. Navigating these volatile circumstances is a vivid reminder: growth is not guaranteed,” said Todd Staples, president of the Texas Oil & Gas Association. “This resilience demonstrated by increased energy output in 2025 depends on policies that support infrastructure development and market flexibility so the oil and natural gas industry can adapt to uncertainty and continue delivering the affordable, reliable energy that powers our modern way of life.”
Since the COVID-era low point in September 2020, Texas upstream oil and natural gas employment has increased by more than 44,000 jobs, a 28 percent gain, underscoring the industry’s continued role as a high-wage employer in the Texas economy.
Upstream employment includes oil and natural gas extraction and related support activities, but excludes downstream sectors such as refining, petrochemicals, pipelines, and fuels distribution. The combined industry sectors moved up slightly on average from 492,019 in 2024 to 495,501 in 2025, reflecting just less than a 1% increase. The oil and natural gas industry represents 31% of Texas private sector economy and paid $74 million dollars every day last year in state and local taxes and royalties that fund our state highway construction, state savings account, universities, schools and first responders. For a complete picture of the vast impact industry has on the Lone Star State, visit txoga.org/2025eeir.