Energy sector struggles with skills gap and ageing workforce, as lack of career progression fuels dissatisfaction

Skills gap and aging workforce top energy sector woes

Airswift’s tenth annual edition of the Global Energy Talent Index (GETI) has identified the leading employment challenges currently faced by the energy sector. Drawing on insights from over 9,000 energy professionals across 143 countries, the research explores how AI, automation, demographics and shifting career expectations are reshaping the industry[i].

The researchers found that skills shortages and an ageing workforce remain two of the biggest challenges for employers. Further, whilst unclear career progression is the top driver of job dissatisfaction, only half of professionals say that they have a Personal Development Plan in place. The report broke down and addressed the three key segments of the energy industry- looking at trends within traditional energy, transitional energy, and the future of energy.

Traditional energy faced with a shrinking talent pool

The research reveals that the traditional energy sector is struggling to keep up with a shrinking talent pool, as fewer young people enter the workforce, experienced professionals are harder to find, and global mobility declines. Further, while salary optimism remains (50% of professionals and 60% of hiring managers reported a pay increase in 2025), growth has slowed compared to previous years. The number of professionals expecting a pay increase is down from 71% in 2025, to 67% this year.

The traditional energy workforce is also aging with almost half (48%) of professionals aged over 45, while the share of professionals aged 25 to 34 has declined to 19%, down from 21% last year. James Allen, CEO of Airswift comments: “The ageing workforce challenge is not new, but it is becoming increasingly urgent to address, and traditional energy organisations are struggling to make hires with the right technical expertise and experience. With only a third of hiring managers actively recruiting graduates to build their talent pipeline, there is an opportunity for the sector to do much more to secure the people it needs.”[ii]

Transitional energy and the future of energy

Currently, over half (51%) of professionals working in the future of energy reported a pay increase this year, with a fifth (20%) reporting rises above 5%, a similar trend was seen in transitional energy, with 53% reporting a pay increase. The research found that average pay is highest in Australasia and in North America for both industry sectors. Further, salary optimism is also high despite current economic headwinds. In fact, almost three-quarters (72%) of global clean energy workers expect a pay rise next year.

In terms of relocation, Europe continues to be the area most respondents would like to relocate to, with over a third naming it as their preferred region. With falling investment in North American renewables projects, the continent has seen a reduction in popularity year on year, falling from second place in 2025, with interest in relocating to the Middle East rising. The report finds that career progression remains the number one draw to a specific location, followed by lifestyle, low cost of living, and better access to innovative tools and culture.

Competition for talent is strong; with 80% reporting they have been headhunted in the past year, and a third said they are open to moving to another energy sector. The power sector proved to be the most popular choice for a potential move, but four in ten of those open to a move said they would be keen to work in oil and gas[iii].

AI adoption surges

The report underscores that several challenges exist in the clean energy space; hiring managers are under pressure to solve existing skills shortages while also planning for a world with significantly more energy infrastructure. The researchers claim that AI is already bridging some of these skills gaps, both formally and informally, however they stress that it should in no way be considered a cure for all hiring challenges.

Over the last three years, AI has had a significant impact on the energy industry, by the end of 2025 over two fifths (45%) of traditional energy professionals, and 60% of green energy professionals were found to be using AI in their role (an increase of 21 and 28 percentage points respectively vs 2024).

Almost four in ten respondents (37%) in the ‘future of energy’ sector state that they are using AI to complete tasks to a more senior level, or to bridge a skills or knowledge gap that exists within the company (38%). One of the key concerns relating to AI is its potential to reduce entry level roles, making it more difficult for less experienced professionals to join the workforce, with two-fifths (38%) of professionals believing this to be the case.

Allen says: “If young people begin to believe that opportunities to join the energy workforce are few and far between, it could become a major barrier for attracting and retaining talent. Organisations must be intentional in retaining early career paths while continuing to collaborate with educational institutions to promote STEM and inspire young people about the fantastic careers on offer.”[iv]