Friday, March 30, 2012WARREN, Ohio – The city of Warren wants to use money it's received through the sale of mineral leases to help its residents secure the proper training required to land a job in the oil and gas industry.
Mayor Doug Franklin announced Thursday the city would reimburse Warren residents for drug screening tests, background checks, and physical exams should they be accepted into a new training program sponsored by Eastern Gateway Community College.
"We think it's an excellent opportunity to make sure our residents have a fair shot to increase their chances through the Marcellus and Utica shale plays," Franklin said.
The mayor said the city received some "up-front monies" through the sale of mineral rights, which helped to free up room in the mayor's administrative support budget for this program. "We want to do our part by putting some of that money we received back into the community and create some employment opportunities for our residents."
Eastern Gateway developed a training curriculum through a partnership with Pennsylvania, New York and West Virginia that was made possible by ShaleNET, an organization established to encourage workforce development in the shale industry. The organization received a $4.9 million community-based job-training grant from the U.S. Department of Labor two years ago, and Eastern Gateway is the sole college in Ohio that is participating in the program.
"Because of that early opportunity, we were out of the chute early," said EGCC's president, Laura Meeks. She calls the training program "cutting edge" and one that has received the stamp of approval from many of the major energy companies now drilling for natural gas in the region.
The training program is free of charge and lasts three weeks, Meeks said. EGCC recently graduated its first class of 18 from the Steubenville area. "People took vacation days to be there, and there were people who were working nights and going to school during the day. I'm telling you, Ohioans want these jobs."
Franklin said the city is sponsoring two information sessions April 4 at Packard Music Hall,a t 2 and 5 p.m., to outline the program. The informational sessions are free of charge and is open to anyone who is interested about jobs in the industry.
A similar session held in Steubenville attracted about 500 people and nearly 450 submitted applications. Of those 450, 18 were graduated and another 130 or so are in various stages of completing the program, Meeks said.
Tracee Joltes, assistant director for workforce outreach at EGCC, said the curriculum was developed with the input of energy companies such as Range Resources Corp. and Chesapeake Energy Corp.
"We can offer four different programs, free of charge, if you qualify," she noted. The first class, which graduated March 23, received training as roustabouts, or general laborers used at drilling sites. Other training programs include derrick and rotary drill operation, production technician and welders.
All students must pass a drug test, physical and criminal background check before entering into the program. Also, all applicants are asked to take assessments in mathematics and communications, Joltes said.
Only those who pass the drug screening, physical, and criminal background checks, and are accepted into the program, will be reimbursed for their costs, she added, since the grant doesn't provide coverage for these expenses.
"This is a three-week long, intense orientation to the oil and gas industry," Joltes said. The Eastern Gateway program calls for rudimentary training that teaches the basics of the industry. "People in our area, who aren't familiar with the natural gas industry, hydraulic fracturing and horizontal drilling can understand what the expectations of them are getting into this job."
Classes run every day over a three-week period, with most of the sessions lasting all day. "They're getting safety certifications, heavy equipment operation, experience and instruction from an industry expert and a lot of in-depth information," Joltes said. "So, that when they finish this class, the companies will come in and interview. We're in the process of placing some of these workers now."
The first class in the Mahoning Valley is scheduled to start in June.
Joltes said placement rates are as high as 85%, when gauging ShaleNET programs in other colleges, and the retention level for companies is 80%.
The training helps prepare workers for entry-level positions in the industry, which start at about $15 an hour, Joltes says. However, rig hands work 12- hour days for two weeks straight, and most of their money is made as a result of overtime.
Companies are more likely to hire those who have some knowledge of the industry, and they want to hire local workers, Joltes said. These programs, she added, give job seekers a leg up in the process.
Rig workers for Chesapeake, for example, work 12-hour days for two weeks straight, take two weeks off, and then repeat the schedule.
"It's a different culture," Joltes says. With this training, those hired at an entry-level position come into the industry with a better understanding of the demands of the job. "It pays well, but it's hard work."
Copyright 2012 The Business Journal, Youngstown, Ohio.