ENERGY INDUSTRY
PREDICTIONS FOR 2026
2025 IN REVIEW
Expansion Mode Will Continue – But Labor Will Be the Bottleneck Strong demand across oil and gas, renewables, grid modernization, and EV-infrastructure projects will fuel energy companies growth throughout 2026. Capital spending will remain high, and upstream and midstream operators will plan multi-year buildout cycles. Any speed bumps slowing that trajectory will be caused by a workforce crunch. Expect continued trouble finding available or fully trained field technicians, engineers, and reliability specialists. Wage and Hour Risk Will Become a Top-Five Legal Threat The irregular shifts, remote fieldwork, travel time, standby time, and per-diem and bonus-heavy compensation that are common in the energy industry will continue to be a target for class and collective actions. With plaintiffs’ firms expanding into energy-rich regions like Texas, Colorado, and New Mexico, we expect misclassification (exempt vs. non-exempt), day-rate pay, and timekeeping accuracy will be the hottest issues of 2026. Safety Compliance Will Get More Aggressive, Especially in Heat and Confined Spaces Following national heat-safety initiatives and several high-profile incidents in 2025, we predict OSHA will ramp
Trump Plans To Shutter Chemical Safety Board While Congress still hasn’t finalized funding levels for FY 2026, President Donald Trump has directed that the Chemical Safety Hazard Investigation Board (CSB) be shut down as part of his budget request. The White House budget planned instead for the agency to operate on emergency funds and close its doors by September 2026. The potential closure of the CSB would mean one fewer agency involved in chemical incident investigations. But employers in the energy industry shouldn’t put their guard down. They would still primarily work with OSHA and the EPA during major chemical incidents, a change that reduces some oversight and the risk of negative publicity that often came along with CSB involvement. Read more about how you can prepare here. AI Executive Order Called For Workforce Development Plans The White House released an AI action plan in July setting out more than 90 federal policy goals to secure America’s “global AI dominance.” The ambitious playbook called for an increase in AI skills development in every facet of the economy, including offering potential solutions to reduce workforce shortages in occupations that “build the infrastructure needed to power America’s AI future” – such as electricians and advanced HVAC technicians.
up inspections in refineries, chemical plants, and utility projects. Confined space entries, lockout/tagout, and contractor oversight programs will be priority areas compliance safety specialists will audit. AI Will Enter the Field, and Not Just the Back Office We forecast that 2026 will be the year when AI will move from data analytics to field deployment: predictive maintenance, automated equipment inspections, and AI-assisted dispatch systems. This will reshape job descriptions (creating potential wage and hour headaches) and heighten concerns around data ownership and safety. Energy-Specific Cybersecurity Threats Will Surge Nation-state actors have increasingly targeted pipelines, transmission networks, and refineries, which is likely to spur new federal cybersecurity directives, mandatory incident-reporting timelines, and heightened NERC CIP expectations for utilities. You’ll need to elevate cyber compliance to a board-level priority.
Emily P. Harbison Houston Regional Managing Partner, Co-Chair
Kristin R.B. White Denver Partner, Co-Chair
BACK TO HOME
Made with FlippingBook - Online magazine maker