Sources: Statistics Canada, 2021a; 2021b; US Energy Information Administration, 2020a; 2020b. Economic benefits of the Canada-US pipeline network: $60 billion in GDP and more than 63,400 jobs in the industry, with an average annual salary of over $80,000 The economic benefit of the Canada-US pipeline network is significant whether measured by GDP, employment numbers, or wages (see Table 3). In Canada • In 2017, the pipeline transportation industry² in Canada added nearly $9.2 billion to Canada’s GDP. • In 2019, there were 13,434 full-time equiv- alent jobs employing people in Canada’s pipeline transportation industry (Canadian Energy Pipeline Association, 2020). In the United States • In 2019, the pipeline transportation industry in the United States added over $50.5 billion to American GDP. • As of May 2019, there were 49,970 Americans employed in the United States pipeline trans- portation industry.
1. United States crude oil exports to Canada are typically light, sweet grades that are shipped mainly to Canada’s central and eastern provinc- es. 2. Industries in the Pipeline Transportation sub- sector use transmission pipelines to transport products, such as crude oil, natural gas, refined petroleum products, and slurry. Industries are identified based on the products transport - ed (i.e., pipeline transportation of crude oil, natural gas, refined petroleum products, and other products). The Pipeline Transportation of Natural Gas industry includes the storage of natural gas because the storage is usually done by the pipeline establishment and because a pipeline is inherently a network in which all the nodes are interdependent. The pipeline trans- portation subsector consists of these industry groups: Pipeline Transportation of Crude Oil: NAICS 4861, Pipeline Transportation of Natural Gas: NAICS 4862, and Other Pipeline Transpor- tation: NAICS 4869. Sources: Alberta Labour Information Service, 2020; Canadian Energy Pipeline Association, 2020; Statistics Canada 2021b; US Bureau of Economic Analysis 2020; US Bureau of Labor Statistics, 2020 and 2021. Wage comparisons: a 45 per cent premium for pipeline work According to the Alberta Labour Information Service (ALIS), the average annual salary for an
Oil Pipeline Operator and Maintenance Worker in 2020 was $80,155 (see Table 3). As of May 2019, the hourly mean wage for an employee in the pipeline transportation industry in the United States was $37.18. This is nearly 45 per cent higher than the hourly mean wage of $25.72 for all occupations in the United States (see Figure 1). Similarly, the annual mean wage³ for an employee in the pipeline transportation industry in the United States was $77,340 and thus also nearly 45 per cent higher than the annual mean wage for all occupations (see Figure 2 and Table 3). 3. Annual wages have been calculated by multiplying the hourly mean wage by a “year-round, full- time” hours figure of 2,080 hours; for those occupations where there is not an hourly wage pub - lished, the annual wage has been directly calculated from the reported survey data.
APRIL 2021 • SPOTLIGHT ON BUSINESS MAGAZINE
SPOTLIGHT ON BUSINESS MAGAZINE • APRIL 2021
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