Ever since the oil price crash of 2014, Louisiana’s economy simply hasn’t been the same. Overall job growth has risen by less than 1% in the last dozen years, far below the national average of 11.5%. That’s according to the Louisiana-based research firm known as The Data Center.
In the company’s report, on oil and gas employment in Louisiana, co-author Alex Kolker blames not only the 2014 oil price crash, but also the state's ensuing dependence on limited construction booms, typically in short-term windows, most often tied to liquified natural gas (LNG) and petrochemical projects.
As Kolker elaborated, “You can see there’s big spikes in employment. But often it’s only just a couple years where there’s a spike in employment and then employment drops.” In real numbers, Kolker says the state is down 15,000 drilling sector jobs, along with another 5,000 water transportation jobs. Those positions involve taking people to offshore rigs.
For a broader perspective, In 2025, the Louisiana Mid-Continent Oil and Gas Association (LMOGA) trade association released a study, conducted by economist Stephen Barnes, Ph.D., which revealed oil and gas still represents 25% of the state’s overall economy, with 306,750 energy jobs, or 15% of the state’s total employment.
As the Louisiana Radio Network reports, Kolker says while oil and gas provide comparatively high-paying middle-skill jobs, he doesn't think Louisiana can rely on it to grow employment numbers. Kolker then rhetorically asked, “Can we come up with other parts of the economy that are less tied to oil and gas, so that we can be more diversified for when these price crashes come?”
Kolker’s question is a big one to answer when you consider that oil prices dropped nearly 50% in the second half of 2014 during that year's infamous oil price crash.
