(The Center Square) – Texas led the U.S. in job growth over the year in August and broke employment records again last month, according to the latest employment data, The Center Square reported.
Contributing to this growth was the Texas upstream oil and natural gas industry sector, which added 200 upstream jobs in August compared to July.
Direct Texas upstream employment last month totaled 205,100. While it represents an increase of 200 jobs over the month, the total also represents a decrease of 200 jobs in oil and gas extraction and an additional 400 jobs in the services sector, according to the data.
This is after jobs in the sector fell by 1,400 `in July over the month, The Center Square reported. “Despite declines in June and July, year-to-date growth remains positive,” the Texas Oil & Gas Workers Association said.
“Growth for this calendar year so far remains a positive 4,200 upstream jobs, and at 205,100 upstream jobs, compared to the same month in the prior year, August 2025 jobs were up by 2,000, or 1.0%,” the association said.
The upstream sector involves oil and natural gas extraction and some types of mining. It excludes other industry sectors like refining, petrochemicals, fuels wholesaling, oilfield equipment manufacturing, pipelines, and gas utilities that support hundreds of thousands of additional jobs statewide. Industry jobs pay among the highest wages in Texas, with an average salary of $128,000 in 2024.
“The August employment gains are a welcome sign of the Texas oil and natural gas industry’s resilience. Despite forecasts of a supply and demand imbalance and persistent global uncertainties, companies are adapting to manage risk and continue delivering the reliable energy that powers modern life,” TXOGA President Todd Staples said.
There were also strong job postings for the industry last month, according to an analysis of employment data from the Texas Independent Producers and Royalty Owners Association (TIPRO). There were 10,154 active unique job postings for the Texas industry last month, compared to 8,853 postings in July, and 3,806 new postings, compared to 3,840 in the previous month, it said.
By comparison, there were 2,981 unique job postings in Pennsylvania, 2,563 in California, 2,322 in Ohio and 2,014 in Illinois last month, according to TIPRO’s analysis. Nationwide, there were nearly 60,000 unique job postings in the oil and natural gas sector last month, including more than 20,000 new postings, it said.
Among the 19 specific industry sectors TIPRO uses to define the industry, Support Activities for Oil and Gas Operations had the most job listings last month, followed by Gasoline Stations with Convenience Stores, Petroleum Refineries and Pipeline Transportation of Natural Gas. The top four cities with the most unique oil and natural gas job postings were all in Texas: in Houston, Midland, Dallas and Odessa, according to jobs data.
“The Texas oil and natural gas industry remains vital for job creation, innovation and energy security, with 2025 employment trends driven by a variety of dynamic factors,” TIPRO president Ed Longanecker said. “Federal policies, including faster permitting and expanded LNG export approvals, along with transformative investment in AI-driven data centers, will support increased export activity, creating high paying jobs in midstream, gas-fired generation and export infrastructure in the coming years.”
Texas oil and natural gas tax contributions were also high last month, according to state comptroller data. Oil producers paid $445 million in oil production taxes, a six-month high. Natural gas producers paid $194 million in production taxes, a 143% increase over the year.
