Statoil headquarters in Stavanger, south-west Norway. Photo: Heiko Junge / NTB scanpix
Statoil, the Norwegian oil and gas giant, pay their staff an average annual wage of 1 million kroner ($153,000), the company revealed on Monday.
The booming oil business around the globe has seen the average salary in Statoil increase 44 percent higher than in 2010, just four years ago.
The company allocated 23.5 billion kroner ($3.6 billion) for salaries in 2013 and this was split among 23,115 staff, according to Statoil's annual report.
This gives an average salary of 1.02 million kroner ($155, 000). For comparison, the average salary at Norske Skog (Norwegian Wood) was 490,000 kroner ($75,000) last year.
The figures include all wage payments and perks staff members received, like company cars, free phones, homes, interest saving advantages and taxable insurances. The numbers do not cover companies’ expenses for pension and employer’s fees or one-off compensation fees connected to termination deals and downsizing payouts.
Jannik Lindbæk, Statoil's communication director, pointed out that a lot of the upturn comes due to the fact that Statoil sold many of its gas stations in 2012. Then many lower paid employees went.
Statoil has also had an increase in the number of staff members stationed abroad, a factor that increases the average wage cost per man-hour. The company has also employed many staff members in countries outside Norway who have negotiated high-level salaries in line with the oil industry standard.
Bjørn Asle Teige, staff rep for Statoil staff, believes that the salary level of Statoil has been turned up by directors and engineers on-shore. He refers to the fact only around 5,000 of Statoil's 20,000 employees in Norway work offshore. Offshore staff members have a capped salary up to 650,000 kroner ($100,000).
Teige said to Dagens Næringsliv: “With overtime they earn around 700,000 to 800,000 kroner on average. My staff members pull down the average.”