The Wall Street Journal - Essay Example

Oil prices have halved in the last six months raising concerns that the intensified price plunge will offset the benefits derived from the reduced oil prices (Zumbrun 1). The falling oil prices have forced oil producers to adopt survival measures that include layoffs of many employees. Other companies related to the oil industry are also feeling the effects of the continued reduction of oil prices. Indeed, the mining and logging industry fired 3,000 employees last month (Zumbrun 1).

Moreover, Schlumberger seeks to lay off about 9,000 employees since the plunging oil prices are jeopardizing production (Strauss 1). Hercules Offshore Inc is also planning to fire about 324 employees since oil producers are not willing to renew contracts for their offshore drilling rigs (Sparshott 1). Most notable U.S. economists assert that suppliers of U.S. oil and gas companies will fire about 40,000 employees while equipment manufacturers could lay off 5,500 employees by December this year (Zumbrun 1).

I support the need to address the issue of plunging oil prices since they threaten employment rates in the U.S. In addressing the issue, the U.S. will safeguard the jobs at oil companies, supplying, and manufacturing companies associated with the oil industry. I am grateful for your time and continued coverage of this issue.