Texas Breaks Employment Records as Oil and Gas Sector Fuels Growth
(The Center Square) – By Bethany Blankley, with analysis by Michael Pipkins
Texas once again leads the nation in job creation, shattering employment records in August, according to the latest data reported by The Center Square. The numbers reveal more than just raw job growth—they tell the story of a state whose economic engine continues to run on oil, gas, and energy innovation, even as Washington policies, global uncertainty, and environmental pressure threaten to slow it down.
At the center of this resilience is the Texas upstream oil and natural gas industry. After losing 1,400 jobs in July, the sector regained traction in August, adding 200 upstream jobs. While modest, that uptick pushed total upstream employment to 205,100. The numbers reflect an internal shift: 200 fewer oil and gas extraction jobs, but 400 more in oilfield services.
The Texas Oil & Gas Workers Association put those figures into perspective:
“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%.”
That 1% growth may seem small in isolation, but it is part of a longer arc showing how Texas continues to outperform national trends. The state’s energy workers are still earning some of the highest wages in the country, averaging $128,000 annually in 2024, even as other industries stagnate under inflationary pressures.
Understanding the Upstream Engine
The term “upstream” in oil and gas refers to the front end of the energy cycle—exploration, drilling, and extraction. In Texas, that means rigs in the Permian Basin, wells in the Eagle Ford Shale, and operators spread across the Panhandle.
What upstream doesn’t cover is equally important: refining, petrochemicals, pipelines, utilities, and oilfield equipment manufacturing. Those sectors—considered “midstream” and “downstream”—are vital, but they depend on the foundation upstream provides. Without upstream extraction, Texas would not be able to power its refineries, fill its pipelines, or support its vast export infrastructure.
In effect, upstream is the tip of the spear. Its performance signals the health of the entire Texas energy economy.
Resilience in a Time of Uncertainty
August’s rebound is notable precisely because it came after two straight months of job losses. In June and July, the sector shed a combined 2,000 jobs, reflecting global price volatility and forecasts of supply-demand imbalances.
Todd Staples, president of the Texas Oil & Gas Association (TXOGA), emphasized that August’s slight gains show the industry is adapting:
“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.”
Those “global uncertainties” are not small. OPEC+ production cuts, geopolitical conflicts, and regulatory bottlenecks in Washington all weigh on the sector. Add to that environmentalist pressure to “phase out fossil fuels,” and Texas operators face a landscape in which success is anything but guaranteed.
Yet, rather than retreat, Texas firms continue to innovate, hedge against risk, and deploy new technologies that make drilling safer and more efficient.
The Labor Market: Job Postings Surge
Employment data from the Texas Independent Producers and Royalty Owners Association (TIPRO) reveals just how hungry the market is for skilled labor.
In August, Texas posted 10,154 unique oil and gas job openings, compared to 8,853 in July. Of those, 3,806 were new postings. By contrast, Pennsylvania had fewer than 3,000 postings, California just over 2,500, Ohio 2,322, and Illinois 2,014.
Nationwide, nearly 60,000 job postings were listed across the oil and natural gas sector last month, including more than 20,000 new openings. Texas not only dominated the numbers but also the geography of opportunity. The top four cities for job postings—Houston, Midland, Dallas, and Odessa—were all in Texas.
Among the 19 industry subsectors TIPRO tracks, the most job listings came from Support Activities for Oil and Gas Operations. Other leading subsectors included Gasoline Stations with Convenience Stores, Petroleum Refineries, and Pipeline Transportation of Natural Gas.
Ed Longanecker, TIPRO’s president, said the trends point toward continued growth:
“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. 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.”
Longanecker’s reference to AI-driven data centers highlights an underappreciated aspect of the energy story: the digital revolution runs on electricity, and that electricity still overwhelmingly comes from natural gas. Far from being “obsolete,” fossil fuels are powering the very technologies that environmentalists say will define the future.
Tax Revenue Surges with Production
Texas’ energy sector doesn’t just provide jobs—it fills the state’s coffers. In August, oil producers paid $445 million in oil production taxes, the highest level in six months. Natural gas producers paid $194 million in production taxes, representing a 143% increase over the year.
Those tax revenues flow into the state’s General Revenue Fund and the Economic Stabilization Fund—better known as the “Rainy Day Fund.” In practical terms, every barrel pumped in the Permian helps pay for Texas schools, roads, and infrastructure.
For a state that prides itself on low taxes and fiscal conservatism, the oil and gas sector’s tax contributions remain indispensable.
Texas vs. Washington: Competing Visions
While Texas celebrates job growth, Washington has charted a different course. The previous Biden administration had leaned heavily into green energy subsidies, EPA regulations, and restrictions on leasing federal lands for drilling. Critics argue that these policies undermine U.S. energy independence, making America more reliant on foreign sources.
Texas, by contrast, has doubled down on fossil fuels, while also investing in renewable energy where market conditions make sense. The result is a hybrid model that secures reliable baseload power while fostering innovation.
The data suggests Texans aren’t waiting for federal permission. They are drilling, producing, hiring, and exporting—driving both the state and national economy forward.
What It Means for Texans
For everyday Texans, the numbers translate into several realities:
- High-paying jobs: At an average salary of $128,000, upstream jobs remain a path to middle-class stability and upward mobility.
- Local prosperity: Towns like Midland and Odessa live and die by energy cycles. August’s rebound means more paychecks, more tax revenue, and stronger local economies.
- Energy security: The more Texas produces, the less America must import from unstable regimes abroad.
- Political leverage: With Texas leading in production and job creation, the state carries significant influence in national energy debates.
At the same time, challenges remain. Energy jobs are cyclical, tied to commodity prices. Inflation continues to eat into wages. And environmental policy battles show no sign of abating.
A Broader Economic Picture
Texas’ leadership in job creation isn’t confined to energy, but energy remains its backbone. The latest employment data proves that when oil and gas thrive, the broader Texas economy benefits.
As global markets shift and federal policies evolve, Texas will continue to chart its own path—balancing innovation with tradition, and resilience with risk.
The August rebound may look like a blip on a chart. In reality, it is a reminder that Texas’ economic future remains intertwined with the industry that put it on the map. Oil and gas are not relics of the past. They are the foundation of a modern, growing, and increasingly dynamic state.
Attribution: Original reporting by Bethany Blankley of The Center Square. Additional analysis and commentary by Michael Pipkins.
Business
Red Oak Leaders Push Through Massive Data Center Despite Packed Opposition
RED OAK, Texas — It was standing room only, overflow rooms packed, and tempers running high. Yet after hours of objections from residents, a divided Red Oak City Council voted around midnight to approve a massive data center project, leaving many citizens convinced their elected officials had already made up their minds long before the first speaker approached the podium.
The May 11 meeting drew such a crowd that even reporters struggled to get inside. According to Fox 4 News, the council chamber seats 136 people, and at least 70 additional residents had to wait outside or gather in a separate room because of capacity limits. The issue before the council was a proposal to rezone more than 800 acres of farmland for what would become another large data center development. Residents packed the meeting to oppose it. By multiple accounts, no organized speakers appeared in support of the project.
According to Fox 4, city leaders allotted one hour for supporters and one hour for opponents to speak. Residents later complained that the process appeared tilted against citizens because there were virtually no supporters present, while opponents continued lining up to address the council.
The proposal ultimately involved rezoning approximately 830 acres and included a tax abatement package approved by a 4 to 1 vote. Fox 4 reported the council entered executive session for nearly an hour before returning shortly before midnight to cast the decisive vote. Residents who remained said they were willing to stay until 2 a.m. if necessary.
Mayor Mark Stanfill and council members Willie Franklin Jr., Ricardo Miller, and Tim Lightfoot formed the majority approving the measure. Councilman Jeffrey Smith cast the lone dissenting vote. Critics say the four officials effectively ignored overwhelming public opposition and pressed ahead anyway.
Residents repeatedly raised concerns about noise, electrical demand, water consumption, and the location of the facility near schools. City officials argued the project would not use city water for cooling and emphasized the economic benefits and tax revenue expected from the development.
Those assurances did little to calm residents.
“How many of these data centers are next to your house, Mr. Mayor? How many are on the east side of town?” resident Martel Edwards asked during the meeting.
Kim Sterman expressed concern about children attending nearby schools.
“We don’t know what’s going to happen to the children who are going to be going to schools,” Sterman said. “All of our schools over there, the high school and the junior high are going to be pretty close to this new patent board facility. Y’all don’t know what’s going to happen.“
Residents also complained that city officials threatened individuals displaying anti-data center signs on their property, allegations reported separately by local media and discussed by residents during and after the controversy. Those claims could not be independently verified by Pipkins Reports.
The battle in Red Oak reflects a growing national trend. Data centers are essential to modern computing and artificial intelligence systems. But communities across Texas and the country have increasingly questioned the rapid expansion of these facilities.
Critics point to concerns over electricity demand, environmental impacts, noise, and the industrialization of previously rural land. Some studies and utility reports have warned that rising AI related power consumption could place additional stress on electric grids and contribute to higher costs for consumers.
Residents expressed frustration that another major project was being approved despite widespread opposition. Some expressed that the process to replace the Mayor and other City Council members, began last night and that the action they have taken regarding the Data Center has sealed their fate.
Sources: Red Oak YouTube; Fox 4 News; City of Red Oak records;
Austin
Israel’s Investment Is Creating Quality Texas Jobs
Texas — In the rough and tumble world of modern politics, it seems nearly everything has become a partisan battlefield. Yet amid the endless political shouting, one alliance continues to produce tangible results for working Texans: the economic partnership between the United States and Israel.
While national headlines often focus on military cooperation or foreign policy disputes, a quieter story has been unfolding across Texas. Israeli companies have invested billions of dollars in the Lone Star State, bringing manufacturing, technology, defense innovation, and thousands of jobs along with them.
According to data reported by state and industry sources, Israeli businesses have invested approximately $3.2 billion in Texas over the past decade, supporting more than 4,200 jobs. Those investments stretch from Fort Worth’s defense sector to Austin’s growing energy technology industry. For many Texans, the U.S., Israel relationship is not an abstract diplomatic concept. It is a paycheck, a career opportunity, or a growing local economy.
One of the most visible examples is Elbit Systems of America, the U.S. subsidiary of Israeli defense technology giant Elbit Systems. Headquartered in Fort Worth, the company develops advanced defense, aviation, homeland security, and electronic systems used by American military forces and government agencies. Luke Savoie is President and CEO-elect. The company reports more than 3,300 employees nationwide and maintains its corporate headquarters in Texas.
The Fort Worth operation has become a significant contributor to the local economy. Company officials have previously reported employing hundreds of Texans at multiple facilities in the region while supporting a broader network of suppliers and contractors throughout the state.
The company’s work also illustrates how the relationship functions in practice. Israeli research and development capabilities are combined with American manufacturing, engineering, and workforce talent. The result is technology that supports U.S. military readiness while generating jobs and investment at home.
That model has expanded beyond defense. Another Israeli company, SolarEdge Technologies, has established a major manufacturing presence in Austin through its partnership with Flex. In June 2025, the company announced that its Austin facility had produced its 250,000th solar inverter, a milestone that drew recognition from Governor Greg Abbott. The company stated that the operation has created more than 1,000 high quality jobs in Texas.
Solar inverters are a critical component of renewable energy systems, converting electricity generated by solar panels into usable power. SolarEdge officials say the Austin facility supports domestic manufacturing while helping strengthen American energy infrastructure. The company has also expanded exports of products manufactured in the United States to international markets.
SolarEdge Chief Executive Officer Shuki Nir recently emphasized the importance of American manufacturing, stating that exporting U.S. manufactured products demonstrates the company’s commitment to meeting demand for American made quality, reliability, and innovation around the world.
These investments have received support from Texas leaders across the political spectrum. Governor Abbott has repeatedly promoted economic ties with Israel, highlighting the state’s growing role as a destination for Israeli technology, energy, and defense companies. The governor’s office formally recognized SolarEdge’s Austin manufacturing milestone in 2025, citing its contributions to job creation and domestic production.
The economic relationship reflects a broader pattern. Texas has long attracted foreign investment because of its business friendly climate, skilled workforce, and strategic location. Israeli firms, known globally for innovation in defense, cybersecurity, energy, and technology sectors, have increasingly viewed Texas as a natural partner. The combination has proven profitable for both sides. Israeli companies gain access to American markets and talent, while Texas communities receive investment, jobs, and expanded industrial capacity.
Disclosure: Pipkins Reports is not affiliated with Elbit Systems of America or SolarEdge Technologies. No compensation or other consideration was received from either company for the writing or publication of this article.
Business
California’s Billionaire Wealth Tax Sends Rich People Fleeing to Texas and Florida
Google Co-Founder Heads to Florida
Sacramento, CA. – A seismic shift in California’s economic landscape is quietly underway as lawmakers and union backers push a controversial billionaire wealth tax. What was pitched as a modest 5 percent levy on the ultra-wealthy has exposed more serious threats to innovation and property rights — and it has already driven one of the state’s most famous founders out of California. Google co-founder Larry Page has relocated to Florida, driven in part by provisions in the tax that could assess billions of dollars on unrealized gains tied to super-voting Class B stock.
The proposal — officially titled the 2026 Billionaire Tax Act — would impose a one-time 5 percent charge on the net worth of individuals whose worldwide assets exceed $1 billion as of January 1, 2026. Supporters frame it as a targeted revenue source for healthcare, food assistance, and education, critics warn the tax’s mechanics could reshape American capital formation.
What the Proposal Actually Does
Under the initiative, wealth is defined as total global net worth, including publicly traded stocks, private business interests, intellectual property, and other assets — excluding most real estate and certain retirement accounts. Rather than taxing only realized income, the tax includes unrealized gains in asset value. That means founders may owe tax on increases in stock value they have never sold.
The language of the proposal goes a step further: it treats voting power as though it were equivalent to economic ownership for founders with dual-class stock structures. In Silicon Valley, it is common for founders to hold Class B super-voting shares that confer control with far less economic interest than voting interest. Under the initiative’s valuation rules, a founder with 3 percent of a company’s economic shares but 30 percent voting control could be treated, for tax purposes, as owning 30 percent of the company — multiplying their taxable wealth many times over.
Economists have pointed out that this “voting power equals ownership” assumption effectively taxes phantom wealth — value that exists on paper but is not proportionate to actual economic ownership. The result: tax bills far greater than a simple 5 percent of net worth might suggest, particularly for founders of tech companies structured around dual-class stock.
Exodus of Billionaires Begins
The reaction among California’s wealthy has been dramatic. Larry Page, whose super-voting Class B shares give him outsized control at Alphabet, has purchased multiple high-value properties in Florida and moved many business entities out of California. His relocation comes amid widespread concerns that the wealth tax could penalize founders disproportionately based on voting shares rather than actual economic stake.
Venture capitalist Peter Thiel has also publicly mobilized against the tax, donating millions to efforts to defeat it and shifting aspects of his business operations to Miami. Other tech leaders and investors are reconsidering their California footprint, with some establishing offices or residences in states like Texas or Florida.
Economic and Legal Concerns
Economists and legal scholars caution that enforcing a tax on unrealized gains is inherently complex. Valuing privately held assets and dual-class stock structures invites disputes and litigation. The retroactive assessment based on residency at a fixed date could expose residents to significant tax bills even if they had intended to leave the state before the tax was implemented.
Critics also argue that using voting power as a proxy for economic value could violate constitutional protections against uncompensated takings, as it effectively treats control rights — not purely economic interest — as taxable property. Legal challenges are almost certain if the measure qualifies for the ballot and is approved by voters.
Political Clash
Supporters, including union leaders and some progressive advocates, say the tax would help fill budget gaps in healthcare and social services created by federal spending cuts. They maintain that the ultra-wealthy have benefited disproportionately from California’s economy and should contribute more.
Governor Gavin Newsom (D), has distanced himself from the proposal, warning that it threatens investment and could accelerate capital flight. Business groups such as the California Chamber of Commerce and the California Business Roundtable have echoed those warnings, describing the tax as a “dangerous wealth tax” that could harm the state’s competitiveness.
Broader Implications
California’s billionaire tax debate has quickly transcended local politics to become a national test case. If approved by voters in November 2026, it could encourage similar initiatives elsewhere, particularly in high-tax states. At the same time, the backlash has highlighted the risks of taxing unrealized gains — a feature that economists and tax policy experts say is untested and could disrupt capital formation.
For states like Texas and Florida, which champion low taxes and economic freedom, California’s experiment presents both a contrast and an opportunity. As capital and executives reassess their domiciles, the business climate and economic growth of states without such wealth taxes may benefit.
Larry Page’s move to Florida is not just a personal choice. It is a symbolic indicator of where capital flows in response to policy. Once talent and wealth leave, they seldom return. California’s experiment in wealth taxation should give pause not only to its voters but to every state considering similar schemes.
Sources:
Tax Foundation, “The Proposed California Wealth Tax Is Far Higher than 5 Percent,” January 2026.
California Attorney General Initiative Text, “2026 Billionaire Tax Act.”
Business Insider, “Larry Page Continues His California Exile with Florida Property Purchases,” January 2026.
Yahoo Finance, “Peter Thiel’s $3 Million Donation to Defeat California Wealth Tax,” January 2026.
WebProNews, “Dual-Class Voting Share Valuation Sparks Silicon Valley Outrage,” January 2026.
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