Why Two People Doing Similar Jobs Can Earn Very Different Money

One of the biggest attractions of the resources sector is earning potential.

Mining, oil and gas and other resource sector jobs can offer salaries and allowances that are significantly different from comparable roles in other industries.

But there is an important catch: the job title alone doesn't tell you what someone is actually earning.

Two people doing similar work can have very different total remuneration packages.

Base salary isn't the whole story

When comparing resources jobs, workers should look beyond the headline salary.

A package might include base pay, site allowances, overtime, bonuses, travel allowances, accommodation, meals and other benefits.

Some workers are paid hourly, while others are on annual salaries.

Some positions involve substantial overtime. Others have fixed rosters and predictable hours.

As a result, two workers with the same job title can have noticeably different annual incomes.

A job advertising a large annual figure might involve significantly longer working hours than another position offering a lower base salary.

That's why comparing total conditions is important.

Roster can make a huge difference

FIFO rosters can vary substantially.

A worker might be on an 8/6 roster, while another works 2/1 or a longer swing. Some specialist roles may involve different arrangements depending on the project.

The roster affects more than lifestyle.

It can influence the number of days worked, overtime, travel requirements and how much time a person spends away from home.

When considering a job offer, calculate what the package actually means across a full year.

A slightly lower-paying position with a better roster may provide a much better overall lifestyle.

Experience can have a major impact

Resources employers often place significant value on experience.

Someone who has spent years working safely and productively on particular equipment can be more valuable than a new starter with minimal site experience.

This can create a career progression path.

Workers may start in entry-level or junior positions, develop competence, take on more responsibility and eventually move into senior operational, technical or supervisory roles.

The important point is that your earning potential doesn't necessarily stay where it starts.

Skills and experience can increase your value.

Location and project type matter

Where you work can also affect remuneration.

Remote projects can involve different allowances and conditions compared with operations closer to major population centres.

Specialist projects may also offer different packages depending on the skills required.

Oil and gas projects, mining operations, construction projects and shutdown work can all have different employment structures.

This is one reason it's difficult to provide a single "average FIFO salary" that accurately represents the whole industry.

A more useful approach is to ask:

What is the total package, what are the working hours, and what does the roster look like?

Don't chase salary blindly

Money is important, but there are other factors worth considering.

Ask about:

• Roster and swing length
• Travel arrangements
• Accommodation
• Working hours
• Overtime
• Bonus structures
• Training
• Career progression
• Job security
• Site conditions
• Location
• Leave arrangements

A job paying an extra $20,000 per year isn't necessarily better if it involves significantly more time away from home or much longer working hours.

Likewise, a lower-paid entry-level job could be an excellent choice if it provides a pathway into a highly skilled trade or technical position.

Your earning potential can grow with your skills

One of the most attractive aspects of resources careers is the range of skills that can be developed.

Workers who build experience in areas such as heavy equipment, electrical systems, automation, instrumentation, maintenance, drilling, processing or technical services may have opportunities to move into increasingly specialised positions.

For someone entering the industry, the best long-term strategy may not be finding the highest-paying job available today.

It may be finding the job that gives you the best combination of income, experience and future opportunity.