Canada: High Employees Mean Higher Costs When Pot Legalized, Oilpatch CEOs Warn

Many oil and gas companies have strict bans on alcohol and drugs at work and some say more employees have failed drug tests in Colorado, since the state legalized marijuana in 2014.

Oilpatch CEOs fear their costs will rise when the federal government passes recently introduced legislation to legalize recreational marijuana.

The issue of drug use is closely watched in the industry, where workers tend to be young and hazards include long commutes to and from remote drilling sites, wells that produce poisonous or explosive gas and exposure to heavy machinery. Many oil and gas companies have strict bans on alcohol and drugs at work.

Precision Drilling CEO Kevin Neveu, whose Calgary-based firm operates in both Canada and the United States, says his opposition to legalization is supported by his company’s experiences in Colorado after that state legalized the drug in 2014.

He said costs there have increased for employees...

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