Over half of the world’s countries produce oil and gas, which occasionally leads to fatalities and injuries, specifically skin burns among workers in the oil and gas fields (OGFs) due to fire hazards, i.e., flash fire. Hence, flame-resistant clothing (FRC) is a requirement for OGF workers. To ensure safety, it’s important to regulate and verify the thermal protective performance (TPP) of FRCs, which depends on their constituent materials (i.e., fiber, yarn, and fabric). Also, the workplaces of OGFs are full of multiple oily substances, including hazardous and flammable liquids, i.e., crude oil, drilling fluid, pipe dope, etc. Most workers frequently come into contact with these substances, which can contaminate their FRCs and affect their TPP. This article provides a systematic review of how the physical and mechanical factors of fiber, yarn, fabric, and clothing design impact the TPP of FRC. Also, the presence of different substances in the OGF and their impact on the TPP has been thoroughly discussed to provide a holistic understanding of the parameters influencing the TPP. Additionally, the current limitations and challenges of FRC have been described, along with potential solutions that can benefit future research to improve the TPP of OGF workers’ protective clothing.