Unemployment rates rose in December in the Calgary region and Alberta, according to Statistics Canada, despite the job gains in the province.
The federal agency reported Friday that employment rates in the Calgary area and Alberta were 4.8 and 4.7 per cent, respectively – up from 4.4 and 4.5 per cent in November.
Despite the official unemployment numbers, 2,600 new jobs were created in Calgary last month and 5,700 in the province.
Even though oil prices are low and oil companies are scaling back budgets and hiring, there’s still plenty of other activity.
Employment agency About Staffing has around 400 clients, and they’re still filling lots of part-time and full- time positions in other industries.
“Companies that are involved in transportation and distribution they’re costs are going down so they’re looking for opportunities to grow their times so we’re seeing a little growth there,” said Chris Massie of About Staffing.
Massie said small and medium-size businesses will take advantage of job cuts by large companies to fill their workforce.
It’s just trying to control spending for the next while and weather the storm.
At Bowen Workforce Solutions, recruiting hasn’t been decreasing but there has been a slow-down in permanent hiring.
“We haven’t seen any change in that contingent workforce or contractor hiring activity cause that’s safe hiring to do right now.” Said Debbie Wershler of Bowen Workforce Solutions.
It’s what happens next that’s the real unknown – but there are already some warning signs .
The Calgary Food Bank is expecting to see more people and families in January, based on higher demand in December.
“There are a definitely a lot more people coming to the Calgary Food Bank because their employment, whether it is seasonal part-time even full-time contracts have ended in December,” said food bank spokesperson Shawna Ogston.
And donations from oil and gas companies have already been pulled back.
Credit counseling agencies are already warning people to review their spending plans and make sure they have an emergency fund just in case it’s needed.
Nationally, the unemployment rate remained at 6.6 per cent.
Alberta saw monthly job gains of 5,700, up 0.2 per cent, and year-over-year employment was up 2.9 per cent, by 65,900 jobs.
In Calgary, on a month-over-month basis, employment was up by 2,600 positions or 0.3 per cent. The year-over-year increase was 17,400 jobs, or 2.2 per cent.
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