Pawn shops benefitting from Alberta’s struggling economy

LETHBRIDGE – A recent survey by the Canadian Payroll Association suggests nearly half of Albertans are living paycheque to paycheque.

One Lethbridge woman knows that feeling all too well. She did not want to be identified, but did want to speak out about her ongoing financial struggles.

“It’s embarrassing to be honest with you, ” said the woman. “It puts things into perspective.”

Like many other struggling Albertans, she has been forced to pawn items she loves, just to pay for her bills.

“I used to come in this store and buy stuff, and I never actually thought of pawning things. But, in the last year, I have pawned an amplifier, a guitar and a few more things to make it and get by.”

At one Lethbridge pawn shop, the manager says his inventory of precious jewelry, watches and other luxury goods has doubled since oil prices began dropping last year. Stjephan Smiljanec, manager of King of Trade, says the sinking economy has driven many people, including oil workers, into his store.

“During the holidays, we see a lot of people come in due to the stress of Christmas and buying gifts. People are bringing stuff in so they have money for Christmas,” said Smiljanec.

About 35,000 Albertans have lost their jobs in the energy sector in 2015, and more cuts are expected.

Lethbridge police say crime in Lethbridge has also increased substantially 2014.

“We have seen a trend of more retail crime, more thefts, shoplifting, and that’s why we have started to attack this,” said Cst. Steve Baker. “There has been increase from 2012 to 2014 of 34 per cent.”