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Alberta

$1,200.00 boost for “Alberta’s critical workers”

Published

9 minute read

From the Province of Alberta

$465 million for Alberta’s critical workers

Hundreds of thousands of workers who continue to provide critical services to Albertans during the COVID-19 pandemic will receive a one-time payment in recognition of their hard work and sacrifice.

The Critical Worker Benefit is a joint federal-provincial program that will see $465 million go to approximately 380,000 Alberta public and private sector workers as $1,200 cash payments.

“These workers have placed themselves at the front line of this pandemic in order to serve their fellow citizens during a crisis. Alberta’s government is recognizing their good work. We trust this support will help these workers continue to protect lives and livelihoods as we keep fighting this pandemic together.”

Jason Kenney, Premier

The Critical Worker Benefit will be available to workers in the health-care, social services, education and private sectors who deliver critical services to Albertans or support food and medical supply chains.

“I want to thank all the hard-working staff who have gone above and beyond their regular call of duty to support their fellow Albertans throughout this pandemic. This Critical Worker Benefit will go right into the pockets of hard-working Albertans on the front line who have made sacrifices in their own lives for the greater good and well-being of others.”

Jason Copping, Minister of Labour and Immigration

To be eligible for the benefit, employees must have worked a minimum of 300 hours during the period of Oct. 12, 2020 to Jan. 31, 2021.

“Since the start of this pandemic, we have been deemed an essential service and our store, pharmacy and distribution centre teammates have stepped up to support Albertans and all Canadians. We know that our teammates will be thankful for this recognition and additional support from the Government of Alberta.”

Andrew Follwell, vice-president, HR, Labour Relations and IHM, Sobeys Inc.

Under the health-care sector, approximately 161,000 eligible employees will receive the Critical Worker Benefit. These eligible occupations include orderlies and patient service associates, respiratory therapists and technologists, nurses (RNs, RPNs, LPNs), food services, housekeeping and maintenance workers and unit clerks.

“I’m proud to see this acknowledgment of our front-line health-care workers. Their continued dedication over the past 11 months caring for patients with COVID-19, but also continuing to provide other important health-care services, has shown tremendous resilience. Their dedication is the strength of our health system and this is just one small way that we can recognize it.”

Tyler Shandro, Minister of Health

In the social services sector, approximately 45,000 workers will receive the benefit. Some of the eligible occupations include community disability service workers and practitioners, personal care aides, child development workers, family and youth counsellors, crisis intervention and shelter workers, home support workers, seniors lodge staff, cleaners, food preparation and maintenance workers.

“It has been due to the tremendous efforts of the front-line staff in seniors housing, that our most vulnerable are safe. The precautionary measures workers have taken within their homes and workplaces, where others’ wellness was prioritized over earning potential and personal enjoyments, is why this acknowledgment is so important. This shows appreciation for those our province has had to depend on to keep seniors healthy, happy and safe in licensed supportive living, including lodges, since the onset of the pandemic.”

Irene Martin-Lindsay, executive director, Alberta Seniors and Community Housing Association (ASCHA)

“Every day, thousands of workers across Alberta support vulnerable people with disabilities and those relying on services provided by shelters. These workers are committed to ensuring people are safe and included in our communities. This benefit acknowledges their extraordinary efforts during the pandemic to provide compassionate and essential care for vulnerable Albertans.”

Rajan Sawhney, Minister of Community and Social Services

“Community group care workers and support staff, as well as early childhood educators, have played a critical role in keeping children and youth safe and healthy throughout this pandemic – including staying open or reopening early on to support families. I want to share my sincere gratitude for all their hard work and dedication during these challenging times.”

Rebecca Schulz, Minister of Children’s Services

“Alberta’s seniors lodge workers and unique home operator staff have gone above and beyond to maintain a safe environment for their residents. I am extremely appreciative for the hard work, dedication, and effort of the front-line workers who support seniors and ensure they remain safe during the pandemic.”

Josephine Pon, Minister of Seniors and Housing

Up to 36,000 workers in the education sector will also be eligible to receive the benefit. This includes teacher assistants, bus drivers, custodians and cleaning staff, and administration support.

“Despite the unique challenges that come with learning during a pandemic, students in Alberta continue to receive a world-class education. This is possible thanks to the hard work of thousands of dedicated education workers. This benefit recognizes their determination to go above and beyond for Alberta’s students.”

Adriana LaGrange, Minister of Education

“Bus drivers across the province have worked tremendously hard to keep students safe while going to and from school. This benefit helps recognize tremendous work done by these essential workers.”

David Shaw, president, Student Transportation Association of Alberta

In addition, eligible private sector workers making $25 or less will qualify for the benefit. These workers include: critical retail workers in grocery stores, pharmacies and gas stations; private health provider workers, such as dental assistants, massage therapists and medical administration assistants; food manufacturing and processing workers; truck transportation workers, such as truck drivers and delivery and courier services drivers; and warehouse and storage workers, such as shippers and receivers.

Eligible public sector employees do not need to apply to receive the benefit. Employers will automatically receive the payment through the Government of Alberta to distribute to their eligible employees.

Private sector employers can apply on behalf of eligible employees at alberta.ca/criticalworkerbenefitas of Feb. 17. Employers have until March 19 to apply.

Employers will be responsible for distributing the $1,200 Critical Worker Benefit to their eligible employees.

For detailed information on eligibility and how to apply, please visit alberta.ca/criticalworkerbenefit.

Alberta’s government is responding to the COVID-19 pandemic by protecting lives and livelihoods with precise measures to bend the curve, sustain small businesses and protect Alberta’s health-care system.

Quick facts

  • Alberta’s government contributed $118 million toward the $465-million program.
  • The breakdown of benefit recipient is:
    • Up to $195 million in the health-care sector supporting more than 161,000 workers.
    • Up to $55 million toward the social services sector supporting more than 45,000 workers.
    • Up to $45 million toward the education sector supporting more than 36,000 workers.
    • Up to $170 million toward the private sector supporting more than 140,000 workers.
  • Previously allocated:
    • $12 million for health-care aides
    • $14.4 million for adult congregate care workers
    • $3.62 million for children’s congregate care workers

After 15 years as a TV reporter with Global and CBC and as news director of RDTV in Red Deer, Duane set out on his own 2008 as a visual storyteller. During this period, he became fascinated with a burgeoning online world and how it could better serve local communities. This fascination led to Todayville, launched in 2016.

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Alberta

Low oil prices could have big consequences for Alberta’s finances

Published on

From the Fraser Institute

By Tegan Hill

Amid the tariff war, the price of West Texas Intermediate oil—a common benchmark—recently dropped below US$60 per barrel. Given every $1 drop in oil prices is an estimated $750 million hit to provincial revenues, if oil prices remain low for long, there could be big implications for Alberta’s budget.

The Smith government already projects a $5.2 billion budget deficit in 2025/26 with continued deficits over the following two years. This year’s deficit is based on oil prices averaging US$68.00 per barrel. While the budget does include a $4 billion “contingency” for unforeseen events, given the economic and fiscal impact of Trump’s tariffs, it could quickly be eaten up.

Budget deficits come with costs for Albertans, who will already pay a projected $600 each in provincial government debt interest in 2025/26. That’s money that could have gone towards health care and education, or even tax relief.

Unfortunately, this is all part of the resource revenue rollercoaster that’s are all too familiar to Albertans.

Resource revenue (including oil and gas royalties) is inherently volatile. In the last 10 years alone, it has been as high as $25.2 billion in 2022/23 and as low as $2.8 billion in 2015/16. The provincial government typically enjoys budget surpluses—and increases government spending—when oil prices and resource revenue is relatively high, but is thrown into deficits when resource revenues inevitably fall.

Fortunately, the Smith government can mitigate this volatility.

The key is limiting the level of resource revenue included in the budget to a set stable amount. Any resource revenue above that stable amount is automatically saved in a rainy-day fund to be withdrawn to maintain that stable amount in the budget during years of relatively low resource revenue. The logic is simple: save during the good times so you can weather the storm during bad times.

Indeed, if the Smith government had created a rainy-day account in 2023, for example, it could have already built up a sizeable fund to help stabilize the budget when resource revenue declines. While the Smith government has deposited some money in the Heritage Fund in recent years, it has not created a dedicated rainy-day account or introduced a similar mechanism to help stabilize provincial finances.

Limiting the amount of resource revenue in the budget, particularly during times of relatively high resource revenue, also tempers demand for higher spending, which is only fiscally sustainable with permanently high resource revenues. In other words, if the government creates a rainy-day account, spending would become more closely align with stable ongoing levels of revenue.

And it’s not too late. To end the boom-bust cycle and finally help stabilize provincial finances, the Smith government should create a rainy-day account.

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Alberta

Governments in Alberta should spur homebuilding amid population explosion

Published on

From the Fraser Institute

By Tegan Hill and Austin Thompson

In 2024, construction started on 47,827 housing units—the most since 48,336 units in 2007 when population growth was less than half of what it was in 2024.

Alberta has long been viewed as an oasis in Canada’s overheated housing market—a refuge for Canadians priced out of high-cost centres such as Vancouver and Toronto. But the oasis is starting to dry up. House prices and rents in the province have spiked by about one-third since the start of the pandemic. According to a recent Maru poll, more than 70 per cent of Calgarians and Edmontonians doubt they will ever be able to afford a home in their city. Which raises the question: how much longer can this go on?

Alberta’s housing affordability problem reflects a simple reality—not enough homes have been built to accommodate the province’s growing population. The result? More Albertans competing for the same homes and rental units, pushing prices higher.

Population growth has always been volatile in Alberta, but the recent surge, fuelled by record levels of immigration, is unprecedented. Alberta has set new population growth records every year since 2022, culminating in the largest-ever increase of 186,704 new residents in 2024—nearly 70 per cent more than the largest pre-pandemic increase in 2013.

Homebuilding has increased, but not enough to keep pace with the rise in population. In 2024, construction started on 47,827 housing units—the most since 48,336 units in 2007 when population growth was less than half of what it was in 2024.

Moreover, from 1972 to 2019, Alberta added 2.1 new residents (on average) for every housing unit started compared to 3.9 new residents for every housing unit started in 2024. Put differently, today nearly twice as many new residents are potentially competing for each new home compared to historical norms.

While Alberta attracts more Canadians from other provinces than any other province, federal immigration and residency policies drive Alberta’s population growth. So while the provincial government has little control over its population growth, provincial and municipal governments can affect the pace of homebuilding.

For example, recent provincial amendments to the city charters in Calgary and Edmonton have helped standardize building codes, which should minimize cost and complexity for builders who operate across different jurisdictions. Municipal zoning reforms in CalgaryEdmonton and Red Deer have made it easier to build higher-density housing, and Lethbridge and Medicine Hat may soon follow suit. These changes should make it easier and faster to build homes, helping Alberta maintain some of the least restrictive building rules and quickest approval timelines in Canada.

There is, however, room for improvement. Policymakers at both the provincial and municipal level should streamline rules for building, reduce regulatory uncertainty and development costs, and shorten timelines for permit approvals. Calgary, for instance, imposes fees on developers to fund a wide array of public infrastructure—including roads, sewers, libraries, even buses—while Edmonton currently only imposes fees to fund the construction of new firehalls.

It’s difficult to say how long Alberta’s housing affordability woes will endure, but the situation is unlikely to improve unless homebuilding increases, spurred by government policies that facilitate more development.

Tegan Hill

Director, Alberta Policy, Fraser Institute

Austin Thompson

Senior Policy Analyst, Fraser Institute
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