Trickle down wreckonomics.
Expect 'ripple effect' from slowdown in Alberta oil patch: economist
Declining oil prices are dissolving thousands of jobs in Alberta, and it's certain that cancelled and delayed projects out west will have a significant impact on commuting workers from Newfoundland and Labrador, an economist says.
Although Alberta's industry is expected to rebound after a three-year downturn, Bob Collins, an economist with BuildForce Canada, says the current downturn will be equally tough for the thousands of men and women who travel west for a paycheque.
In an interview with the St. John's Morning Show, Collins said the situation in Alberta is far from settled.
"It's still unfolding in front of our eyes in the sense that we came into the end of last year with the signals of declining oil prices. But [what] we really started hitting in 2015 was the postponement and cancellation of projects, and so that obviously had a very large impact in terms of the job losses," he said.
"We're looking at it to continue all across this year and into next year. So as things unfold, this will be spread throughout the Alberta economy, not just necessarily the oil patch, but as well as all segments in construction in Alberta. The ripple effects are felt in other parts of the country, such as Newfoundland and Labrador."
BuildForce Canada, formerly known as the Construction Sector Council, is an organization that studies labour market needs for the Canadian construction industry.
Collins said the pinch of the current downturn will carry well into 2016, and predicts that perhaps the worst is yet to come.
..more...
http://www.cbc.ca/m/news/canada/new...down-in-alberta-oil-patch-economist-1.3004871
Expect 'ripple effect' from slowdown in Alberta oil patch: economist
Declining oil prices are dissolving thousands of jobs in Alberta, and it's certain that cancelled and delayed projects out west will have a significant impact on commuting workers from Newfoundland and Labrador, an economist says.
Although Alberta's industry is expected to rebound after a three-year downturn, Bob Collins, an economist with BuildForce Canada, says the current downturn will be equally tough for the thousands of men and women who travel west for a paycheque.
In an interview with the St. John's Morning Show, Collins said the situation in Alberta is far from settled.
"It's still unfolding in front of our eyes in the sense that we came into the end of last year with the signals of declining oil prices. But [what] we really started hitting in 2015 was the postponement and cancellation of projects, and so that obviously had a very large impact in terms of the job losses," he said.
"We're looking at it to continue all across this year and into next year. So as things unfold, this will be spread throughout the Alberta economy, not just necessarily the oil patch, but as well as all segments in construction in Alberta. The ripple effects are felt in other parts of the country, such as Newfoundland and Labrador."
BuildForce Canada, formerly known as the Construction Sector Council, is an organization that studies labour market needs for the Canadian construction industry.
Collins said the pinch of the current downturn will carry well into 2016, and predicts that perhaps the worst is yet to come.
..more...
http://www.cbc.ca/m/news/canada/new...down-in-alberta-oil-patch-economist-1.3004871