Labour force

According to Statistics Canada’s Labour Force Survey (LFS), the Peace Country region’s employment rate1 for the working age population of 15 years and older was 72.0% in 2010 and the participation rate2 was 76.6%.  By comparison, Alberta’s employment and participation rates were considerably lower at 68.1% and 72.9%, respectively, in 2010.

The region’s unemployment rate fell to an estimated 6.1% in 2010, down from 7.7% in 2009.  This rate is lower than the provincial average of 6.5% for 2010. 

Between census years 2001 and 2006, the number of people employed in Alberta grew by 14.7% or by 239,800.  Over the same period, employment in the Peace Country region grew by an estimated 9,845 or 16.9%.  In 2006, this region made up 3.5% of Alberta’s working age population (15+ years).

Between 2006 and 2010, the region’s working age population (15+) fell by 2,700, while employment declined by more than 6,000 as a result of the global recession and the U.S. housing crisis which has had a profound impact on Alberta’s forestry sector. 

In 2010, the number of people employed in Alberta declined by 0.4% or by 8,600, after a 1.4% decline in 2009, due to the global recession.  Employment levels in the Peace Country region fell by an estimated 1,300 in 2010.  In 2010, the Peace Country region made up 3.1% of Alberta’s working age population (15+ years), compared with the region’s 3.5% share in 2006. 

According to the 2006 census, the level of educational attainment is lower for this region than for Alberta.  For the working age population of between 25 and 64 years, 35.1% had a post-secondary degree or diploma, compared with 48.1% for all of Alberta.  However, the region does have a larger share holding a trades certificate: 16.0% in the region vs. 12.4% in Alberta.  22.8% of the region’s working age population did not finish high school, higher than the Alberta average of 15.4%.

Employment Insurance Beneficiaries

In 2010, 1,790 people received regular Employment Insurance (EI) benefits3 in the Peace Country region, a 19% drop from the 2009 number of 2,200 4.  Over the same period, the number of EI recipients fell by 9% in Alberta.  As a result, the region’s share of Alberta EI recipients fell to 3.8%.  Between February 2010 and February 2011, the number of regular beneficiaries fell by an estimated 37% in the region.

The total number of income beneficiaries5 with both regular and special benefits, such as for sickness or parental leave, fell by 13% between 2009 and 2010 as virtually all of the decrease in income beneficiaries was the result of the decrease in the number of regular beneficiaries, rather than in those receiving special benefits.

Note: although this measure provides a useful gauge of unemployment it is an imperfect measure, as it excludes self-employed workers and individuals who were unemployed for more than 12 months.  At the Canadian level, the EI beneficiaries-to-unemployed ratio was fairly stable over time prior to the recession at between 40% and 45%. In Alberta, the ratio fell gradually during the economic boom years from more than 40% in 1996 to less than 25% in 2007 and the first nine months of 2008.  The ratio climbed to more than 40% in 2009 and was 36% in 2010.

Employment by Industry

In 2006, according to Statistics Canada’s census data, the services-producing sector in the Peace Country accounted for about 63% of the total number employed.  By comparison, the service sector accounted for 73% of Alberta’s employment.

The Mining and Oil and Gas industry had the largest number of individuals employed.  This industry accounted for 13% of the region’s employment, compared with the industry’s 7% share at the provincial level.  Although the region has a sizeable in-situ oil sands sub-sector, the Mining and Oil and Gas industry is dominated by conventional oil and gas production.  The region’s next largest industries in 2006 were the Retail Trade sector accounting for about 11% of regional employment and the Agriculture and Forestry sector at 10%.

Between 2001 and 2006, the Mining and Oil and Gas industry had the largest employment gain (up 3,845) because of rising oil sands output and increased drilling activity.  In the region’s third largest industry, Agriculture and Forestry, employment decreased by just over 1,000.

Although estimates from the Labour Force Survey are not very reliable6 for the small regions, it is clear from the survey’s results that employment in the Agricultural, Forestry and Retail Trade sectors has declined between 2006 and 2010, but employment in the Construction sector has risen over the same period.



1 The employment rate measures the proportion of the adult population that is employed. Employment Rate = (Employed / Population 15+)*100. High labour utilization traditionally accompanies strong economic activity.
2 The participation rate measures the proportion of the adult population that is in the labour force. Participation Rate = (Labour Force / Population 15+)*100. High labour participation is an effective indicator of the level of engagement among the working age population and traditionally accompanies strong economic activity.
3 The number of beneficiaries receiving regular benefits excludes claimants receiving training, job creation and self-employment benefits as well as other employment and support measures benefits.
4 Some of this increase was the result of Canada’s Economic Action Plan providing beneficiaries with five extra weeks of regular EI benefits in 2009 and 2010.
5 The number of beneficiaries receiving total income benefits includes both the beneficiaries receiving regular benefits and those receiving special benefits, such as for training, job creation, sickness, parental. 
6 Due to sample size problems and there not being any population control totals for non-standard geographies



Date Updated:
RDP-2489