The economic fallout of the Alberta teachers’ strike and what comes next


Business groups in Alberta say the teachers’ strike has hurt the province’s economy, and while there is optimism about students returning to school on Wednesday, the way the dispute was resolved means more uncertainty about what’s to come.

Members of the Alberta Teachers Association have been on strike since October 6. This week, the province invoked the notwithstanding clause to force teachers to return to work, a move that has been widely criticized by labor groups, who have suggested a broader labor response could be coming.

During the time children were out of school, the province’s small businesses were affected on two fronts, according to the Alberta chapter of the Canadian Federation of Independent Business (CFIB).

First, there is the impact on productivity if parents take time off to care for their children or are pulled from work, said senior policy analyst Kayode Southwood.

SEE | Teachers react after province introduced return-to-work legislation:

Teachers react to being forced to return to work

Teachers say they are excited by the government’s decision to pass Bill 2, but will continue to fight for better conditions in classrooms.

For businesses near schools, the strike has also meant a more direct hit to their sales, he said.

Jamie Senturk, owner of a pizzeria on 17th Avenue in Calgary, near one of the city’s largest high schools, said he has seen about a 60 per cent hit to his lunchtime foot traffic and has cut back on some shifts as a result.

“As someone without children, I can’t fully understand what the parents and teachers went through during this time, but I can definitely say it had a huge impact on our business,” said Senturk, a franchise owner of Uncle Fatih’s Pizza.

Ehsan Al-Shammari, owner of another nearby restaurant popular with students, said his business has also become much quieter in recent weeks.

He believes it’s not just due to a lack of students, but the broader economic impact of thousands of teachers out of work and without pay and families staying home.

“We are experiencing the impact of the strike on our economy,” said Al-Shammari, owner of Shawarmalicious. “Not just in my restaurant, everywhere. It’s everywhere.”

Wide-reaching impact

Central Alberta chief economist Charles St-Arnaud agrees the economic impact of the teachers’ strike is broad. In a statement earlier this month, it noted that parents and especially teachers will likely have reduced their spending to account for being on strike, taking time off work to care for children or paying for additional child care, which could negatively affect other parts of the economy.

Deborah Yedlin, president and CEO of the Calgary Chamber of Commerce, said she is also concerned about the loss of class time for students preparing to enter post-secondary school. The city needs all the human capital it can get, he said, and any impact on students’ education is a potential problem.

“If you’re in a position where you have students who have missed that much time, especially if they’re in the upper grades, it should be a cause for concern,” Yedlin said.

CFIB’s Southwood said his organization hoped the strike would beUltimately it will be resolved by mutual agreement, although many businesses will still be happy to see a return to stability.

SEE | Alberta Education Minister defends the use of a notwithstanding clause:

Alberta Education Minister defends use of notwithstanding clause

The Alberta government invoked the notwithstanding clause of its return-to-work legislation, ending a teachers’ strike. The clause allows provinces to override rights guaranteed by the Charter.

But the possibility of more labor disputes on the horizon remains. The Alberta Federation of Labor has warned that the group “will not allow [the province] continue, without opposition, with its anti-democratic and anti-worker agenda.”

Speaking to reporters on Monday, President Gil McGowan would not confirm whether a coalition of union groups, known as the Common Front, could consider a province-wide strike, but said it is an option that is “under active consideration.”

Jason Foster, a labor relations professor at Athabasca University, said Alberta doesn’t have a history of widespread labor mobilization, but he didn’t rule it out.

“We are looking at unprecedented legislation,” Foster said, speaking with The current guest host Catherine Cullen. “And that could lead to an unprecedented response.”

In 2022, Ontario Premier Doug Ford’s government attempted to prohibit a strike by education workers by passing a bill to prevent the strike and impose a contract. The bill included the use of the notwithstanding clause.

In response, CUPE workers walked off their jobs, forcing the closure of hundreds of schools.

Foster said a strong response from the people of Ontario and the broader labor movement pushed Ford to back down. The province then repealed the law entirely.



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