Social assistance rates lagging behind economy
Number of those able to work receiving income support well above 2014 numbers
Alberta’s economy may be recovering, but the number of residents receiving social assistance has soared to record highs.
The most recent numbers show 57,003 Albertans on income support as of Jan. 18, with 35,068 considered eligible to work.
The Community Services ministry’s 2018-19 business plan released with the provincial budget last month says the number of those able to work who are receiving income support more than doubled from just over 16,000 in 2014.
A steep decline in oil prices plunged Alberta’s economy into recession in 2015 and 2016, but the economy has been growing since then, with the province experiencing 4.5 per cent GDP growth last year.
The social assistance numbers aren’t surprising to the Calgary Food Bank, where usage continues at record levels as more than 5,000 food hampers are distributed each month.
“We haven’t seen any decline,” food bank spokeswoman Shawna Ogston said. “We’re not seeing the 25 per cent spikes every month that we did when the recession hit ... but we haven’t seen our numbers go down.”
The income support program helps those who do not have resources to meet their basic needs, including food, clothing and shelter. In January, 69 per cent of recipients were individuals, 23.5 per cent lone-parent families, 4.9 per cent couples with children and 2.6 per cent couples without children.
Ogston said people most affected by a downturn — those forced to use the food bank or go on social assistance — often are the last to benefit from an economic recovery. And she noted a strong economy can still be accompanied by poverty and underemployment.
Community Services Minister Irfan Sabir said there is always a lag between economic recovery and movement on social assistance. Factors include population growth and the desire of some unemployed workers to find different positions, meaning longer job searches and retraining periods, he said.
Sabir said the government expects income support numbers among those who are able to work will drop by four per cent in 2018 and eventually return to pre-recession levels.