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Study: Inter-provincial Employees in Alberta, 2004 to 2009

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Released: 2013-09-04

The expansion of Alberta's oil and gas sector and the broader economic activity associated with it made the province an attractive destination for job seekers throughout the 2000s. While some job seekers moved to Alberta on a permanent basis, others maintained their primary residence elsewhere in Canada and commuted to Alberta for work.

At the high-point of the business cycle in 2008, there were approximately 133,000 of these inter-provincial employees working in Alberta, accounting for 6.2% of provincial employment and 3.6% of provincial wages and salaries. That number declined to about 106,000 in 2009.

In most years from 2004 to 2009, the number of inter-provincial employees working in Alberta was higher than the number of new residents moving to the province.

Residents of British Columbia and Saskatchewan comprised the largest share of the inter-provincial employees in Alberta, accounting for almost 59% of this workforce in 2004. However, large in-flows of inter-provincial employees from other provinces pushed this proportion down to 43% by 2008. The number of inter-provincial employees from the Atlantic region increased three-fold between 2004 and 2008, and by 2008, Atlantic Canadians accounted for 26% of inter-provincial employees in Alberta.

In 2008, 74% of inter-provincial employees in Alberta were men. Most were under 35 years of age, although between 2004 and 2009 the share of inter-provincial employees who were aged 35 or older rose from 35% to 47%.

Industry

The incidence of inter-provincial employment varied across industries in Alberta. In 2008, inter-provincial employees accounted for 14% of employment in construction, 12% of employment in oil, gas extraction and support activities, 10% of employment in agriculture, forestry, and fishing, and 9% of employment in accommodation and food services

About one-half of male inter-provincial employees in Alberta were employed in construction and oil and gas extraction, while about one-third of female inter-provincial employees worked in accommodation and food services and retail trade.

Earnings

A significant portion of inter-provincial employees received T4 earnings from Alberta and another province. This was the case for 55% of them in 2009. Among male inter-provincial employees who received T4 earnings only in Alberta, the median earnings of those employed in oil, gas extraction and support activities were just under $60,000 in 2009, but one in four of these workers earned about $96,000 or more.

Comparing annual median earnings before and after becoming an inter-provincial employee in Alberta, men aged 35 to 49 saw their earnings increase by approximately 38%, or $13,200. Men from Atlantic Canada had the largest earnings gains, at 79%.

Moving to Alberta

Of the individuals who first became inter-provincial employees in 2005, about one in four became an Alberta resident during the next five years. Inter-provincial employees who were younger, single, and from Atlantic Canada were among those most likely to subsequently move full time to Alberta.

  Note to readers

This release uses administrative data from four sources: T4 (Statement of Remuneration Paid) Files, T1 (General Tax Form) Family File (T1FF), T1 (General Tax Form) Historical File (T1H) and Longitudinal Employment Analysis Program (LEAP).

Individuals are identified as "inter-provincial employees" if they receive T4 earnings in Alberta during a given year but report that they reside in another province or territory on their T1 returns.

Included in the analysis are individuals: who received one or more T4 Statements of Remuneration from employment in Alberta; whose T4 from Alberta could be matched to their T1FF or T1H record; who were aged 18 or older; and whose total annual T4 earnings were $1,000 or more.

The research paper "Inter-provincial Employees in Alberta", part of the Analytical Studies Research Paper Series (Catalogue number11F0019M), is now available from the Browse by key resource module of our website under Publications.

Highlights of the findings of this paper as well as detailed information by province of residence and province of work are available in the article "Inter-provincial Employees in Canada", part of the Economic Insights series (Catalogue number11-626-X), from the Browse by key resource module of our website, under Publications.

Similar studies from the Social Analysis Division are available online at (www.statcan.gc.ca/socialanalysis).

Contact information

For more information, contact us (toll-free 1-800-263-1136; infostats@statcan.gc.ca).

To enquire about the concepts, methods or data quality of this release, contact Grant Schellenberg (613-951-9580) or Christine Laporte (613-951-4248), Social Analysis Division.

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