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Unemployment Drops in Fort Mcmurray

greg12

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Huh? Am I reading this correctly? Despite the headlines, this is great news to send to your JV`s for those of you that invest up there.http://www.fortmcmurraytoday.com/ArticleDi....aspx?e=1391681

McMurray job numbers positive

Unemployment down from 4.1 per cent in November to 3.8 per cent in December
By ROLAND CILLIERS


Today staff



Despite a global recession and a drastically lower oil price, Fort McMurray is still a good place to find a job.

The unemployment rate for December 2008 has been released by Alberta Employment and Immigration, and the Wood Buffalo-Cold Lake region has experienced a decrease in unemployment. In November, the region`s unemployment rate was 4.1 per cent, meaning 3,000 locals were unemployed, but for December the rate was at 3.8 per cent, meaning 2,800 locals were unemployed.

That`s lower than both the national rate of 6.6 per cent and Alberta`s rate of 4.1 per cent, the lowest of any province.

All of the employment agencies the Today contacted said there were still plenty of jobs available in Fort McMurray.

Shaun Doetzel, the industrial and skilled trades manager for the employment agency the Empower Group, said that while the recession has changed the local job market there are still jobs to be found.

"With regards to capital projects those have definitely been pushed off or I guess suspended for the time being," said Doetzel. "We`re not seeing a lot of activity in the trade type industries such as welding, pipe fitting those major trades. That`s probably been the biggest thing."

Other employment agencies said they have barely noticed a change in employment since the recession began.

"It`s been very consistent and particularly when we deal with the specialized group we`re still able to find work very effectively with our employers to place our clients," said Lynn Corcoran, executive director of the Fort McMurray Association for Community Living. That association helps to find employment for people who have experienced barriers to the job market.

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Tracy Coles, the office manager at Wood Buffalo Temps, said that while her agency has seen a slight slowdown lately she doesn`t believe it`s caused by the slower economy.

"This time of year it always slows down in our line of work and usually for the month of January. But then around February it starts to get back to normal," said Coles. "It`s more of a seasonal thing for us the recession, I guess, probably has some effect on us, but I don`t think it really impacts us much."

While Alberta still has the country`s lowest provincial average, it has seen a loss of 15,800 jobs between November 2008 and December. Those losses primarily came from the construction industry. In Alberta, full-time employment decreased by 19,900 people while part-time employment has increased by 4,100.

One of the local employers that hasn`t been slowed down by the recession at all is the Regional Municipality of Wood Buffalo.

"The municipality`s business plan is still the same. We have 110 open positions right now, and 223 are approved for 2009. So with more than 800 current staff right now we`re still growing as the city grows," said Tyran Ault, spokesman for the municipality.

Alberta`s off-reserve aboriginal population`s unemployment rate increased from 8.1 per cent in November to December`s 9.4 per cent. That means 6,600 aboriginals were unemployed in December 2008, an increase of 900.

Article ID# 1391681
 

LeighF

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There are still lots of jobs to be had in Fort Mac. We have been somewhat "sheltered" from the recession compared to the rest of Canada.
 

SamEfford

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I tell all my JV partners that Fort McMurray is in its own bubble. Things happen differently here.
 

greg12

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Great to see Fort Mcmurrayites on the ground confirming this! At first I thought that the lower unemployment could be due to people who lost their jobs simply packing their bags and flying back home (outside Alberta) without reporting to an unemployment agency. But it seems there is more to this. Can anyone tell me please what other industries outside of oil are the biggest employers? I read in the REIN top ten report that oil makes up a surprising 51% of the economy.
 

LeighF

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There is definitely some slow down here. Contractors are getting laid off, until the price of oil becomes more stable. I hear through the grapevine that the LOA has been cut out (Living out allowance). But, I also heard from a realtor the other day that alot of the condo projects are on hold right now, which means that the market is going to start to tighten up. The realtor also says that it has been absolutely crazy here for the past couple of weeks, with everyone out and viewing houses again/putting offers in etc. It seemed like everyone woke up after a long hibernation!
OIL is the one and only reason that people live in McMurray. There is no other industry that supports the city.
 

Gene

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In the past there has always been a slow down in December and January in Fort McMurray with some of the trades. They take a layoff around the Christmas holidays to return home .. It usually returns to norm in February. We will have to wait and see if it`s the same this year. This year there is also some projects slowing down.

The number one thing i see in Fort McMurry is the listing are up Dec 2008 number 9978 compared to

1997 3749 1998 4995 1999 3904 2000 3551 2001 5169 2002 4517 2003 4249 2004 3504 2005 4929 2006 7130 2007 5359 2008 9978
The most i have every see in the last 33 Years. Just like most other places.

Sales were down compare to last year as will.

UNIT SALES TOTALS

--sizec--> 1995 617
1996 991
1997 1241
1998 833
1999 808
2000 862
o:2-->2001 1270
2002 1397
2003 1052
2004 1555
2005 1727
2006 2255
2007 2413
2008 2124

Home construction is just getting started up again with trades coming back or returning to work.. There are a number of new constructed homes ready to move into.

I have 5 new constructed homes on the market for sale, i have yet to get any calls in 2009 form mls listings.

Sales will start in February if it follows the last few years.

I also have 4 new constructed homes for rent completed in January 2009. My adds are out there and my phone does not stop. There are many people looking for a place to rent. Most calls i am getting are from out of town. They are long term employees.

That is great news for the rentals.


Gene
 

greg12

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Yes, those LOA`s! I have been hearing lots of rumors about how they have been responsible for the very high rents in the past few years. Some Property Managers I phoned are telling me that they are having several inquirers ask for a reduction in rents. One of them tells me he has never had this many vacancies in his 20 years up there. Who knows maybe it is partly bad marketing, but they all seem to be pointing the finger of blame at the cut LOA`s.


QUOTE (LeighF @ Jan 19 2009, 04:53 AM) There is definitely some slow down here. Contractors are getting laid off, until the price of oil becomes more stable. I hear through the grapevine that the LOA has been cut out (Living out allowance). But, I also heard from a realtor the other day that alot of the condo projects are on hold right now, which means that the market is going to start to tighten up. The realtor also says that it has been absolutely crazy here for the past couple of weeks, with everyone out and viewing houses again/putting offers in etc. It seemed like everyone woke up after a long hibernation!
OIL is the one and only reason that people live in McMurray. There is no other industry that supports the city.
 

greg12

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Wow thanks for the perspective Gene. The 2124 unit sales last year is not very far off the record years of 2006 (2255) and 2007 (2413). I see the high number of listings as a golden opportunity given the slim pickings of prior years. Very good point about the usual seasonal slow down vs a prolonged market crater. I guess Feb/Mar will reveal the truth to us. I like the fact that the renters are still calling, and seem to have longer term jobs as you say. Do you typically start your new buildings after selling/renting out previous ones?


QUOTE (Gene @ Jan 19 2009, 07:38 PM) In the past there has always been a slow down in December and January in Fort McMurray with some of the trades. They take a layoff around the Christmas holidays to return home .. It usually returns to norm in February. We will have to wait and see if it`s the same this year. This year there is also some projects slowing down.

The number one thing i see in Fort McMurry is the listing are up Dec 2008 number 9978 compared to

1997 3749 1998 4995 1999 3904 2000 3551 2001 5169 2002 4517 2003 4249 2004 3504 2005 4929 2006 7130 2007 5359 2008 9978 br />The most i have every see in the last 33 Years. Just like most other places.

Sales were down compare to last year as will.

UNIT SALES TOTALS 1995 617 1996 991 1997 1241 1998 833 1999 808 2000 862 2001 1270 2002 1397 100%">2003 1052 2004 1555 2005 1727 2006 2255 2007 2413 2008 2124

Home construction is just getting started up again with trades coming back or returning to work.. There are a number of new constructed homes ready to move into.

I have 5 new constructed homes on the market for sale, i have yet to get any calls in 2009 form mls listings.

Sales will start in February if it follows the last few years.

I also have 4 new constructed homes for rent completed in January 2009. My adds are out there and my phone does not stop. There are many people looking for a place to rent. Most calls i am getting are from out of town. They are long term employees.

That is great news for the rentals.


Gene
 

LeighF

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The "rent to own` option is quite popular with people now. I have had a few calls on my home asking if I am interested in this option.
 
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