Business organizations in Alberta are expressing concerns over the adverse effects of the ongoing teachers’ strike on the local economy. While the imminent return of students to school is seen as a positive development, the manner in which the strike was resolved has left a cloud of uncertainty hanging over future outcomes.
Since October 6, members of the Alberta Teachers’ Association have been on strike. The provincial government recently invoked the notwithstanding clause to mandate teachers’ return to work, a decision criticized by labor groups who are hinting at a potential widespread labor reaction.
During the period that children have been out of school, small businesses in the province have faced challenges on multiple fronts, according to the Alberta chapter of the Canadian Federation of Independent Business (CFIB). Firstly, there has been a decrease in productivity as parents have had to take time off to care for their children or have been distracted from work responsibilities, noted senior policy analyst Kayode Southwood.
For businesses located near schools, the strike has resulted in a direct impact on sales, with some like Jamie Senturk, owner of a pizza restaurant near a high school in Calgary, experiencing significant declines in foot traffic and having to reduce shifts. Another nearby restaurant owner, Ehsan Al-Shammari, has also noticed a considerable decrease in business activity in recent weeks, attributing it not only to the absence of students but also to the broader economic repercussions of teachers being on unpaid leave and families staying at home.
Alberta Central’s chief economist, Charles St-Arnaud, emphasized the far-reaching economic consequences of the teachers’ strike, pointing out that reduced spending by parents and teachers due to the strike could have negative ripple effects on other sectors of the economy. Deborah Yedlin, president and CEO of the Calgary Chamber of Commerce, expressed concerns about the loss of valuable classroom time for students preparing for post-secondary education.
Despite hopes for a mutual resolution to the strike, many businesses are relieved to see a return to stability. However, there remains a lingering possibility of further labor disputes on the horizon, with the Alberta Federation of Labour issuing warnings against the province’s actions.
In light of the recent events, labor experts and union representatives are contemplating potential responses, including the consideration of province-wide strikes akin to past actions seen in Ontario. The use of the notwithstanding clause in labor-related legislation has historically sparked strong reactions from labor movements, as seen in previous instances like the response to Ontario Premier Doug Ford’s government’s attempts to prevent an education workers’ strike in 2022.
Overall, the aftermath of the teachers’ strike in Alberta is not only affecting businesses but also raising concerns about potential future labor unrest and its impact on the economy.