Chart of the Week: The (labour) rebalancing act of 2026

Until recently, Alberta’s unemployment rate had been stubbornly high, sitting above the national rate. At the same time, Alberta’s employment growth has exceeded Canada’s, on a year-over-year basis, every month since September 2023.

What’s going on?

Alberta was adding jobs, just not at the pace people were looking for work.

It ultimately ties back to Alberta’s much faster population growth than the rest of the country - propelled by interprovincial migration. The challenge for Alberta’s labour market was to absorb massive inflows of people entering the labour market.

But lately there has been a shift. Job growth has continued at a similar rate, but population growth has slowed and with it the labour force (people working or looking for work). 

The result? The unemployment rate has fallen from its recent peak of 8.2% in August 2025 to 6.3% today - now sitting below the national rate of 6.7%

In short, the story was more jobs, but even more people. Now the story is more people, but even more jobs. The labour market rebalancing act is underway.