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"Canadians Should Be Concerned" As Energy Sector Job Losses Spike To 100,000 This Year
It's grim up north... and getting grimmer. Amid soaring suicide rates, Canada's once-booming oil patch is rapidly accelerating its downward trajectory. "Canadians should be concerned in times like these," warned Tim McMillan, president and chief executive of the Canadian Association of Petroleum Producers, noting that the oil and gas sector will see 100,000 job losses by the end of this year. Even if oil prices rise early and fast next year, Financial Post reports, it may take a while for Canadian oilsands to rebound as the industry has mothballed a number of long-term projects.
Over the past year, we have extensively chronicled the tragic story of Alberta - Canada's once booming oilpatch - disintegrate slowly at first, then very fast, into an economic and financial wasteland:
- "Canada Crude Contagion: Calgary Home Prices Drop Most In 2 Years"
- "Canada's Biggest Oil Casualty To Date: Calgary's Nexen Shutters Oil Trading Desk"
- "The Canadian Housing Bubble Has Begun To Burst"
- "Canada's Oil Patch Confidence Crashes"
- "Canada Mauled by Oil Bust, Job Losses Pile Up – Housing Bubble, Banks at Risk"
- "The Stage Is Set For A Massive Housing Market Correction in Canada's Oilpatch"
And, in one of the latest articles of this sad series describing the Alberta "bloodbath", we said that the worst casualty of Canada's recession has been the local commercial real estate market, where office vacancies are about to surpass the aftermath of the (first) great financial crisis.
But, it turns out the biggest casualty of Canada's recession, which unless oil rebounds strongly soon will follow Brazil into an all out depression, are people themselves. As CBC reports the suicide rate in Alberta has increased dramatically in the wake of mounting job losses across the province.
Sadly, as The Financial Post reports, the situation looks set to get worse... as policy uncertainty has exacerbated the pain of low prices...
The oil and gas sector will see 100,000 job losses by the end of this year, including 40,000 direct jobs, as a combination of policy uncertainties and low crude oil prices decimates the sector, the head of the country’s oil and gas industry group says.
“Canadians should be concerned in times like these,” Tim McMillan, president and chief executive of the Canadian Association of Petroleum Producers, said in an interview. “We have a lot of big policy pieces moving around. We need … to ensure we can compete in a slower price environment and if prices do bounce back , that we are the preferred investment jurisdiction and that we are picking up more than our fair share.”
Apart from the protracted price declines, Alberta’s oil and gas sector has also had to contend with a 20 per cent hike in corporate taxes, a carbon tax and new regulatory policies to limit rein in carbon emissions.
Meanwhile, a new provincial royalty regime is to be announced in January, leaving Alberta oil and gas producers under a cloud of uncertainty. The new federal government also plans to unveil new policies, including a review of the regulatory process, which the sector sees as more burden in an already difficult environment for the industry.
McMillan said those burdens are chipping away at Alberta’s competitiveness as an energy jurisdiction. In the 1990s, Canada attracted 37 per cent of all oil and gas investments in North America, a figure that now stands at 17 per cent, he said.
Furthermore, on Friday, American lawmakers lifted a 40-year ban on U.S. crude oil, which would bring a new competitor into the already-crowded international suppliers market. McMillan said while scrapping the export ban will bring more efficiency to the North American oil landscape, Canada should try to forge its own path to international markets.
However, as Financial post goes on to say, even if oil prices rise early and fast next year, it may take a while for Canadian oilsands to rebound as the industry has mothballed a number of long-term projects.
Canada has led the world in deferments since the oil crisis unfolded in November last year, with just under 40 projects scaled back due to low prices and lack of market access, according to Texas-based energy investment and merchant bank Tudor, Pickering, Holt & Co.
As we concluded previously, Nancy Bergeron, who has answered distress centre phone lines for a few years, says this year has been the hardest. "People are just at wit's end and they're contemplating it, right?"
Why? Simply because the price of a commodity has dropped to a third of what it was just over a year ago, and the shocking impact has been a paralysis of every aspect of financial, economic and social life, first in Alberta, and soon everywhere else across Canada, as the local recession (on its way to a depression) spreads across the country and eventually crosses the U.S. border.
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Leave 'em alone and oil prospers and jobs are created. Then, since it moves, the government taxes it to death until it collapses.
Kill it! Kill it with fire!
Obama dreams of the day like this... if we can only be like the Canuks.
Please explain? Why would we want to be even faggier Social Justice Warriors than we already are? Canada is a vast expanse of SJW's. Express the "wrong" opinion and you find yourself in jail up there I hear.
Yet Another Way Excessive Debt Hinders Capitalism (Oil Edition)
your right, so far its jail, we havent got to the nailgun and "assisted" suicides, yet.
Canadian house prices would drop 26 per cent on average if oil fell to $35 a barrel and stayed there for five years, says the CEO of Canada Mortgage and Housing Corp.
In this scenario — $35 oil leading to a 26-per-cent house price decline — unemployment would rise to 12 per cent, Siddall said, as quoted at Bloomberg.
http://www.huffingtonpost.ca/2015/12/01/house-prices-canada-oil-prices_n...
Luckily, "it's contained."
I just read the United States has one of the highest incarceration rates in the world, 2 million people.
Evidently, not enough:
NeighborhoodScout’s Murder Capitals of America – 2015Count
Countdown of top 30 cities in the U.S. with the highest murder rates
http://www.neighborhoodscout.com/top-lists/highest-murder-rate-cities/There would not be so many incarcerated if we had the death penalty.
And those are just the "official" rates. I have a strong feeling that many murders are covered up as "accidents" and "hit and runs" than people care to think.
USA also has one of the higheset rates of death penalty killings in the world, along with police shootings and killings of civilians in the world. But thank goodness it is a "free" country.
Well. Some were later vs others in this http://hedgeaccordingly.com/2015/12/u-of-toronto-advised-to-sell-coal-en...
That wont happen now that the Libs have taken over their govt. They better prepare to get an even bigger assraping.
A breakout of global civil unrest will occur as we embark on a clash of civilizations and a fight for survival in the new year, as it is reported that German Chancellor Angela Merkel is allegedly ‘Hitler’s Daughter’ and the Fourth Reich is about to become a reality......
http://beforeitsnews.com/conspiracy-theories/2015/12/the-fix-is-in-franc...
They have socialized healthcare... soon to be in amerika thanks to Bubba
Just an excuse for Justin to blow the dust off his daddy's NEP policy.
Justin can just blow his dad as far as I am concerned. The morons elected him as a legacy hire. He'll go down in flames. Odds are he is not capable.
Yep, Canadians just got their very own Obama. Hope and Change, bitches!
They don't worry about little things like their loonie, or their economy. They have embarked on a moral crusade that will make them feel soo much better than us... Welcome to 50k refugees up north!
http://www.theglobeandmail.com/news/national/canada-aims-to-double-intake-of-syrian-refugees-to-50000-immigration-chief-says-in-jordan/article27891645/
Send em north: "You'll love it: it's like the desert but with lots of water . . . frozen water.
Canadians wanted legalized weed, and they're still waiting
It actually dawned on someone that we didn't have a quick method of testing outside of drawing blood and you can't draw blood from someone if they say "no". The other part that really stuck? Zero tolerance policy for drugs on every industrial site in the country. Drug infractions where heavy equipment is involved has gotten (just two weeks ago) a company's crews marched to the gates across multiple sites. Their ban is permanent.
Hadn't thought of that. Payback's a bitch, for sure.
Good thing we didn't build that pipeline eh.......
Yeah the only Pipe they have they better be smokin.
Canada, especially the eastern side should not tow the line for the US. Stay neutral like Switzerland. This is a fight you are being dragged into and avoid it. You have the resources and manpower to accomplish this.
At least the Swiss own Guns. Those wimpy kanooks cant have one.
Canadians have guns. Lots of guns.
No removable 30 round magazine fed AR-15s (except the variant used by the Canadian Armed Forces), but plenty of $200 Russian SKS Rifles. For non gun savy readers, it's an obsolete semi-automatic rifle from the 1950s designed by Russia in 1947. About 15 million were manufactured in various Soviet allied countries. In Canada, they have all been lightly modified to 5 round non removable box magazines that shoot 7.62 x 39 ammunition. The box magazine can swing down to dump out the ammunition. It can be speed loaded from a clip of ammunition into the top. A folding bayonet is present, unless removed by the owner. It has iron sights and cannot mount a scope without purchasing an inexpensive modification kit. Iron sights were used by Simo Hayha, a Finnish WWII sniper, for his 505 kills. This is the rifle used by the North in the Vietnam war and it remains highly effective today.
Guns per 100 residents. USA 112.6, Canada 30.8.
Enfield 308 most common rifle where I'm at. Can't throw a rock without hitting someone with a Ruger Mini14 223 or a Winchester/Marlin 30-30 for yard work either. Serious hunting you see 270 and 7mm Mag (various types) all the way to older cats still using the 458 Winchester Mag for moose and bear over the 375. Those that hunt can shoot and none are using garbage kit from Russia or anywhere else. Little need to spray and pray when you can actually hit a tea saucer at 200m.
What, me worry? My house is worth a small fortune, eh.
Down here we are used to losing millions of jobs to places like India and China.
We have already close to 1/3 of people unemployed.
"Amid soaring suicide rates"
White males dying is not a concern for the MSM.
Hell, those sick fucks applaud white male suicide. Let's be honest.
Well those white males need to keep their chins up. Any day breathing is a good day. We need to get procreating like bunnies and flush the system with higher IQ individuals. You think the 85 IQ crowd is going to be able to maintain the technology let alone come up with new stuff ?? Let me guarantee you they are not able to do this. Even the Chinese with their normal range IQ's don't do creative. They copy all their stuff from guess who?
Its a new movement, White lives dont matter by suicide.
*Jump* you hosers, eh...
That new Premier Justin Beiber will save them. They can put up wind mills and solar panels and it'll be all good.
Things are going so well in Canada, they are still importing the immigrants by the thousands and going to airlift 25,000 syrian immigrants in.
Proof positive that the economy is BOOMING in Canada.
One really has to think why one would leave a desert, hot, dry area of the globe and go to live in the northern most region of North America where the winters are absolutely horrible. I don't believe it's all about escaping war and seeking refuge.
Keep em coming. Good place for them. Those Dune coons might not like that fridgid weather though.
Canada is importing terrorists much like the US.
This should fix everything.
LMFAO!!!!
.... dammit...... when did that change ..... I thought we were net exporters you know part of the Terrorists Proliferation Program (TPP..... DUH!!)
You should see the construction that is underway in Edmonton right now.
It's mind boggling
Simply because the price of a commodity has dropped to a third of what it was just over a year ago, and the shocking impact has been a paralysis of every aspect of financial, economic and social life, first in Alberta, and soon everywhere else across Canada,
This is hyperbole, in the extreme. I love ZH, but honestly, sometimes.....
I worked in that Canadian oil patch.
Suicides. I guess when you need your Crack but you lost your job the only option is suicide. Lotsa new pickup trucks going back to the dealer. Lotsa Cdn$600k to Cdn$700 houses going back to the bank. No other place to earn that kind of money. Lotsa bitchy oilpatch cunts blaming their men for everything they want but don't have...Lotsa divorces coming. Lotsa father's going to lose their drivers license for non payment of child support. No drivers licence, no oilpach job. More suicides there from sane men! No other way for a lot of those guys.
Same as the guys on Wall Street in that respect. No other place in the world can replace what you do there. The world has bexome so specialized now...you have to have such exclusive skills to make a big dollar, you can't just pack up and go anywhere. Bankers jump out windows.
Thanks Owe-bama.
Those bitchy wives can always whore themselves out for 5 canadian an hour. Hey if they do it in Greece WTH. Nobody said life was a cakewalk.
..
Nothing that a few million imported 3rd world people can't help out on. Fuck I've been in the conventional patch here in Sask for 24 yrs. Watching all the steam plants and activity up around Fort Mac has been literelly inevitable. A company I am with doubled thier employees in the last 7 yrs. We didn't increase production any. Do the fucking math. And this is the 3rd oil downturn in my career. Before this, useless programs and courses for employees just disappeared. Now it's worse, more courses all in the name of safety. And we're 'trying to save money'. This is what happens when too many people have to 'justify thier jobs'. Our cost all in is $16 a barrel, north of 60 for many new starts up north in the oilsands.. Too many 'needful hires' over the last decade has caused this.
Now how to turn back? I know if I lost my job, if I had to I'd go apply anywhere, where people have filled that position 'because nobody here wants those jobs'. 20 fucking years I've been telling people this. Brainwashed fucking idiots. All so the gov't can print more money and pretend they have more collateral.
Bankers *should* jump out of windows...
A good laugh about how the real estate boards are hiding the house price declines so far
http://www.greaterfool.ca/2015/12/21/nabbed/
I'm finding it difficult to think of a country that appears to have greater/future prospects ( business/economic ) than Canada; size,population considerations; diversity of industries;
So i have come to the conclusion, unless anyone can enlighten me further, that the citizens are a bit dim.
For example, i have visited countries that are landlocked ( a nightmare with imports arriving in another country's port and a hike of 1000/1500km, the additional energy costs and the resulting damage to road lanes due to the heavy lorry traffic etc ) with up to 70% desertification and really unless some rich western country ( like Germany ) would work with them to develop solar power , possibly enabling them to not rely on expensive imports of energy their sorry lot remains bleak.
Hence, i'm puzzled as to why Canadians are in this predicament ( even, despite the bankcorp theft ) when on the face of it, all factors considered, opportunities are abundant.
They really never caught on to becoming a developed country. 70% GDP is oil and any automakers jobs are because US production needs. Theres alway Labatts Beer and Hockey. Aside from that who the hell would want to live in the cold.
Colonialism headed toward Neofeudalism, while that is a relatively optimistic first step.
Its not just oil and gas. Canada's RE sector, after 2 years of stagnation, is now rapidly approaching the panic phase. And central banks are impotent.
What are they?
<<“We have a lot of big policy pieces moving around.">>
Their new PM Avril Lavigne will get it straightened out; in the meantime, Maple Leaf tramp stamps and too much makeup for *everyone*...
I was in Jamaica on vacation. Ran into a nice couple from Edmonton Alberta. Married a few months ago, however, planned the trip a while back. As their departure date was coming up, I commiserated with the guy that it's back to waking up early in the morning and going back to work. He sheepishly agreed until his bride jumped in and said "What are you talking about, you're sleeping in late these days". He admits that he's an out of work welder who worked in the oil patch. Oil prices tanked, now he's out of a job. It's bad out west, no doubt about it. I read in the paper a couple days ago that rental vacancies are way up and that most renters are offering up perks to get people to move in, like getting the first months rent free, etc.
I think they should quickly raise oil prices to 100 dollars a barrel and just charge Canadians this price. They'll be able to send everyone back to work in Alberta.
This will have the same effect as reducing the value of the Canadian dollar like they did in Canada so Ontario could save their incompetent manufacturing companies.
They should also consider charging a fee to enter the Senate chamber to see the circus of dishwashers,used car salemen, retired hockey players and retired media senators tell their lies.
Why the hell not!
Well we still pay 1.20 per litre for gas here in bc
This happen before in 86 idiots...
And Alberta survived then and it will survive this too, albeit with a TON of debt now that the NDP is in to bankrupt the next generation.
Squid
This happen before in 86 idiots...
And Alberta survived survive and it will survive this too, albeit with a TON of debt now that the NDP is in to bankrupt the next generation.
Squid
This happen before in 86 idiots...
And Alberta survived survive and it will survive this too, albeit with a TON of debt now that the NDP is in to bankrupt the next generation.
Squid
They should be more concerned about elcting a communist jack-hole.
But they will probably make up for it in volume.