Provincial economic update could bring big cuts
Posted Feb 24, 2015 7:03 am.
This article is more than 5 years old.
The economic woes of the province are expected to be front and centre Tuesday when Alberta’s finance minister gives his Q3 fiscal update, and the information isn’t likely to instill much confidence.
In fact, the Alberta Teachers’ Association is already looking ahead to next school year, and predicts tough times for everyone.
This is the first full update we’ve received since oil dropped to $40 a barrel, so it should provide an accurate picture of just how bad things have gotten.
Finance Minister Robin Campbell and Premier Jim Prentice have already said the plunging price of oil will mean this year’s anticipated surplus budget is now facing a $500 million deficit.
Campbell has also announced plans to reduce departmental spending by five per cent, but with inflation and population growth, the number is closer to 10 per cent.
The Alberta Teachers’ Association warning 2,500 teaching jobs could be lost.
It means big trouble, says the union, when you combine that with projected student growth of 19,000 next year, and reported class sizes of 40 or more students.
