Sei sulla pagina 1di 8

A Snapshot of Poverty

in Calgary 2019
AUGUST 2019
2 Poverty in Calgary 2019

A Snapshot of Poverty in
Calgary 2019

Background The purpose of this snapshot is to provide


Enough for All stakeholders with low-income
Vibrant Communities Calgary (VCC) is the statistics that can be utilized in their current
backbone organization to a collective impact and future efforts, and more generally to
initiative in Calgary, Alberta. The mandate make Statistics Canada and other income
of VCC is to be a steward of Enough for All, data more accessible. This report builds on
Calgary’s poverty reduction strategy. The the report “Poverty in Calgary: A picture on
advancement of policy is a key component of the incidence and experience of low income
VCC’s role as a backbone, and it is with this in Calgary and area1.” The following sources
role in mind that VCC has decided to produce were also used for content:
another report, collating statistics that reflect
• Enough for All 2018 Evaluation
the incidence of low income in the Calgary
• Enough for All 2.02
Census Metropolitan area, or CMA.
• Statistics Canada – 2017 Canadian
Due to some significant and largely positive household income survey and the 2016
changes in social policy, and a refreshed Canadian census
Enough for All strategy, VCC has decided • University of Calgary School of Public
to release a Poverty Snapshot for 2019. Policy- social policy trends reports3

1
This report can be found at http://enoughforall.ca/wp-content/uploads/2018/05/Poverty-Snapshot-2018.pdf.
2
Both of these Enough for All documents can be found at Publications & Reports – Enough For All
3
These trend reports can be found at https://www.policyschool.ca/publication-category/social-and-health-policy/social-policy/
Poverty in Calgary 2019 3

Themes to 2017 using the MBM (see Table 1). In 2015,


143,000 (9.8%) people were living under the
The measurement of low income and Canada’s MBM threshold. By comparison in 2017, only
official poverty line 104,000 (6.9%) people were living under the
In August of 2018 the Federal Government MBM threshold. By applying the market basket
released the Market Basket Measure as measure, and comparing it to the Enough
Canada’s official poverty line, and will be for All aspirational target we see that low
using it to measure the targets outlined in income has already been reduced by 27.2%.
“Opportunity for All,” Canada’s National As a community, we are only three percentage
Poverty Reduction Strategy4. Enough for All points away from meeting the Enough for All
2.0 also has an aspirational goal to reduce aspirational target of 30% reduction in the
poverty in Calgary by 30 per cent by 2023, incidence of low income by 2023. 
using 2015 as a base year. In appendix C Policy Recommendation: That the
the strategy indicates the aspirational goal Government of Alberta maintain reporting on
will be measured using the Market Basket the incidence of low income as a performance
Measure (MBM). indicator of population wellbeing, and align
Incidence of low income overall and to Canada’s official poverty line, the market
comparison to the Enough for All target basket measure. This will enable Alberta to
easily compare poverty rates, understand
Statistics Canada defines the market basket trends and track progress.
measure threshold for Calgary as $40, 2075.
The number of people living under this
threshold in Calgary was reduced from 2015

Table 1: Incidence of Low Income (MBM)


for All Persons 2015-2017, Calgary CMA
160 9.8% 9.3%
140
Number of Persons

120 6.9%
100
80
60
40
20
0
2015 2016 2017
Year

(Source: Statistics Canada, 2017 Canadian Income Survey, catalogue no. 11-10-0135-01 Low
income statistics by age, sex and economic family type)

4
For more information refer to https://www.canada.ca/en/employment-social-development/programs/poverty-reduction/
reports/strategy.html. See also Wilkins, R. & Kneebone, R. (2018). Social Policy Trends: Canada’s Official Poverty Line. Retrieved
from https://www.policyschool.ca/wp-content/uploads/2018/08/Social-Trends-Poverty-Line-August-2018FINAL-USE.pdf
5
Statistics Canada defines the MBM using a reference family of two parents and two children. The number used is for 2017.
Statistics Canada. Table 11-10-0066-01 Market Basket Measure (MBM) thresholds for the reference family by Market Basket
Measure region, component and base year
4 Poverty in Calgary 2019

Incidence of Low Income among Children some changes to the Canada Child Benefit
in 20167 resulting in a 50% reduction to child
Alberta now has the lowest child poverty
poverty rates in Alberta.8
rate in the country. The Alberta Child Benefit
provided $158 million in 2017-2018 to 135,000 Policy Recommendation: Maintain or enhance
low-income families across the province6. the Alberta Child Benefit.
Additionally the Federal Government made

(Table 2: Trevor Tombe Twitter @trevortombe “Canada’s Child Poverty Rates”)

Employment Income and Living Wages which is $10,704 over the MBM threshold
for a single person in Calgary10. However, it’s
In October of 2018, The Government of
important to note that minimum wage work
Alberta increased the minimum wage to
is often part-time and unpredictable. More
$15 per hour. Calgary’s 2018 living wage
Albertans are earning a minimum wage:
decreased to $16.45 per hour9 making the
6.4% of Albertans are earning a minimum
gap the smallest it’s ever been at a historic
wage in 2018, this is up compared to 5.7%
low of only 8% as indicated in table 3.
in 201711. Alberta is trending towards a living
Alberta now has the highest minimum wage wage. In 2018, the average hourly wage in the
in Canada at $15 per hour. A single individual accommodation and food services industry
working fulltime at 40 hours per week will in Alberta was $15.46, an increase from
receive a gross annual salary of $31,200

6
Information on the Alberta child benefit can be found here https://open.alberta.ca/dataset/57586894-5f36-4db8-8534-
c797893b1a36/resource/219abb34-efe9-488b-86e1-8523afd31232/download/ped_tax_v4.pdf
7
low and middle-income families get higher payments, while families making $150,000 or more per year will receive less
than what was previously given. For more information refer to https://www.canada.ca/en/employment-social-development/
campaigns/canada-child-benefit.html
8
Statistics Canada. Table 11-10-0135-01 Low income statistics by age, sex and economic family type
9
For more information about Calgary’s living wage refer to Vibrant Communities Calgary 2018 living wage report found here
http://vibrantcalgary.com/wp-content/uploads/2019/05/LivingWage_2018.pdf

The MBM threshold for a single person in Calgary is $20,496 and is based on 2016 levels and sourced from Tweddle, A., Battle,
10

K. and Torjman, S. (2017) Canada Social Report: Welfare in Canada, 2016. Ottawa: Caledon Institute of Social Policy.
11
According to the minimum wage profile for Alberta https://open.alberta.ca/dataset/3027b65e-16f4-4442-bfa4-0ea73a73ec49/
resource/da61cc5e-4357-484f-9e89-211c2bd91e6f/download/alberta-minimum-wage-profile.pdf
Poverty in Calgary 2019 5

Table 3: Gap between the Living Wage and


the Minimum Wage in Calgary 2009-2018
$20.00 5 0%

40%
Hourly Wage $15.00

Percentage
30%
$10.00
20%
$5.00
10%

$0.00 0%
2009 2011 2012 2014 2015 2017 2018
Year

Hourly Living Wage Hourly Minimum Wage Gap Percentage

Source: Minimum wage rates retrieved from Statistics Canada, Historical Minimum
Wage Rates in Canada https://open.canada.ca/data/en/dataset/390ee890-59bb-4f34-
a37c-9732781ef8a0. Living Wage rates retrieved from VCC archives

$14.10 in 2016 (9.6% increase)12. In the arts, Income Support were also indexed to inflation
recreation and entertainment industry, the to keep pace with the future cost of living
average hourly wage increased from $17.74 to increases in our province14. The earnings
$19.57 from 2017 to 2018 (10%) increase. In the exemption rate also increased for AISH
current context, the Government of Alberta recipients, allowing them to earn more of their
has reduced the minimum wage for youth to employment earnings without reducing their
$13.00 per hour13. benefit15. However, those receiving Income
Support are still subject to a high benefit
Recommendation for Employers: Commit to
reduction after a small amount of earned
paying a living wage for both direct and contract
income. A person receiving income support
employees. A living wage can lead to increased
who is also deemed eligible to work and
morale, a decrease in turnover, and contributes
employed, would not earn enough to reach
to a healthy and thriving community.
the poverty line (using the MBM threshold)
Changes to Social Assistance before their benefit is reduced to zero16.
The provincial government modestly Social assistance caseloads have gone up in
increased Assisted Income for the Severely Alberta since previously reported from 55,361
Handicapped (AISH) and Income Support in December 2017 to 59,940 as of January
levels in 2019. Benefit levels for AISH and 201917. This represents an increase of 7.6%.

12
Statistics Canada. Table 14-10-0206-01. Average hourly earnings for employees paid by the hour, by industry, annual
13
Read more about this on the Government of Alberta website https://www.alberta.ca/minimum-wage.aspx

For more information on Bill 26: An act to combat poverty and fight for Albertans with disabilities visit http://www.assembly.
14

ab.ca/net/index.aspx?p=bills_status&selectbill=026&legl=29&session=4
15
For more information on the AISH earning exemption rates refer to https://www.alberta.ca/social-benefit-rate-increases.aspx

For income support benefit reduction rates refer to https://cfr.forms.gov.ab.ca/Form/EMP0433.pdf. This is compared to the
16

MBM threshold of a single person in Calgary of $20,496.

According to caseload data from the Government of Alberta Income Support Caseload. Retrieved from https://open.alberta.ca/
17

opendata/income-support-caseload-alberta
6 Poverty in Calgary 2019

Using Canada’s official poverty measure the Policy Recommendations:


MBM we see that despite a recent increase
1) Maintain the commitment to index
in benefits, social assistance incomes still fall
AISH and Income Supports and ensure
short of the poverty line (Table 4).
they keep pace with the cost of living.
2) Increase earning exceptions for people
deemed eligible to work and on
Income Support.

Table 4: Comparison of Annual Welfare Incomes in Alberta 2016 and 2019


2016 2019 Poverty 2019 Welfare
Welfare Welfare Gap Incomes as % of
Incomes Incomes MBM18 19
single employable (ETW) $7,524 $8,940 $-11,556 43.6%

person with disability (BFE) $8,772 $10,392 $-10,104 50.7%

single parent, one child $11,196 $14,076 $-26,131 35.0%

couple, two children $14,604 $15,876 $-24,331 39.4%


Source: Alberta Financial Benefits Summary August 2016, and January 2019 Retrieved from http://www.humanservices.alberta.
ca/AWOnline/IS/3878.html.

Conclusion systemic perspective. Concerning the policies


and recommendations mentioned above,
Recent changes to social policy have made provincial governments have a tremendous
a dramatic impact on the incidence of influence on economic poverty, and if the
poverty in Calgary. Rates of child poverty above-mentioned policies remain intact we
have declined substantially, Alberta’s income will continue to see more gains in our future.
supports received a much-needed increase,
With the exception of children, this report did
and minimum wage workers are infinitely
not include demographic statistics including
closer to earning a wage that meets the cost
the incidence of poverty according to gender,
of living. Although this snapshot report was
race, or economic family type as these
focused on income it’s important to note that
statistics remain largely unchanged from
income alone cannot be the only indicator
2018 when VCC published its first snapshot
of poverty. Food security, access to housing,
of poverty report. Statistics on demographics
transit, justice, along with quality education
for Calgary will be looked at again when
and healthcare are all equally important
Statistics Canada publishes the 2021 census.
components to reducing poverty from a

According to caseload data from the Government of Alberta Income Support Caseload. Retrieved from https://open.alberta.ca/
17

opendata/income-support-caseload-alberta

The MBM threshold for a single person is based on 2016 levels and sourced from Tweddle, A., Battle, K. and Torjman, S. (2017)
18

Canada Social Report: Welfare in Canada, 2016.

The MBM threshold for a family is based on the 2017 Market Basket Measure threshold for the reference family in Calgary, Ab
19

of $40,207. Statistics Canada. Table 11-10-0066-01 Market Basket Measure (MBM) thresholds for the reference family by Market
Basket Measure region, component and base year.
Poverty in Calgary 2019 7

References Retrieved from


http://enoughforall.ca/wp-content/uploads/2019/06/
Alberta. (2018). Alberta child benefit and Alberta 2018FinalEvaluationReportE4A.pdf
family employment tax credit, Alberta provincial
Enough for All. (2019). Enough for all 2.0. Vibrant
electoral divisions. Government of Alberta. Retrieved
Communities Calgary. Retrieved from http://
June 25th, 2019 from https://open.alberta.ca/
enoughforall.ca/wp-content/uploads/2019/03/
dataset/57586894-5f36-4db8-8534-c797893b1a36/
EnoughforAll2.0.pdf
resource/219abb34-efe9-488b-86e1-8523afd31232/
download/ped_tax_v4.pdf Eremenko, J. (2018). Poverty in Calgary: A picture
on the incidence and experience of low income in
Alberta. (2018). Bill 26: An act to combat
Calgary and area. Vibrant Communities Calgary.
poverty and fight for Albertans with disabilities.
Retrieved from http://enoughforall.ca/wp-content//
The legislative assembly of Alberta. The
uploads/2018/05/Poverty-Snapshot-2018.pdf
Government of Alberta. Retrieved from http://
www.assembly.ab.ca/net/index.aspx?p=bills_ Kneebone, R., & Wilkins, R. (2018). Social policy

status&selectbill=026&legl=29&session=4 trends: Canada’s official poverty line. Calgary, Ab.


The School of Public Policy, University of Calgary.
Alberta. (2019). Financial benefits summary, Alberta
Retrieved from https://www.policyschool.ca/wp-
works. Government of Alberta. Retrieved from https://
content/uploads/2018/08/Social-Trends-Poverty-
cfr.forms.gov.ab.ca/Form/EMP0433.pdf.
Line-August-2018FINAL-USE.pdf
Alberta. (2019). Income support caseload, Alberta
Statistics Canada. (2019). Table 11-10-0066-01 Market
official statistics. Government of Alberta. Retrieved
Basket Measure (MBM) thresholds for the reference
June 17, 2019 from https://open.alberta.ca/opendata/
family by Market Basket Measure region, component
income-support-caseload-alberta
and base year. Retrieved June 20th, 2019.
Alberta. (2019). Minimum wage rates for 2018-2019.
Statistics Canada. (2019). Table 14-10-0206-01
Retrieved July 11th, 2019 from https://www.alberta.ca/
Average hourly earnings for employees paid by the
minimum-wage.aspx
hour, by industry, annual. Retrieved July 11, 2019.
Alberta. (2019). Social benefit rate increases.
Statistics Canada. (2019). Table 11-10-0135-01 Low
Government of Alberta. Retrieved May 2nd, 2019 from
income statistics by age, sex and economic family
https://www.alberta.ca/social-benefit-rate-increases.
type. Retrieved June 25th, 2019.
aspx
Tweddle, A., Battle, K., Torjman, S. (2017). Canada
Canada. (2018). Opportunity for all: Canada’s first
social report: Welfare in Canada, 2016. The Caledon
poverty reduction strategy. Employment and Social
Institute of Social Policy. Retrieved from https://
Development Canada. Retrieved from http://canada.
maytree.com/wp-content/uploads/Welfare_in_
ca/publicentre-ESDC
Canada_2016.pdf
Canada. (2019). The Canada child benefit. Retrieved
Vibrant Communities Calgary. (2019). Calgary
June 25th, 2019 from https://www.canada.ca/en/
2018 living wage report. Retrieved from http://
employment-social-development/campaigns/canada-
vibrantcalgary.com/wp-content/uploads/2019/05/
child-benefit.html
LivingWage_2018.pdf
Creative Theory. (2019). The evolution of E4A: A
cumulative evaluation of the enough for all poverty
reduction strategy. Vibrant Communities Calgary.
vibrant enough
for all
CO M M U N I T I E S
C A LG A RY

Vibrant Communities Calgary (VCC) is a non-profit


organization seeking to engage Calgarians in advocating
long-term strategies that address the root causes of
poverty in Calgary.
VCC is also the steward of Enough for All, Calgary’s poverty
reduction strategy.

400, 119 – 14 Street NW Calgary, Alberta T2N 1Z6


vibrantcalgary.com | info@vibrantcalgary.com

Potrebbero piacerti anche