Alberta gig workers earn up to $25K less, lack protections
ALBERTA, CANADA — A report from the Calgary Social Policy Collaborative reveals that gig workers in Alberta earn significantly less and have fewer protections than traditional employees.
The study, authored by policy analysts and academics from Vibrant Communities Calgary, the University of Alberta, and Momentum, combines quantitative data and worker interviews to highlight urgent challenges in the province’s growing platform-based economy.
Pay gap and missing benefits
Alberta workers in the gig sector have a significant income gap, with average incomes fifteen to twenty-five thousand dollars lower per year than in standard jobs. The discrepancy is also stark on a national level: 29% of gig workers earn the minimum wage or less, compared to 1% of traditional workers.
Such meager salaries have exacerbated deficiencies in housing and meals, and many have become more reliant on government benefits, including the Canada Workers Benefit.
The financial vulnerability is further intensified by the almost total lack of employer-sponsored benefits. Statistics reveal a significant underrepresentation of gig workers, who are unlikely to receive pensions, sick leave, paid vacation, or medical coverage.
For example, 20% of female gig workers were allowed to take sick leave, compared with 59% of non-gig workers. Such a lack of a safety net exposes workers to income shocks from sickness or injury, which may further increase poverty.
The report notes that “Gig work offers workers flexibility in terms of scheduling and provides a relatively low-barrier source of income that workers might not otherwise have access to. However, it often comes with low pay and few employer-sponsored benefits or protections.
Demographic disparities and safety concerns
Women and older adults are more likely to do gig work in Alberta. Females constitute a larger proportion of the gig workforce and tend to use it for its flexible scheduling, since they often have many children, unlike their male counterparts.
However, their participation is shaped by safety concerns, with women less likely to work in rideshare or delivery and more likely to be in house-sitting or medical services, indicating gendered risk assessment.
These workers also exhibit greater financial precarity. Gig workers are more likely to hold multiple jobs and to consider a part-time job their primary employment.
The risk of being killed off by the female population, particularly in high-profile offices, was cited as a major detriment to the fairness of participation.
Regulatory gaps and proposed solutions
Alberta does not have any legislation specifically designed to safeguard gig economy workers, as British Columbia and Ontario have already done, implementing legislation regarding fees and wage rates.
This regulatory vacuum allows for subminimum wages, tip withholding, and the near-absence of benefits. “When employers pay wages that are too low for employees to support themselves, workers may rely on social support to meet their needs. In effect, society, through government benefits and charitable organizations, subsidizes companies that pay substandard wages,” the report stated.
The report suggests a three-pronged policy. To start with, it indicates that employment standards should be improved to accommodate gig workers, that there should be a minimum wage for all time employed, and that they should safeguard tips.
Second, it promotes portable benefits, including platform- and user-co-financed benefits. Lastly, it also demands intensified worker education and an autonomous dispute-resolution institution to resolve conflicts between platforms, workers, and clients, with a view to establishing a more equitable future of work.
