Canada’s proposed West Coast Oil Pipeline could add a new outlet for crude while doing much less to restore the labor-intensive oil-sands economy that once defined Fort McMurray.
The federal project page describes an early-stage, roughly 1,250-kilometer pipeline from Alberta to a deepwater port near Delta, British Columbia. It would carry up to 1 million barrels a day to global markets. The route is not final, and the project still has to move through consultation and regulatory review.
Prime Minister Mark Carney has promoted the project as a way to expand exports and reduce Canada’s dependence on the United States. But when Reuters asked him what it could mean for Fort McMurray, he rejected the language of another oil boom. “I wouldn’t use the term ‘boom’,” he said. “I would use ‘sustained growth’.”
More barrels, fewer workers
That distinction reflects how the industry has changed. An August forecast from Energy Safety Canada, cited by Reuters, projects oil-sands employment will fall by 920 jobs, or 4%, by 2035 even as production grows 6%. The group said a new pipeline could reverse the projected decline, but the structural trend is toward producing more oil with fewer workers.
Automation and efficiency gains are part of the shift. Reuters reported that shorter maintenance schedules have reduced staff and contract positions. Former Alberta premier Jason Kenney told Reuters that companies prioritized shareholder returns over job growth even after oil prices and revenue recovered.
The investment gap is stark. Annual oil-sands capital spending fell from C$35 billion in 2014 to C$14.2 billion in 2024, according to Statistics Canada figures cited by Reuters. Alberta’s oil and gas sector now employs about 435,000 people, including temporary and part-time workers, which is 85,000 fewer than in 2014, according to Servus Credit Union data cited in the report.
Construction work is not the same as permanent employment
The government estimates the pipeline’s direct and indirect employment impact could peak at approximately 140,000 jobs during construction and upstream development. That is a measure of work at the height of the buildout, not a forecast of permanent operating jobs.
The Oil Sands Alliance told Reuters that pipeline construction, supply-chain activity and upstream investment could create thousands of jobs across Canada by the mid-2030s. It also said many would be temporary construction roles in Alberta and British Columbia rather than lasting oil-industry positions.
Financing remains another test. Reuters reported that no oil-sands company has committed the C$100 billion in private investment it says would be needed to fill the proposed pipeline and build the carbon-capture project Carney has tied to federal approval. Until those commitments materialize, the project’s employment promise remains both substantial on paper and uncertain in duration.