Workers say the impact of Alberta's economic downturn is obvious in Nisku, a former boom town located just south of Edmonton.

While 30,000 people were commuting daily to Nisku for work just eight months ago, the number is now down by about a third, said David Sturridge, vice-president of the Nisku Business Association.

'We don't know if the axe is going to swing and we're going to make it past last coffee break' - James Gerlock

"The big change you notice coming into Nisku is just the volume of traffic is down," he said Wednesday.

Sturridge said he's spoken with companies that have laid off 40 to 50 per cent of their workforce. Others, like GLM, have completely shut down, Sturridge said.

"A lot of the companies that have their head offices in Nisku have people that work in the field — and there's even bigger percentages of layoffs with fieldwork."

James Gerlock

Yardworker James Gerlock said he's been cut back to three days a week at work while nine of his friends have been laid off. (CBC)

The downturn is also affecting those who still have a job. To date, nine  friends of yardworker James Gerlock have been laid off. His own shift has been shortened to three days per week.

"The biggest problem is everyday we come to work — we don't know if the axe is going to swing and we're going to make it past last coffee break," he said.

"There's an exodus everyday — people leave these job sites every day. And they're taking their jobs with them."

Sturridge doesn't see the exodus ending any time soon, and says things may get worse before the job market improves once more.

It's now been about six months since the first round of layoffs ended, Sturridge said, which means that employment insurance will be running out soon for many.

"I don't think reality has really set in yet. I don't think that people really understand how this slowdown is going to be."

While little can be done about the low oil prices contributing to the employment problem, Sturridge said he'd like to see the province reduce taxes to tempt outside investors to return to Alberta.

He also wants the province to consider carefully raising royalties.

"The last time royalties were increased by the Ed Stelmach government, it coincided with a financial downturn and really hurt the industry," Sturridge said. "If this was done again, it would be pretty negative."

Listen to David Sturridge's interview on Edmonton AM:

An update from the Nisku business association6:06

With files from CBC's Andrea Huncar