The COVID-19 pandemic effectively shut down much of the world’s economy over the past two months and workers in the Upper Lynn Canal are not immune to effects. Haines and Skagway boroughs both reported dramatically elevated unemployment numbers this April over the same time last year.

In the seasonal economies of the Upper Lynn Canal, most people would be working in April. But between state mandated business closures and the dire projections for cruise ship tourism, unemployment is high.

In Haines, the April unemployment rate is more than seven times that of last year. In Skagway, it’s three times as high.

“This is just the beginning,” said  Haines Economic Development Corporation Executive Director Margaret Friedenauer.

“This is just the first month of data that is somewhat indicative of what we’re going to be facing in the long term.”

Between the two boroughs, nearly 500 people collected unemployment in April.

“My first reaction is also, I’m not just looking at numbers. I’m looking at individuals. And I think that’s the most important thing for everybody to realize. I’m not just looking at the number, I’m looking at residents, neighbors, friends, relatives. Those are people. There are people behind these numbers. There are families,” Friedenauer said.

Nearly 250 people in Haines were out of work and collecting unemployment from the state in April. Most of them are in the seasonal construction sector, but transportation, food service, heath, the arts, and public administration have all taken a hit. In terms of demographics, older workers in lower wage jobs—that’s those making less than $50,000 a year—are reporting in higher numbers.

In Skagway, there are 225 people out of work and collecting unemployment.

There is a silver lining. All of those people are collecting unemployment wages. Unemployed workers in Haines and Skagway took home over $2500 each last month. That’s an influx of over 600,000 dollars into each community in April.

But Friedenauer said these numbers don’t even take into account all the people who are out of work.

“This number is low balling the number of people who are actually filing for employment. Because it doesn’t include the number of people who were finally able to file for unemployment insurance based on self employment,” she said.

The numbers don’t include the many self-employed in the region, who did not qualify for assistance in April. Friendenauer said there’s a high level of entrepreneurship and self-employed people in the region.