Education Minister Dave Hancock announced that provincial school boards will not be on the hook for upcoming raises for teachers, and the hundreds of people who lost their jobs recently could be employed again soon.

"I would say almost a 1,000 people will be perhaps getting some phone calls before September 1st with some good news," said Heather Wellwood, president of the Alberta School Boards Association.

Hancock says the province will cover the cost of the three-per cent wage increase promised to Alberta teachers. Originally, school boards were asked to figure out a way to cover the increase, but Hancock reveals the province is allowing the government to step in.

School boards say the initial problem with the raises was that the province didn't account for the cost in the 2010 budget. The education minister suggests school boards may have gone too far in deciding not to renew workers' contracts.

Hancock believes it is more practical to provide funding that covers the wage increase in this year, rather than over a longer term period.

"This means that because we got the money before September 1st, there will be the ability for school boards to recalculate their budgets and look at putting back in place some of those positions," said Wellwood.

And hiring back teachers and support staff is expected to ease up on class sizes as well. The minister says this money is for teacher and support staff salaries, and not for any other purpose.

The minister says if a board plans to reduce its teaching and classroom support staff, he expects to be provided with a rational for that decision before it happens.

This development covers both the public and Catholic school boards, as well as francophone school boards.

With files from Joel Gotlib