The town was founded as Heatherwood, but the name was changed around 1911 in honour of Edson Joseph Chamberlin, vice-president of the Grand Trunk Pacific Railway. When Edson was declared the local rail centre, smaller communities such as Rosevear (abandoned), Wolf Creek, Carrot Creek and Niton Junction fell into a decline that continues today. In the 1950s, upgrading of Highway 16 caused a dramatic increase in private, commercial and industrial traffic. Today, the Yellowhead Highway carries some of the heaviest traffic flow in Alberta and has been declared the second Trans-Canada Highway. In the 1970s, a revitalized coal industry launched the Cardinal River Coal and Luscar Sterco mines in the area. In the 1980s Pelican Spruce Mills (now Weyerhaeuser Company Limited) and Sundance Forest Industries (now Edson Forest Products a division of West Fraser Mills Ltd.) became two of Edson's major employers. The former hamlets of Glenwood and Grande Prairie Trail were annexed from Yellowhead County by the Town of Edson on 1 January 1984.
