As Canada moves into 2025, its productivity still lags, despite efforts by the federal government to address the issue in the 2024 federal budget.
Canada’s productivity has declined in nine of the last 10 quarters. Between 2015 and 2023, Canadian productivity fell by an average of 0.8 per cent per year. This means that, for every hour worked by Canadian employees, their output decreased by about eight per cent over that entire period.
Labour productivity measures how much an economy produces per hour of work. Increasing productivity means finding ways to help people create more value in the time they spend working. However, how productivity is measured — and who benefits from productivity stimulation initiatives — varies.
