In a speech delivered on March 25, the central bank's Senior Deputy Governor, Carolyn Rogers, called for action in the face of "Canada's poor productivity record, a problem that has gone on for too long". The Bank of Canada's urgent call for increased productivity sounds an alarm bell for Canadian businesses.
The facts are clear: Canada's economic growth is being held back by stagnant productivity. The Bank of Canada's Senior Deputy Governor, Mrs Rogers, highlighted the alarming situation: "the level of productivity in Canada's business sector remains about the same as it was seven years ago".
Canada's lagging investment performance
The problem is clear: Canada lags far behind in terms of investment in machinery, equipment and intellectual property. Compared to other countries, our country lags behind in terms of work productivity.
Consequences of low productivity
Low productivity has adverse effects on the economy. It limits growth, slows job creation and limits salary increases. Worse still, it pushes up inflation, as companies have to raise prices to offset their increased costs.
Investing in innovation and automation
Fortunately, there are solutions. As a leader in robotic integration and automation, Revtech Systems supports investment in cutting-edge technologies. The automation of repetitive tasks and the use of data (artificial intelligence) can significantly boost productivity.
Focus on training and education
The other pillar of growth is education and training. It's essential to ensure that Canadian workers have the skills they need to meet the demands of the ever-changing job market. Training programs focused on digital technologies and innovation are essential to bridge the skills gap.
A more competitive business environment
Finally, a business environment more favorable to innovation and entrepreneurship is crucial. Encouraging competition and simplifying regulations can stimulate growth and job creation, contributing to better overall economic performance. The Bank of Canada's message is clear: productivity is the key to countering inflation and ensuring sustainable economic growth. By investing in innovation, education and fostering a more competitive business environment, Canada can rise to the challenge and position itself as a leader in tomorrow's global economy.
Source : La Presse.ca
Photo : Sean Kilpatrick, La presse canadienne