This episode of The Business Data Lab Podcast explores Canada’s “productivity emergency” and why the country ranks second-lowest in the G7 for labour productivity. Host Marwa Abdou, Senior Research Director, and Andrew DiCapua, Economist at the BDL, break down the challenges—from 11 consecutive quarters of negative productivity growth to underinvestment in technology and an overreliance on low-productivity sectors.

“Canada is leaving untapped potential on the table,” Marwa says in the episode. “Skilled immigrants, innovative industries, and tools like AI could transform our productivity story.” Andrew adds, “Productivity isn’t just about numbers. It’s about creating more value with the same resources, which drives higher wages and economic resilience.”

Despite the challenges, the episode offers hope by spotlighting Canada’s high-productivity industries—like natural resources and finance—and the transformative potential of generative AI. With 14% of businesses planning to adopt AI, Andrew urges leaders to embrace these tools to stay competitive.

Resources:

• Reports and tools: businessdatalab.ca
• Key reports: Prompting Productivity and Business Insights Quarterly

In this episode of Canada’s Economy Explained: The Business Data Lab Podcast, host Marwa Abdou speaks with Stephen Tapp, Chief Economist, and Patrick Gill, Senior Director, about the key economic predictions shaping Canada in 2025. The conversation covers affordability pressures, labour disruptions, immigration slowdowns, and the potential impact of Trump’s tariffs.

Affordability remains a top concern, even as inflation stabilizes at 2 percent. “We’ve lived through a generational price increase,” says Stephen, noting that essentials like housing and groceries remain expensive. Labour disruptions continue to be a challenge after a record-breaking year for work stoppages. “A number of collective bargaining agreements are opening up at a time when inflationary pressures are still driving wage demands,” Patrick explains.

Businesses are also facing risks from slowing immigration, declining interest rates, and shifting trade policies. The discussion explores what companies can do to prepare, including adopting AI, upskilling employees, and diversifying supply chains.

Resources

• Canada-US Trade Tracker
• Prompting Productivity Report

Welcome to The Business Data Lab Podcast: Canada's Economy, Explained. An initiative of the Canadian Chamber of Commerce.

Hosted by Senior Research Director Marwa Abdou, this podcast features insightful discussions with economists and business leaders. Listen in for deep, expert analysis of Canada's top economic trends to help you make sense of the numbers.