“Across nearly every industry, companies reported that labor shortages lead to lost sales,” the survey said.

Content of the article

Labor shortages and other issues have prompted 55% of Canadian business managers to give their employees pay raises, according to a Bank of Canada report.

Content of the article

“The most pressing concerns for businesses in recent months have been labor shortages, supply chain disruptions and the costs associated with these two challenges,” the bank wrote in a report titled “Business Leaders’ Pulse: An Online Business Survey,” according to Blacklock’s. Journalist

The survey was based on questions sent monthly to managers in many sectors, ranging from livestock farmers to plant operators, including those with fewer than 20 employees.

Content of the article

“Across nearly every industry, companies reported that labor shortages lead to lost sales,” the survey said.

In addition to raising wages, 36% of managers said they were refusing sales, 33% were increasing overtime, 25% were contracting out work, 20% were offering workers bonuses and new benefits, and 15 % reduced the minimum qualifications for hiring untrained people. employees.

We apologize, but this video failed to load.

In a June 1 report, the Labor Department said wage gains in the unionized private sector so far in 2022 were 2.3%, the highest average since 2014, while the hospitality industry recorded gains. average salaries of up to 3.4%.

“If we were to see wages significantly outpacing productivity growth, it would become concerning that in this situation higher wage growth could start to become an independent source of inflation,” Bank Governor Tiff said. Macklem, during the final testimony of the House of Commons finance committee. April.

Previous

PG&E begins installing EV chargers in schools

Next

Old Mutual opens 10 million shillings wealth management service

Check Also