Business confidence hits record low: Ontario Chamber report
The Ontario Chamber of Commerce’s seventh annual Ontario Economic Report indicated confidence has dropped to a new low.
“Labour shortages, inflation, health care system vulnerabilities, and forecasts of an economic contraction are dampening confidence in the province’s economic outlook,” said Rocco Rossi, president and CEO of the OCC. “Only 16 per cent of organizations surveyed have confidence in the economy. This is down 29 per cent from last year. Promisingly, most businesses feel confident they can withstand these headwinds and continue to grow in the year ahead.”
Members of the Windsor-Essex Regional Chamber of Commerce said they continue to show their strength and resilience in the face of economic challenges.
“Labour shortages and rising costs continue to remain top of mind as they continue to work towards recovery and growth. Addressing these challenges will be paramount to improving business confidence across Windsor-Essex,” said Rakesh Naidu, Chamber President.
The 2023 OER contains regional and sector-specific data on business confidence, public policy priorities, regional forecasts, and timely business issues such as employee health and well-being, climate change, succession planning, diversity and inclusion, reconciliation, and remote work.
“This year’s OER makes it clear that leaders in the public and private sectors must invest strategically in productivity, resilience, and long-term growth,” said Claudia Dessanti, senior manager of policy, OCC. “Unsurprisingly, labour shortages continue to dominate as a source of concern directly impacting most employers and 87 percent of large businesses. Shortages are especially acute in specific sectors such as education, construction, and accommodation and food services.”
Key highlights of the report include:
- Business confidence has dropped to a new low, with only 16 percent of organizations expressing confidence in the outlook of Ontario’s economy in 2023 (down from 29 percent in 2022).
- Inflation and labour shortages are primary concerns for organizations.
- Despite low confidence in the economy, 53 per cent of businesses are optimistic about the outlook and growth prospects of their own organizations, as high employment rates and population growth should prevent a sharp decline in consumer spending.
- Small businesses want governments to prioritize policies and programs that support their immediate financial and operational challenges, while large businesses are more interested in broader workforce development and health care issues.
- Labour shortages are directly impacting most employers and 87 per cent of large businesses. Shortages are especially acute in education, construction, and accommodation and food services.
- Businesses appreciate the importance of employee health and well-being, diversity and inclusion, economic reconciliation, and climate action – but there are notable gaps in addressing them.
The OER is informed by data from the annual Business Confidence Survey (BCS) and economic forecasts for the year ahead. The BCS was conducted online from Oct. 18 to Nov. 30, 2022, attracting responses from 1,912 organizations across Ontario.
CTVNews.ca Top Stories
Expert warns of food consumption habits amid rising prices
A new survey by Dalhousie University's Agri-Food Analytics Lab asked Canadians about their food consumption habits amid rising prices.
Documents reveal Ottawa's efforts to get Loblaw, Walmart on board with grocery code
It was evident to the federal government as early as last fall that Loblaw and Walmart might be holdouts to the grocery code of conduct, jeopardizing the project's success.
opinion The special relationship between King Charles and the Princess of Wales
Royal commentator Afua Hagan writes that when King Charles recently admitted Catherine to the Order of the Companions of Honour, it not only made history, but it reinforced the strong bond between the King and his beloved daughter-in-law.
Charlie Woods, son of Tiger, shoots 81 in U.S. Open qualifier
Charlie Woods failed to advance in a U.S. Open local qualifying event Thursday, shooting a 9-over 81 at Legacy Golf & Tennis Club.
Improve balance and build core strength with this exercise
When it comes to cardiovascular fitness, you may tend to focus on activities that move you forward, such as walking, running and cycling.
New Norad commander calls Canada's defence policy update 'very encouraging'
American troops will be spending more time training in the Far North, the new commander of Norad says, a strategy that fits 'hand-in-glove' with Canada's renewed focus on Arctic defence.
B.C. tenants evicted for landlord's use after refusing large rent increase to take over neighbouring suite
Ashley Dickey and her mother rented part of the same Coquitlam duplex in three different decades under three different landlords.
Madonna says her kids' 'enthusiasm' kept her going while on tour after 'near death' hospitalization
As Madonna approaches her 80th show on her 'Celebration' tour, she took a moment to appreciate how much her six children have helped her get to this point after being hospitalized last year before the tour began.
Mountain guide dies after falling into a crevasse in Banff National Park
A man who fell into a crevasse while leading a backcountry ski group deep in the Canadian Rockies has died.