A new report says a protracted labour shortage in Canada could fuel more rapid wage growth and inflation over time, potentially prompting the need for higher interest rates long-term.
Protracted labour shortages in Canada could fuel more rapid wage growth and inflation over time, potentially prompting the need for higher interest rates long-term, a new RBC Economics report released Wednesday said.
In 2023, wage increases are expected to be"soaked up by higher prices and debt costs," which will lower disposable incomes, the report said. "With a dearth of available workers, prospective employees will have more muscle at the bargaining table, which will in turn fuel more rapid wage growth."
Philippines Latest News, Philippines Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Inflation, labour shortages drive down Ontario business confidence: Survey - BNN BloombergOntario business confidence plummeted to a new low this year, according to a new survey from the Ontario Chamber of Commerce (OCC), as businesses stare down labour shortages, high inflation and worrying economic forecasts.
Read more »
Nestle pulling frozen meals from Canada - BNN BloombergNestle is pulling a slate of frozen meals from Canadian grocery store shelves, and a food policy expert said high food prices and pressure on suppliers are likely contributing factors behind the decision.
Read more »
Policy missteps drive Bank of Canada to reveal more about how it sets rates - BNN BloombergThe Bank of Canada has always kept the curtain closed on how it makes interest-rate decisions. That’s about to change.
Read more »
Luxury parka maker Canada Goose charts path to triple revenue in five years - BNN BloombergLuxury outerwear maker Canada Goose Holdings has charted a new five-year growth path it says could nearly triple its annual revenue by 2028.
Read more »
Interest Rates: Bank of Canada chief flags debt load in explaining early pause - BNN BloombergBank of Canada Governor Tiff Macklem conceded that rate hikes have hit the country’s homeowners hard, saying the impact of higher borrowing costs on consumers is a major reason why he chose to hit pause before the U.S. Federal Reserve.
Read more »
What’s new this tax season in Canada - BNN BloombergCanadians should be aware of changes to housing taxation and other new tweaks as tax season looms.
Read more »