Canada cannot catch up

Article Type: News From: International Journal of Productivity and Performance Management, Volume 57, Issue 7

Statistics Canada said Canadian labour productivity – defined as a measure of Canada’s gross domestic product per hours worked – edged higher in 2007, led by output in Newfoundland and Labrador but tempered by a big decline in Alberta,

Productivity surged 9.2 per cent in Newfoundland and Labrador, the fastest growth rate in the country, thanks to a recovery from the output disruptions that hindered oil extraction in 2006.

Overall productivity increased 0.7 per cent last year, in line with the 2006 pace but much weaker than 2005.

However, despite recent gains, the gap between Canadian and US productivity continues to widen. (The USA has had an average annual pace of 2.6 per cent this decade.)