Inflation, labour shortages drive down Ontario business confidence: Survey - BNN Bloomberg

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Ontario 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.

, the seventh by the organization, found only 16 per cent of surveyed businesses had confidence in the province’s economic outlook, down from 29 per cent of those surveyed in 2022.

“Labour shortages, inflation, health-care system vulnerabilities, and forecasts of an economic contraction are dampening confidence in the province’s economic outlook.” Labour shortages and skills gaps were another major damper on business confidence as “employers across sectors struggle to hire and retain” staff at the levels needed to recover from the pandemic.

Businesses also appeared concerned about health-care system vulnerabilities related to understaffing and other issues, with 46 per cent of pessimistic respondents citing health care as a factor.

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