Canada’s productivity challenge has reached a critical juncture. Statistics Canada’s latest figures reveal a troubling decline in labour productivity for the second consecutive quarter, with a 0.7 per cent drop year-over-year. This underscores the urgent need for innovative solutions to enhance economic performance and inclusivity.
Our traditional job markets have often concentrated opportunities in urban centers like Toronto, Montreal, Vancouver, and Calgary. While these cities continue to attract significant investment and talent, this urban-centric focus leaves out skilled professionals in remote and rural areas. As Canadian employers, including us at Capgemini, increasingly embrace hybrid work models that blend in-person and remote participation, a significant opportunity emerges to tap into this previously overlooked talent pool.
By integrating digital jobs and hybrid work arrangements, we can boost collaboration and bridge our productivity gap, while helping address the skills shortage, and building a more adaptable and inclusive workforce. With our vast geography and a rich talent pool outside major cities, Canada has a unique opportunity to drive more economic growth and inclusivity.
According to our recent report with the World Economic Forum (WEF), Canada’s digital readiness score of 5.2 out of 6 is among the highest globally, indicating a strong foundation for leveraging digital jobs for economic and social benefits.
Globally, digital jobs are expected to grow to 92 million by 2030 up from 73 million in 2024, representing a major opportunity for Canada to capture a significant share of this market to boost its GDP and economic resilience.
Take IT, for example. In Canada, it is one of the fastest-growing sectors; yet it faces a significant challenge: a shortage of skilled workers. By offering the flexibility of hybrid and remote working models, skilled professionals in remote or rural areas can contribute to the IT industry, filling critical roles that were once concentrated in city hubs. This approach not only addresses the skills shortage, but also diversifies the workforce, enhancing innovation and productivity across the sector.
Digital jobs often come with opportunities for continuous learning and upskilling, which are crucial for keeping pace with technological advancements and meeting the evolving demands of the industry.
But, to actualize flexible models where digital and hybrid jobs can coexist, we need robust digital infrastructure. For Canada, this means investing in broad digital infrastructure to address the digital divide and bridge regional disparities in employment. We can reduce technology barriers by investing in connectivity – drawing on public-private partnerships to unlock finance and expertise.
Moreover, preparing workers for future hybrid and digital jobs requires a focus on lifelong learning systems. Partnering with employers and educational institutions to provide comprehensive training programs – encompassing upskilling, new skilling, and re-skilling – is essential. Access to quality skills training is often limited, particularly in underprivileged and marginalized regions. Addressing this gap is crucial for ensuring that all Canadians can fully participate in the digital economy.
To support the transition to a flexible workforce, governments need to ensure they have the necessary infrastructure for workers to access remote and hybrid digital jobs, provide accessible educational and vocational training programs, and promote competition based on skills and talent rather than lower wages.
Canada’s strong digital readiness, paired with strategic investments and supportive policies, positions the country to lead in both digital and hybrid work. By embracing these models, we can boost productivity, enhance social inclusivity, and build a more resilient, adaptable workforce for the future.
The opportunity is here for Canada to leverage its high digital readiness and diverse talent pool to drive economic growth and inclusivity on a national scale.
Tom Mosseau is the president and managing director at Capgemini Canada. With a deep focus on digital transformation, his team is dedicated to transforming businesses in Canada by harnessing the power of technology.