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Skilled Labour Shortages Improve With Wage Expectations

CANADA DATA
  • Along with the cooling in wage expectations from 3.2% to 2.9%, the CFIB survey also showed an improvement in the share of firms seeing skilled labour shortages limiting sales/production.
  • The 48% seeing skilled labour shortages as a limiting factor is down from 51% in May and, as with the case in overall wage expectations, is the lowest since Feb’22.
  • It remains historically elevated though, compared to the 41% averaged through 2019 or 38% in 2017-18.
  • Ahead sees further labour market details of note with fixed weight wage growth and vacancies in the SEPH report at 0830ET, before tomorrow’s business outlook survey for Q2 which will include its own measure of wage expectations, something the BoC is watching very closely.

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