2023 ONTARIO ECONOMIC REPORT
7 February 2023
Labour shortages and skills gaps are also dampening business confidence as employers across sectors struggle to hire and retain the workers they need to recover and grow in the aftermath of the pandemic. [...] Most employers in Ontario are facing labour shortages and expect them to continue in 2023, with some of the biggest gaps in education, construction, and accommodation and food services. [...] After reaching 8.2 percent in 2022 in G20 economies, the rate is projected to decline to 6.5 percent in 2023 in response to inflation- targeting policies and the easing of supply disruptions.iv Meanwhile, wage growth and disruptions in the energy sector are likely to continue pushing prices upward. [...] That document – along with the data contained in this year’s OER – point to the following priorities for the Government of Ontario and businesses to address in the year ahead. [...] As part of the solution to filling those gaps, Ontario must work with the federal government to expand immigration intakes and build the housing, transit, and other infrastructure needed to support the integration of newcomers.