Companies expect to face a number of obstacles over the next three months: labor, demand for the goods and services they offer, input costs or the supply chain.
(The survey was conducted from January 11 to February 11, 2021 by Statistics Canada)
At the start of the first quarter of 2021, one-third of companies expected to experience a labour shortage (34.1%) or difficulties in recruiting and retaining skilled employees (33.2%) over the next three months (Figure 12). Similarly, around one-fifth of companies anticipated insufficient demand for the goods and services offered (22.1%), rising input costs (21.4%), fluctuations in consumer demand (20.5%), or difficulties with government regulations (19.3%) or the supply chain (19.2%).
The expected scale of these obstacles varied according to business sector(table 1):
- Labour shortages: more than two out of five companies in construction (54.3%), retail (46.2%), transport and warehousing (44.8%) and accommodation and food services (43.6%).
- Recruitment and retention of skilled employees: more than two out of five companies in construction (45.9%), accommodation and food services (44.9%), and retail (41.7%).
- Insufficient demand for the goods or services offered: at least a third of businesses in accommodation and food services (37.0%) and transport and warehousing (31.4%).
- Rising input costs: about half of businesses in agriculture, forestry, fishing and hunting (63.0%) and accommodation and food services (45.6%).
- Fluctuations in consumer demand: half of companies in accommodation and food services (50.1%) and over a quarter of those in manufacturing (29.0%).
- Government regulations (repeated reopenings and closures during different waves of the pandemic): nearly half of companies in the arts, entertainment and recreation (46.4%) and accommodation and food services (44.9%) sectors.
- Supply chain difficulties: nearly two out of five companies in wholesale (39.6%), manufacturing (37.5%) and construction (37.1%).
Figure 12 – Obstacles companies expect to face in the next three months, Quebec,1st quarter 2021
Source: Statistics Canada, Canadian Survey of Business Conditions, first quarter 2021. Adapted by Institut de la statistique du Québec.
Table 1 – Main obstacles companies expect to face in the next three months, selected industries, Quebec,1st quarter 2021 | ||||||||
|---|---|---|---|---|---|---|---|---|
| Shortage of manpower | Recruiting and retaining qualified employees | Insufficient demand for goods or services | Increase in input costs | Fluctuations in consumer demand | Government regulations | Challenges to the supply chain | ||
| % | ||||||||
| All companies | 34,1 | 33,2 | 22,1 | 21,4 | 20,5 | 19,3 | 19,2 | |
| Construction [23] | 54,3 | 45,9 | … | … | … | … | 37,1 | |
| Retail [44-45] | 46,2 | 41,7 | … | … | … | … | … | |
| Transport and warehousing [48-49] | 44,8 | … | 31,4 | … | … | … | … | |
| Accommodation and food services [72] | 43,6 | 44,7 | 37,0 | 45,6 | 50,1 | 44,9 | … | |
| Agriculture, forestry, fishing and hunting [11]. | … | … | … | 63,0 | … | … | … | |
| Manufacturing [31-33] | … | … | … | … | 29,0 | … | 37,5 | |
| Arts, entertainment and leisure [71] | … | … | … | … | … | 46,4 | … | |
| Wholesale trade [41] | … | … | … | … | … | … | 39,6 | |
… Not applicable. | ||||||||
