Canadian business productivity rebounds 1% in second quarter

Labour productivity in Canadian businesses increased 1.0% in the second quarter of 2026, Statistics Canada reported on September 3.

The rise followed a 0.4% decline in the first quarter. Business output increased 0.9%, while total hours worked edged down 0.1%.

Goods-producing businesses led the improvement, with productivity up 1.7%. Productivity in service-producing businesses rose 0.7%.

Across the 16 main industry sectors, 12 recorded gains. Mining and oil and gas extraction, wholesale trade and manufacturing were among the main contributors.

Productivity here means real economic output per hour worked. It is a business-sector measure, rather than a score of how hard individual employees work.

Unit labour costs rose 0.6% in the quarter. The release also revised earlier data back to the first quarter of 2025, a reminder that the historical picture can change as more information becomes available.

Source: Statistics Canada — 2026-09-03.