A sign on a shop window indicates the store is closed in Ottawa, Monday March 23, 2020. Companies that have laid off workers are telling the Bank of Canada they plan to refill some positions over the next year, but many hiring plans remain muted over COVID-19-related uncertainty. THE CANADIAN PRESS/Adrian Wyld

Bank of Canada survey says business hiring plans remain muted due to pandemic

About one-third say they have used a federal wage subsidy to reduce or avoid layoffs

Companies that have laid off workers are telling the Bank of Canada they plan to refill some positions over the next year, but many hiring plans remain muted over COVID-19-related uncertainty.

The central bank’s quarterly business outlook survey released today suggests many service sector and energy companies don’t expect a return to pre-pandemic employment levels.

About one-third say they have used a federal wage subsidy to reduce or avoid layoffs, while other firms looking to rehire or hire new staff cited an emergency federal benefit for workers as a hurdle to their plans.

The worry among workers about losing their job rose to the highest level seen in the central bank’s survey of consumer expectations, released alongside the business outlook.

As well, workers’ expectations of how easily they could find new work dropped to the lowest level since the 2015 oil price shock.

Consumers’ expectations for wage growth were below what they anticipated for inflation, while the outlook for growth in household income dropped to its lowest level in the survey’s history.

The Canadian Press

Coronaviruseconomy

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

(Submitted by Cassidi Markus)
Snow flurries forecasted for the Okanagan this weekend

Arctic front expected to bring colder than average temperatures and snow

Smack Dab at Manteo Resort. (Smack Dab Facebook photo)
Kelowna restaurant Smack Dab closes for the season

Smack Dab joins Fernando’s Pub in shutting down till spring

A health-care worker prepares to swab a man at a walk-in COVID-19 test clinic in Montreal North, Sunday, May 10, 2020, as the COVID-19 pandemic continues in Canada and around the world. (THE CANADIAN PRESS/Graham Hughes)
Interior Health records 21 new COVID-19 cases over the weekend

Thirty-six cases remain active; two people are in the hospital, one of whom is in intensive care

The District of Lake Country closed down the controversial Airport Inn Lakeside motel in 2019. (Daniel Taylor - Black Press file)
Asking price for controversial Airport Inn in Lake Country dropped to $6.9M

‘Lake Country is too precious a place to not have something great there,’ Realtor says

RCMP. (Phil McLachlan - Black Press Media)
Kelowna man charged after allegedly stealing senior’s car

Elderly woman’s car was stolen while she was shopping

With local MLA Adam Olsen looking on, BC Greens leader Sonia Furstenau said a Green government would convert BC Ferries into a Crown corporation Wolf Depner/News Staff)
Green leader Sonia Furstenau promises to convert BC Ferries back into Crown corporation

Promise comes Monday afternoon with five days left in campaign

The Vernon Magnums (blue) defeated the Kelowna Green Sun 30-12 in Southern Interior Football Conference Peewee Division action Sunday, Oct. 18, at Greater Vernon Athletics Park. (Photo submitted)
Vernon Magnums down Kelowna

Vernon scores 30-12 Peewee Division victory in weekend minor football league play

Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

Vernon Fire Rescue Services and Vernon-North Okanagan RCMP were called to a report of an electrical fire at the emergency response centre operated by Turning Points Collaborative Society on 37th Street Sunday, Oct. 18, just before 5:30 p.m. The fire displaced shelter residents who have been set up with services at the Vernon Recreation Complex. (Roger Knox - Morning Star)
Vernon shelter residents find refuge in hotels, motels, recreation complex after fire

Electrical fire at Turning Points Collaborative Society’s emergency response centre on 37th Street

Join Black Press Media and Do Some Good

Pay it Forward program supports local businesses in their community giving

Salmon Arm RCMP say residents have been receiving calls from fraudster claiming to be with Publishers Clearing House. (File photo)
Salmon Arm RCMP warn of Publishers Clearing House telephone scam

Police say scammer requests fee to claim sweepstakes prizes

Osoyoos Fire Department responded to reports of a vehicle engulfed in flames Sunday (Oct. 18) evening at a Lambert Court residence. (Osoyoos Fire Department)
Osoyoos Fire Department knock down car fire near home

Blaze was ‘really close’ to becoming a structure fire

Colin James put on a great show at the Comox Valley Exhibition Grounds as part of the 2019 Vancouver Island MusicFest. But his Okanagan tour for 2020 has been postponed until 2021. (Photo by Terry Farrell)
COVID-19 cancels more Okanagan concerts

The Contenders and Colin James postponed until 2021

Most Read