FOR IMMEDIATE RELEASE — January 31, 2025: In addition to continued challenges regarding workforce shortages and inflationary pressures, two out of three (67 per cent) business leaders are concerned that the recent United States election results will be bad for Manitoba’s trade with the U.S.
“The change in administration south of the border has resulted in a significantly altered trading and economic climate compared to just a few months ago, introducing considerable new uncertainties and challenges for businesses across Canada, including Manitoba,” says Chuck Davidson, President & CEO of the Manitoba Chambers of Commerce. “It’s critical that the Manitoba Government provide businesses with greater certainty and support, as impending U.S. trade tariffs will create significant economic challenges.”
In addition to concerns about U.S. trade relations, the 7th annual Manitoba Business Outlook Survey, commissioned by the Manitoba Chambers of Commerce (MCC) and conducted by Leger between November 7 and December 9, 2024, showed that Manitoba’s business community continues to grapple with increased costs and labour shortages: one in five respondents (19%) said attracting new staff is their number one current business challenge.
While the most significant current labour force conditions causing hiring woes remained the same in 2024 as in the previous year – wages not meeting expectations, along with budget constraints – even more businesses are now struggling with this issue: 34% ranked it on top in 2024, compared to 30% in 2023. The ability to attract quality candidates had the next biggest impact, reported by 23% of those surveyed.
Most businesses agree (86%) that in an effort to address workforce challenges, there should be more integration between Manitoba’s education systems – both high school and post-secondary – and industry and business, to ensure young people are aware of the career opportunities in Manitoba when they graduate.
The Manitoba Business Outlook Survey also revealed that inflation continues to rank high on the list of concerns, with more than three quarters (77%) saying it has had an impact on their business. In response to inflation challenges, 50% said they have raised prices, 47% have reduced internal costs, 45% have reduced profit margins and 33% delayed or cancelled investments due to inflation in 2024.
“This survey helps the Manitoba Chambers of Commerce track changes, patterns and challenges, and to identify issues and assess the confidence of leaders from organizations across Manitoba. These insights are valuable so we can continue to support Manitoba’s businesses and advocate on their behalf,” Davidson says. “Attracting and retaining Manitoba talent – both young people and newcomers to Canada – needs to be a priority for the province.”
The survey also asked businesses about their intentions relating to green/sustainable initiatives. More than half of all business leaders surveyed (53%) responded that they expected to invest in green initiatives for their organization in the next five years, with most indicating that the most significant factors that could help drive this investment would be supplementary grant funding (38%) and higher projected cost savings from efficiency gains (36%).
“Conducting the Manitoba Business Outlook Survey on behalf of the Manitoba Chambers of Commerce each year, we get a clear picture of what’s most important to business leaders across the province at that point in time,” says Andrew Enns, Executive Vice-President, Central Canada with Leger. “The results provide an insightful snapshot that helps the Manitoba Chambers of Commerce align their work and their advocacy efforts with what their membership and the broader business community really needs.”
The 2024 Manitoba Business Outlook Survey was delivered in conjunction with survey partner Leger and supported by CPHR Manitoba, the Rural Manitoba Economic Development Corporation (RMED), RRC Polytechnic and the Manitoba Green Advantage initiative.
Read the full 2024 Manitoba Business Outlook Survey and past surveys here.
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