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Canada Productivity Drops, AI Spending 5% vs 30% US

7/5/2026

27 4 Full Breakdown

Summary

Story summary

Canada’s labour productivity lagged the United States, with output per hour rising 61 % since 1981 while U.S. output rose over 127 %.
Statistics Canada reported a 0.5 % decline in labour productivity in the business sector in the quarter, the second consecutive drop.
Machinery investment is about 20 % lower than a decade ago, while AI-related spending added only 5 % of Canada’s GDP growth last year versus roughly 30 % in the United States.

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Story summary

Canada’s labour productivity lagged the United States, with output per hour rising 61 % since 1981 while U.S. output rose over 127 %.
Statistics Canada reported a 0.5 % decline in labour productivity in the business sector in the quarter, the second consecutive drop.
Machinery investment is about 20 % lower than a decade ago, while AI-related spending added only 5 % of Canada’s GDP growth last year versus roughly 30 % in the United States.