Nunavut tops in labour productivity

In this Statistics Canada graph you can see how Nunavut’s productivity compares to other territories and provinces.

Labour productivity in the business sector increased in Nunavut in 2010.

This productivity measures how efficiently goods and services are produced, that is, how much work is required to produce goods and services.

Nunavut and provinces with resource-based economies (Alberta, Saskatchewan and Newfoundland and Labrador) posted productivity gains above the national average, Statistics Canada said Nov. 23.

Business productivity in Nunavut rose 11.5 per cent in 2010, the strongest growth rate in Canada.

In contrast, the territory had experienced the largest decrease in 2009 (-11.2 per cent).

But output and hours worked both rose sharply in 2010, mainly as a result of the opening of a new gold mine and the associated activities, says Statistics Canada.

Productivity growth is important because it raises living standards. Having more money improves people’s ability to purchase goods and services, enjoy leisure, improve their housing and education and contribute to social and environmental programs.

Statistics Canada reported Nov. 8 that Nunavut also recorded the largest increase in real gross domestic product of any province or territory in Canada — Nunavut’s real GDP advanced 11 per cent in 2010.