Canada's Investment Boom Faces Construction Labor Shortage, National Bank Says

MT newswire2026/10/08 11:32

07:32 AM EDT, 10/08/2026 (MT Newswires) -- Canada's planned investment boom is facing a severe shortage of construction workers, according to National Bank of Canada in a Thursday report. The Business Development Bank of Canada (BDC) estimates an additional CA$670 billion could be invested by 2030, lifting construction gross domestic product by roughly 20% above baseline, said National Bank. "But those ambitions face a formidable physical constraint: labour," wrote National Bank Chief Economist and Strategist Stefane Marion and Senior Economist Daren King in the note. Supporting that investment would require construction employment to rise 51% over the next four years. With nearly 13% of Canada's male workforce already employed in construction, close to a historical high, meeting projected demand could push the share to an unprecedented 18%, underscoring the limits of relying solely on domestic labor, Marion and King added. The labor shortage could put pressure on immigration policy to prioritize workers with construction and other in-demand skills, according to National Bank. Faster permitting, streamlined regulations and more efficient project delivery will also be needed to prevent rising costs and delays from undermining the economic gains of the investment boom.

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