In this edition:
- Rate of inflation slows to 3.8%; groceries and gasoline prices rising faster
- Unifor set to begin Stellantis negotiations after successful GM vote
- Champagne says he wishes grocers were more ‘forthcoming’ on plans to stabilize prices
- ‘Shocking’ cybersecurity numbers in survey of Canadian small businesses, says Mastercard
- SMEs face outsized challenges due to mental health “Echo Pandemic:” Ontario Chamber
- Town of Grimsby launches 2024 budget survey
- Focus on Finance & Economy
Rate of inflation slows to 3.8%; groceries and gasoline prices rising faster
In September, the Consumer Price Index (CPI) rose 3.8% on a year-over-year basis, down from a 4.0% gain in August. The year-over-year deceleration was broad-based, stemming from lower prices for some travel-related services, durable goods and groceries.
Offsetting the deceleration in the all-items CPI was a year-over-year increase in gasoline prices, which rose at a faster pace in September (+7.5%) compared with August (+0.8%) due to a base-year effect. Excluding gasoline, the CPI rose 3.7% in September, following a 4.1% increase in August.
Price growth for groceries continued to slow in September but remained above headline inflation, rising 5.8% year over year, following a 6.9% increase in August. The deceleration stemmed from year-over-year slowdowns in meat (+4.4%), dairy products (+4.0%) and coffee and tea (+2.7%), which were mainly driven by base-year effects. Large monthly gains in September 2022, when grocery prices increased at the fastest pace in 41 years, fell out of the 12-month movements and put downward pressure on the indexes.
Unifor set to begin Stellantis negotiations after successful GM vote
Unifor is set to begin negotiations with Stellantis after union members at General Motors voted 80.5 per cent in favour of a tentative deal over the weekend.
While the union has yet to announce a specific start date, Dave Cassidy, president of Local 444 that covers the Stellantis plant in Windsor, Ont., said Monday that he’s hoping to begin meetings with the Unifor national committee and the company as soon as Tuesday.
Unifor will be looking to repeat the terms it set at Ford Motor Co. and that it got GM to agree to as well, but Cassidy said he’ll be looking for more from Stellantis.
Champagne says he wishes grocers were more ‘forthcoming’ on plans to stabilize prices
Industry Minister François-Philippe Champagne says he wishes Canadian grocers would be more forthcoming with the public about their plans to stabilize prices.
Earlier this month, Champagne announced that major Canadian grocers — Loblaw, Metro, Empire, Walmart and Costco — submitted initial plans to the federal government for how they will stabilize prices in the face of high inflation.
The Liberal government summoned the heads of the companies to meet in Ottawa last month, demanding that they present such a plan by Thanksgiving or face potential tax measures.
‘Shocking’ cybersecurity numbers in survey of Canadian small businesses, says Mastercard
Few Canadian small business owners believe their cybersecurity defences are up to stopping a cyber attack, a new survey suggests. Only one-third of Canadian small business owners recently questioned were confident in their firm’s cybersecurity tools, according to a Mastercard online survey of 300 small business owners across the country.
“That’s a really small number,” said Aviva Klein, Mastercard Canada’s vice-president of digital payments and cybersecurity solutions. “I was shocked at how low it was.”
And that wasn’t the only statistic she was surprised at, considering 98 per cent of Canadian companies have few than 100 employees:
SMEs face outsized challenges due to mental health “Echo Pandemic:” Ontario Chamber
Ontario’s small and medium-sized enterprises (SMEs) are facing the negative effects of declining employee and community mental health as a result of what experts are calling the mental health “echo pandemic.” Today, the Ontario Chamber of Commerce (OCC) released Mind the Gap: Addressing the Mental Health and Addictions “Echo Pandemic” in Ontario, a policy brief examining the interconnected impacts of the mental health and addictions crisis on SMEs, communities, and the provincial health care system.
The brief provides recommendations for both industry and government, calling for more comprehensive solutions and practical tools to improve mental health outcomes on a regional level.
Town of Grimsby launches 2024 budget survey
As the Town of Grimsby prepares for their 2024 budget deliberations and approval, they are seeking public input to help understand which services are a priority for residents and stakeholders.
Surveys provide a relatively easy way to organize a snapshot of public opinion at any given time. These snapshots can give decision-makers a picture of the services the public most and least values. The Town is asking residents and businesses to fill out this brief survey to help Town Council make decisions during budget discussions that reflect community priorities.
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Focus on Finance & Economy
What do Tuesday’s inflation numbers mean for the Bank of Canada?
Economists say cooling inflation could mark the end of the Bank of Canada’s rate hiking cycle, though one warns that Canadians will feel the pinch elsewhere even as price growth declines.
Inflation fell to 3.8 per cent in September, weaker than the 4.0 per cent forecasted by economists, according data released by Statistics Canada on Tuesday.
The slowdown comes after a lengthy period of elevated consumer prices, but Canadians are now battling with new financial pressures due to higher interest rates, according to Dylan Smith, senior economist at Rosenberg Research.
“I don’t think there will be a broad feeling of relief from consumers,” Smith told BNN Bloomberg in a television interview.
Through the Daily Updates, the GNCC aims to deliver important business news in a timely manner. We disseminate all news and information we feel will be important to businesses. Inclusion in the Daily Update is not an endorsement by the GNCC.