September 25, 2024 – Canadians are settling into new work-from-home patterns, but regional disparities reveal different experiences across the country, according to a new C.D. Howe Institute report.
In “Settling into a New Normal? Working from Home Across Canada,” Tammy Schirle examines how work-from-home arrangements have evolved since the COVID-19 pandemic. By the end of 2023, 26 percent of paid employees worked at least part of their week from home. However, the likelihood of working remotely varies significantly depending on where you live and the type of work you do.
“Ottawa and Gatineau have some of the highest rates of remote work in the country, with 35 percent of employees in the nation’s capital working entirely from home,” says Schirle. “By contrast, only 12 percent of employees in Saskatchewan are doing any work-from-home, highlighting the regional disparities in access to remote work.”
Importantly, Schirle’s analysis confirms that the remote and hybrid work trend is steady. Roughly one-quarter of Canadian employees now work from home, with a larger portion engaged in hybrid work arrangements. “This stability suggests that hybrid is a new normal in Canada’s evolving labour market,” Schirle says.
Hybrid work, where employees split their time between home and the office, has emerged as the most common arrangement for Canadians. Industries such as finance, insurance, and professional services are leading in remote work adoption, with 65 percent of employees in finance and insurance having some form of work-from-home arrangement. Unsurprisingly, industries like construction and agriculture remain predominantly on-site, with very low remote work rates.
The report also highlights the relationship between commuting times and remote work adoption, noting that regions with longer average commutes, such as Toronto, tend to have higher rates of work-from-home arrangements. Moreover, education plays a significant role in determining who works from home, with workers holding a bachelor’s degree or higher much more likely to have remote work opportunities than those with lower levels of education.
The report calls on policymakers to take note of the growing demand for flexible work arrangements and to adapt provincial labour standards and infrastructure accordingly. Suggestions include improving high-speed internet access in rural areas and updating employment standards to address hybrid and remote work environments. Schirle further notes that as hybrid work becomes more prevalent, workplace policies and regulations must evolve to support this new normal, from occupational health and safety guidelines to digital infrastructure requirements.
“As more Canadians embrace hybrid work, we need to ensure that workplace policies are evolving to support this shift,” Schirle says. “From occupational health and safety regulations to digital infrastructure, there’s a lot to consider in supporting this new normal.”
For more information, contact: Tammy Schirle, Research Fellow, C.D. Howe Institute; Percy Sherwood, Communications Officer, C.D. Howe Institute, 416-407-4798, psherwood@cdhowe.org
The C.D. Howe Institute is an independent not-for-profit research institute whose mission is to raise living standards by fostering economically sound public policies. Widely considered to be Canada’s most influential think tank, the Institute is a trusted source of essential policy intelligence, distinguished by research that is nonpartisan, evidence-based and subject to definitive expert review.