This paper looks at how digitalization is affecting the labour market. The authors highlight technological changes that have caused shifts in the market and explore the lessons we can learn from these.

The authors delve into the impacts of digital technologies on labour demand and supply. On the demand side, adopting digital technology affects both individual firms and the economy. On the supply side, Canada’s labour market possesses favourable attributes for a digitalized future, including a comparatively high proportion of residents with post-secondary education and immigration policies favouring skilled workers.

The effects of digitalization on labour supply and demand have also interacted to influence wages. The benefits have not been distributed equally, contributing to socio-economic inequality. The paper concludes by highlighting emerging issues yet to be investigated in detail and providing examples of initiatives that could be explored readily.