Thank you, Mr. Chair.
Thank you for inviting me to be an important witness here for this issue.
Axiom Group was formed in 1987. We're a Canadian-owned company located in a suburb of Toronto, in Scarborough, Ontario. Through hard work and over many years, we've grown the company to over $200 million with facilities in Canada, U.S. and Mexico. We employ in excess of 650-700 employees globally.
This is probably the most important subject matter that I've come across in a long time. I'm devoting some time, and I've made some notes, so I want to get right into it.
In terms of addressing the root cause of low employment, Canada's employment problem is not temporary; it's structural. A decade of declining productivity has left businesses less competitive, reducing our ability and willingness to create jobs. Unless we reverse the productivity decline, job growth will remain stagnant.
In terms of the importance of job creation, I don't want to hear about housing or other issues. I want to hear about jobs, jobs, jobs, and more jobs. Job creation is the singularly most important aspect of our economy, and we need to get serious about creating jobs.
Regarding the environment, the business risks and low investments in Canada, why is that happening? Well, there are low risks for banking mandates. There is very little support from the banks in Canada. There is restricted access to growth in capital, high taxation, an uncompetitive situation and operating costs eroding our returns on investment. The layered federal-provincial-municipal policies create a high-cost environment and discourage expansion. The result is fewer opportunities for Canadian workers and a weaker economy overall.
There are challenges for Canadian entrepreneurs. Entrepreneurs face diminishing incentives to innovate, to hire and to expand. Our socio-economic policies and regulations are eroding competitiveness, leaving Canadian business owners questioning the payoff and why we take risks. When risk-taking is punished and not rewarded, job creation stalls.
What is the impact of social policies and work incentives? Current policies often reward non-productivity and disincentivize work. We have to stop those types of policies. Hard-working Canadians should be rewarded. You strive to succeed. You strive to create jobs, and you strive to create a better Canada to contribute to the overall success.
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