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The Cambridge Chamber of Commerce handed out the hardware recently recognizing the achievements of the local business community.

The awards were presented in front of a sold-out crowd of approximately 360 business leaders and Cambridge/Township of North Dumfries officials at Tapestry Hall on Thursday, May 18.

“This event is such an important one for the Chamber because it gives us the opportunity to honour some of the amazing work our local business leaders have accomplished in the last year,” says Cambridge Chamber of Commerce President & CEO Greg Durocher.

The Business Excellence Awards is the Chamber’s premier event and has honoured the contributions and achievements of business leaders in the City of Cambridge and Township of North Dumfries since 2000, and features 11 award categories, nine of whom require nominations. In total, nearly 70 nominations were received.

Among these awards are Outstanding Workplace, Business of the Year, and New Business Venture of the Year which is aimed at both new and existing businesses.

“The awards event itself at Tapestry Hall also provides the perfect setting for business leaders to connect and reconnect, which only strengthens our community,” says Greg.

2023 BUSINESS EXCELLENCE AWARDS recipients

Business of the Year 1-10 employees award winner: Sousa Bookkeeping & Taxes

Being a good corporate citizen is anything but a chore for this award recipient, and in fact, quite the opposite holds true. When it comes to giving back to not only the community, but also its employees by creating a safe zone for everyone and rewarding them with nights on the town and bonuses, this company revels in the opportunity to help others and is always happy to show its appreciation for the support it has received. From donating to local food banks and Cambridge Memorial Hospital, to providing free and reduced rate tax services to low-income individuals and seniors – even offering free pickup and drop-off services - this company firmly believes community should always matter first.

Business of the Year 11-49 employees award winner: Central Industrial Solutions

The recipient of this award has developed a very diverse and loyal customer base thanks to its long-time commitment for providing the best service possible. This includes sometimes offering clients the least expensive option available because its highly motivated staff recognizes that it may be the best choice. This honest approach has built a foundation of trust among this company’s customers, many who have been loyal patrons for 20 years. Service remains a key priority for this company, which unlike many of its competitors, provides its clients with custom designs and a guarantee that their project will not fail to meet their expectations. Their commitment to loyalty also extends to their staff, whom they provide competitive wages and benefits, plus team-building perks to create a friendly and productive workplace environment.

Business of the Year 50 employees & over award winner: Gaslight Events Company Inc.

Big, bold, and innovative are just a few words that best describe the recipient of this award. During a time of great uncertainty, this company has continually experienced massive growth by sticking to its goal of being the best at what it does. It’s ability to adapt and grow, while staying true to its mission of creating a unique events space that celebrates and blends the local arts and the community, have remained paramount. In a short time, this company has quickly established itself as an important part of the community, which is especially apparent when crowds gather in Tapestry Hall under the breathtaking living piece of architecture known as ‘Meander’, or dine together in its new Foundry Tavern Restaurant, or share a pint in its Tap Room. While supporting local remains key for this female-owned company, supporting its growing staff is just as important which is why its female-led executive team has taken great strides to create an exclusive and supportive workspace.

Outstanding Workplace – Employer of the Year Award: Pur Balance Massage & Facial Spa

When it comes to creating a welcoming and supportive workplace, this company goes that extra mile to ensure its employees are presented with every opportunity available to succeed and flourish. Besides offering healthy compensation and bonus packages to reflect the current economic times, this organization continually seeks to support staff by fostering autonomy, providing flexible work schedules, interest-free loans, and additional training. This is a company that wants its staff to succeed both financially and intellectually and offers an array of supports and opportunities to make that happen. It’s a female-driven company that is committed to not only building and retaining a diverse workforce through mentorship, but by promoting a healthy and positive workplace through team-building events. Whether it’s enjoying each other’s company during a night out on the town or sharing clothing their children have outgrown with co-workers who have younger kids, the staff at this company know they are part of a very close-knit family who are more than willing to lend a hand to assist a colleague when needed. Besides building a foundation of camaraderie, this has also created a work environment where achievements and successes are celebrated among team members.

Marketing Excellence Award: Downtown Cambridge BIA

Using a very focused approach helped this award recipient attain some amazing goals in the past year. Thanks to some very captivating short-form video features that played well on Instagram Reels, filled with stunning visuals and narratives, this organization successfully promoted downtown businesses, events, openings, and campaigns to a much broader audience. Balancing this success by using other digital platforms, including Facebook and its website, as well as traditional media releases, allowed this company to experience substantial reach to bolster its message that downtown Cambridge is a very vibrant destination filled with attractions, among them a new outdoor gallery called The Galtway. In 2022 alone, this organization produced 55 Instagram Reels videos that garnered over 353,000 views, plus another 28,000 views on Facebook. This strategy, which resulted in a more than 30% increase in Instagram followers – many of them women – helped further their goal to shine a spotlight on all the great things that our downtown businesses have to offer.

Spirit of Cambridge award winner: Fibernetics Corporation

Helping to create an even better community is very important to the recipient of this award.

Through its unwavering support of several local initiatives, this company is creating a solid foundation for the next generation of residents to succeed and prosper, while at the same time demonstrating extraordinary community leadership. Among its ongoing commitments is a successful partnership with Food4Kids, a program that is near and dear to the hearts of its employees. In the past year alone, it donated just over $12,000 to this organization to assist in its efforts to provide students in more than 20 Cambridge schools with nutritious snacks – driving home the point that no child should go to school hungry. This past December, this company even matched its employees’ fundraising efforts dollar to dollar and donated more than $4,300 to the cause. It also supports a secondary initiative created by one of its own employees called Coffee4Kids to further benefit Food4Kids. Also, as well as sponsoring youth sports teams, this company also provides two days of paid volunteer leave to ensure its employees have ample chance to give back to their community, which makes it clear the spirit of giving is a priority to this organization.

Young Entrepreneur of the Year Award: Eric Johnson of Vitality Village Osteopathy and Wellness

A commitment to overall health and wellbeing, and community, are driving forces that continue to lead the recipient of this award to great success. An opportunity to volunteer with a falls prevention and stroke rehab program as an undergrad at university started this recipient on the path to entrepreneurship which later would result in Eric opening his own successful business in downtown Hespeler. Utilizing business in relation to his many skills – including founding his own landscaping business which he maintained until August of 2022 - has been a passion and has led him to achieve great success in a short time. According to many of his loyal clients, he is constantly trying to do better for his community and is proud his business gives people the opportunity to connect and find commonalities in hobbies, health, and goals. He and the team of health experts he has assembled under one roof provides the perfect setting for his clients to foster those connections.

New Venture of the Year award winner: Java Jax Good Roast Coffee Inc.

The recipient of this award is a great example of what a small business owner can achieve through passion and good old-fashioned hard work. After navigating through the litany of startup requirements so many new businesses face, not to mention undertaking a major construction project during a pandemic, this new business managed to bring its plan to fruition in a relatively short time. Creating a bright and comfortable setting – perfect for private dining or a quiet place to do some work – has helped this family-run business achieve steady success since opening its door in the fall of 2022. In that time, it has become a ‘go-to’ spot for many loyal customers by ensuring service remains its No. 1 priority and has done this by making a point of getting to know their clients not just by name, but by also by remembering their favourite dishes and drinks, and by adjusting its menu to reflect their requests and dietary needs. The growing number of its glowing Google reviews and Instagram followers are clear indicators the owners are on the right path as they continue to hone and enhance their business model, which featured special drink offers that were included in the ‘welcome baskets’ presented to new residents of the neighbouring condos in the Gaslight District – reaching more than 800 residents.

(Two recipients tied for the following award)

WoW Cambridge award winner: Homewood Suites by Hilton Cambridge/Waterloo

Providing good old-fashioned hospitality, not to mention a haven for people in need, made this local company stand out in 2022. Welcoming dozens of families that arrived in Waterloo Region as Government Sponsored Refugees, the employees of this organization left a lasting impression on a group of people looking for a new start, including many displaced by the war in the Ukraine, by treating them with kindness and respect. In turn, this has prompted many of these refugees to make Cambridge their permanent home. The employees accomplished this great feat by leading with their hearts and not any unconscious biases. It wasn’t always an easy task, especially when faced with outright racism against new Canadians from a small but vocal minority of people who took it upon themselves to criticize their efforts.  But they didn’t let this negativity deter them from helping others, so much so, their ramped-up service efforts went on to garner them a globally recognized travel award from Trip Advisor.

WoW Cambridge award winner: Jeff and Angie of Sun Variety

The continued kindness shown by the recipients of this award has made a lasting impression on many of the customers who visited their variety store. But it was one good deed that stood out and didn’t go unnoticed in the community that set them apart. It involved a long-time customer who was having mobility issues. Realizing he was having an issue, out of general concern, the recipients of this award took it upon themselves to purchase him a four-pronged cane which immediately improved the quality of his life and enabled him to return to their store.

Chair’s Award: Graham Mathew Chartered Professional Accountants

The recipient of this award has continued to be a valuable community partner to countless organizations since it first went into business more than 50 years ago. This is a company that values the importance of creating an economically strong, healthy, and vibrant community, and knows that giving back is key to make that happen. They always walk the talk which is why they are the true definition of a good corporate citizen. Among their many achievements is ongoing support to the Cambridge Memorial Hospital Foundation and since 1995 have donated approximately $130,000 to this worthy cause, as well as sponsoring CMH events to ensure we have the best equipped hospital possible. In fact, they played a pivotal role in the WeCareCMH Campaign in 2017, which raised more than $10 million towards the purchase of vital equipment. But their support doesn’t just include the community’s physical health but extends to its cultural health also which is why this company has been a been a big financial supporter of Drayton Entertainment since the Hamilton Family Theatre Cambridge first opened its doors in 2013.

As well, this award recipient also continues to do its best to ensure our community’s most vulnerable are not forgotten and is an ongoing champion of the Cambridge Shelter Corporation in its work to help those in need, not only sponsoring the region-wide Hockey Helps the Homeless fundraiser but by providing this organization with expert accounting assistance.

However, these are just a handful of the organizations and causes this company quietly supports behind the scenes. Others include, to name just a few, the Cambridge Food Bank, United Way Waterloo Region Communities, Porchlight Counselling & Addiction Services, Food4Kids, and YMCA Three Rivers. This award is all about going above and beyond, which is something this company does nearly daily and for that, as a community, we couldn’t be more thankful.

Community Impact Award: Terry Kratz of HFK MacRae & Wilson LLP

Community and prosperity are two words that clearly mean a great deal to the recipient of this prestigious award. Born and raised in Waterloo Region, Terry Kratz has seamlessly blended his knack for numbers with his passion for volunteering by continually assisting various initiatives and organizations that help make our community an even better place to work, live and play. Throughout his very successful accounting career, which has included a partnership for more than a decade at Ernst & Young, our award recipient has always been willing to step up to assist organizations and causes in need.

The quiet, steadfast, and realistic approach he uses in his professional career has been a huge benefit to the many groups who are fortunate to have him in their corner. From his past involvement with the Grand River Film Festival, Cambridge Community Foundation, and Cambridge Library & Gallery, to his current work with the Cambridge Symphony Orchestra, his commitment to ensuring these organizations and others like them flourish has never wavered.  So, it’s no surprise he is often the first person to step up to lend a hand. He also remains driven to ensure our community succeeds economically. In the 1990s he played a pivotal role in the creation of the city’s much talked about strategic plan called ‘Our Common Future’, as well Chaired the Cambridge Chamber of Commerce’s Board of Directors. In fact, his relationship with the Chamber has continued as Board Treasurer for the last 20 years allowing him to work very closely with its key officials in their efforts to assist our city’s business community grow and prosper. Also, his love of exploring new lands has made him an integral part of making our Travel Program a success, leading dozens of adventure seekers to exotic locations worldwide. He is a true community champion who never stops making an impact.

Labour shortages remain the persistent challenge for both the corporate sector as well as small business owners who insist the lack of skilled and unskilled workers is the biggest impediment to increasing sales.

These shortages are expected to get worse as baby boomers retire, despite the fact the participation rate in the labour market appears to be higher. According to an analysis piece last month in the Globe & Mail, as of February, that participation rate – the proportion of the population 15 or older that is working or looking for a job – was 65.7% which is the same as it was in April 2018.

But when it comes to finding people to take on leadership roles, the outlook is much more positive, says leadership coach and expert Julie Dupont, Principal Strategist and Owner of Cambridge-based Reimagine Leadership.

“Filling leadership roles hasn’t been a struggle as much as trying to fill the technical or skilled talent roles,” she said. “People are usually happy to step up into a higher pay cheque.”

However, with that promotion also comes immense responsibilities which Julie says not all people are able to handle.

“Being a leader requires a different set of skills and mindset,” she says, noting some organizations often struggle to get the right people to fill the right roles. “And when they have them, there’s always this fear they are going to leave.”

To mitigate that fear, Julie says personal development is imperative and investing in leadership training will benefit the organization.

“You want to spend the money where it counts and that is on your people right now because they need to see there is a future for them,” she says.  “Leadership skills are an investment in long-term success. If an organization makes you feel unvalued, it hurts.”

Among the most important skills are the ones centred around emotional intelligence, which includes self-awareness, self-management, social awareness, and relationship management.

“These skills are so crucial right now because people need to understand themselves and discover what their triggers are and if they’re going to be resilient,” says Julie. “They need to be able to figure out if what they do works, or if what they do gets in the way of them being successful.”

She says an employee can be great at the technical side of their job, but as a leader may not be much of a ‘people person’ and will struggle.

“It’s about creating that employee-centred approach and is about valuing each and every person in your care,” says Julie, noting that mindset shift can be very difficult for many people but that times are changing. “We are moving slowly in that direction but it’s a big ship and doesn’t turn on a dime.”

In terms of making that change, she says identifying your strengths as a leader is key and reiterates the value of training to create a foundation to help leaders succeed.

“When people feel a little more positive in their abilities, they’re likely to give themselves the grace of making better decisions,” says Julie.

Five skills to developing good leaders:

• Communication: Great leaders must be great communicators. We need people who can learn when to listen, ask the right questions, and speak words of encouragement and motivation to their staff. These skills can be taught.
• Accountability: Not only do we need to keep emerging leaders accountable we also need to teach them how to hold their team members accountable. Many emerging leaders have never been taught the skills necessary to manage staff and earn their respect.
• Time management: Moving people up in our organizations without giving them the skills to manage all the projects, paper and people in a timely manner will lead to burnout or, worse, a broken home life.
• Servitude: Great leaders serve their people by removing roadblocks to their staff’s success. We need to teach our leaders strategies to empower their people by supporting their efforts.
• Mentorship: Great leaders mentor and coach their team members so they can be successful. This isn’t a skill that comes naturally for many people. It needs to be taught.

•    Source Troy Media

Creating an economic environment to ensure businesses can succeed was the key part of the agenda at the Ontario Chamber of Commerce’s 2023 Annual General Meeting and Convention in Niagara Falls.

In attendance at the recent event, hosted by the South Niagara Chambers of Commerce and Greater Niagara Chamber of Commerce, were 160 delegates representing nearly 80 Chambers provincewide, including Cambridge Chamber of Commerce President and CEO Greg Durocher, and Board Chair Kristen Danson.

“The OCC’s AGM is an important avenue to share new ideas and connect with other Chamber leaders to find ways to ensure businesses have the legislative support they need to succeed,” he said. “The policies the Chamber network approves create a roadmap when it comes to making important legislative changes.”

In total, 43 policies were approved by the delegates covering a wide variety of issues that can directly affect businesses including labour, energy, education, healthcare, transportation and transit. 

The theme for this year’s AGM was Growing Together, which exemplifies the Chamber network’s focus on driving economic growth in the province. 

This year's event featured a range of keynote speakers, panel discussions, and breakout sessions on topics that are critical to the success of Ontario's businesses.

Attendees had the opportunity to hear from experts in areas such as innovation, trade, workforce development, and government relations.

Fireside chats were held featuring a variety of provincial political leaders, including Ontario’s Minister of Red Tape Reduction Parm Gill, who talked about the importance of creating a path for businesses to succeed. 

“I think we can all agree that for the province to be competitive we’ve got to make sure we are creating a business environment for businesses to come and make investments, and create well-paying jobs,” he told the delegates. “That’s what we (PC Party of Ontario) have been doing for the last five years. We’ve made tremendous progress.”

However, there is more room for improvement according to Ontario NDP Finance & Treasury Board Critic Catherine Fife. The Waterloo MPP, along with Ontario Green Party Leader Mike Schreiner, were among those who discussed a variety of issues that needed to be addressed such as housing and healthcare.

“When you have a strong healthcare system that can actually draw people into the province, that social infrastructure investment is seen as a plus by companies that are thinking of coming into Ontario,” she said. “And it also serves employees well and is certainly worth fighting for.”

Her concerns about Ontario’s healthcare system were reiterated by Ontario Liberal Party Interim Leader John Fraser, who talked about the importance of creating a stronger workforce.

“We do not have enough people to care for the people who need it,” he said. “We need a skilled workforce, but enough training is not always that accessible to all people.”

The Hon. Perrin Beatty, Canadian Chamber of Commerce President, also identified the need to boost our innovation capacity for Canada to compete internationally.

“We’ve been calling on the government to focus on the fundamentals of growth. We need to build a 21st Century workforce,” he said. “It’s time for governments at all levels to treat business as partners not a problem.”

Cambridge Chamber policies approved by Ontario delegates

The AGM is a pivotal event for Ontario’s business community, providing an opportunity for industry leaders to come together to discuss and debate key policies that shape the Ontario Chamber of Commerce’s (OCC) advocacy agenda for the coming year.

The Cambridge Chamber presented three policies, all of which received overwhelming support from delegates:

• The first policy is aimed at opening Ontario’s job market for employers and employees and urged the Government of Ontario to develop all potential partnerships within local municipalities and community organizations to ensure that language training is made available to new immigrants to help expediate entrance into the workforce. Also, the policy called on the Province to provide an opportunity for those on ODSP (Ontario Disability Support Program) who want to work to do so without risk of losing their provincially funded benefits if their employer does not provide those services. And finally, the policy recommended providing employers with a form of renumeration (i.e., tax credit) when it comes to providing provincially regulated training, such as WHMIS and their associate costs.
• The second policy was ‘reaffirmed’ by the Chamber network after first being introduced in 2019 calling for more to be done by the Province to encourage more women and girls to consider a career in the skilled trades. 
• The Chamber also presented and co-sponsored a policy with the Greater Kitchener-Waterloo Chamber of Commerce to attract and retain highly skilled talent by urging the Province to double the size of the Ontario Immigrant Nominee Program and to work with post-secondary institutions to reduce regulatory barriers hindering the construction of new on and off-campus housing. As well, it urged the Province to match investments in post-secondary infrastructure and increase funding for Facilities Renewal Program-elgible projects. 

The minimum wage in Ontario will increase on Oct. 1 to $16.55 an hour and could impact many businesses and their customers.

“I think we’ll be fine because I’m confident with our business model and location, but I think it’s going to affect some businesses dramatically because there is no way there can’t be an increase in prices on goods and services,” says Matt Rolleman, a Chamber Member and co-owner of Thirteen at the corner of Water and Main streets in Galt, noting like many restaurants the majority of his staff currently is paid above minimum wage.

While the same holds true for many tourism and hospitality businesses, the Tourism Industry of Association of Ontario (TIAO) says it will continue to advocate for tax reforms and other measures to help offset rising commercial costs and supply chain disruptions while promoting business growth.

“We’re constantly hearing from businesses about the rising cost of doing business, from paying down pandemic debt to supply chain disruptions that affect the availability of key goods and products, unaffordable commercial insurance premiums, and reduced liability coverage that may impact the scope of what operators can offer in the visitor experience,” says Dr. Jessica Ng, Director, Policy & Government Affairs for TIAO. “The labour crisis has only added to these costs, as businesses look for ways to recruit and retain the staff they need.”

She says reviewing compensation structures is one strategy to make tourism and hospitality jobs more attractive and sustainable.

“You have to try and pay people for their value, or perceived value,” says Matt, adding it is likely increases will be implemented for all his staff as minimum wage hikes close the salary gap between employees. “We’re doing our best to keep our prices where they are right now, but costs have gone through the roof and trying to manage all these things for all businesses has just become more tougher.”

Matt says the timing of the wage hike this coming fall so close to the December 2023 CEBA (Canadian Emergency Business Account) loan repayment deadline may also be an issue for many small businesses.

“For businesses that rely on part-time minimum wage workers there’s no way they cannot raise their prices,” he says, adding while boosting minimum wage is necessary to help ensure people can pay their bills, the way increases are introduced leaves a lot to be desired.

“It’s become too politicized,” says Matt, noting if it was indexed with a cost of living increase it may be easier to plan for it. “Businesses would expect it every year and maybe we wouldn’t have to have these huge increases that sensationalize the whole issue.”

We reached out to Chamber Member Jason Kingston, partner at the accounting firm Grant Thornton LLP, to get his perspective on this latest minimum wage hike:

Q.  What do you see as one of the biggest impacts raising Ontario’s minimum wage will have on businesses?

A.  Minimum wage increases are always a hot-button topic, with researchers and think tanks releasing contradictory articles and papers ranging from an increase causing either complete economic collapse or being the gateway to an economic utopia. That being said, the largest impact on businesses will be that those who rely on minimum wage earners as their employment pool will need to plan on how they are going to absorb the additional cost.

Q.  Are most businesses prepared for this minimum wage boost?

A.  I would say that many small businesses are not prepared. Could they have been? Undoubtedly. If a business is dependent on the portion of the labour pool who earn the minimum wage, then that business should always be prepared for increases. I think if you look back over the last decade, it’s easy to see more momentum towards increasing minimum wages and aiming towards a living wage, which is still projected as being much higher than the newly increased minimum wage point.

Q.  Could the Province have implemented a minimum wage increase in another way?

A.  An increase in the minimum wage does make sense, though the extent of the increase can be argued. The average wage increase, across the Ontario labour market in 2022 has been pegged by many as approximately 4%.

A minimum wage increase is an easy solution for the government. It allows them to say that they’re doing their part to combat poverty and wealth inequality. But ultimately it puts the burden on employers, not the government itself, and it still falls far short. For example, under the increased minimum wage the monthly gross income of a full-time employee will be about $2,800. The average cost of a one-bedroom apartment in our region is $1,950 per month. It isn’t hard to see the challenges here.

I think there are larger issues surrounding minimum wage and its purpose and policy reasons which the government should examine.

Common alternatives to minimum wages which are commonly discussed are introducing more collective bargaining options for employee groups, introducing a universal basic income or other government supports for low-income individuals, etc., but these also introduce challenges and differing opinions.

A recent report released by the Conference Board of Canada indicates Waterloo Region’s economy will be slower this year but predicts it will outpace the provincial economy.

While the impact of a potential slowdown is a concern, one of the key issues for local businesses remains a shortage of workers.

The unemployment rate in our region hit 5.5% in 2022, compared to 6.5% in 2021 and 9.6% in 2020. This year, it’s expected to reach 5.8%.

Provincewide, the latest numbers from Statistics Canada showed there were 372,000 job vacancies during the third quarter of 2022, nearly double the average of vacancies (195,000) reported during the three years leading up to 2020.

In effort to provide local employers with another avenue to find talent, the Cambridge Chamber of Commerce recently launched its online job portal.

“Labour shortages continue to be an issue in so many sectors,” says Cambridge Chamber of Commerce President and CEO Greg Durocher. “By providing as many opportunities as possible for local employers to find the help they require is a benefit to our business community as a whole and we’re glad to be able to offer this service.”

The easy-to-use portal can be accessed by the public to search and apply for positions posted by Chamber Members in a variety of sectors. 

Chamber Members can upload and manage their own posts, which includes contact information and job descriptions.

The system allows job seekers to search for positions in Waterloo Region and the surrounding area.

Current posts feature jobs in several sectors, including the financial, insurance, medical and automobile industries.

“It’s a very user-friendly system giving our Members the ability to post multiple job opportunities,” says Greg, noting the Chamber does not manage the posts itself.

Visit the Cambridge Chamber of Commerce job portal to learn more.

A few facts and figures:

• In Waterloo Region, the employment rate in 2022 rose by 10,700 jobs (3.3%) to a record 332,140, compared to an increase of 15,250 jobs (5%) in 2021.
• Overall employment is in our region is expected to increase by 1% this year due to 4,250 jobs in finance, insurance, and real estate, as well as 3,300 jobs in manufacturing.
• 60% of the job vacancies in Ontario require no more than high school education, paying on average less than $20 an hour. 
• Nearly 200,000 jobs require less than one year of experience.
• More than one-third of the job vacancies are in sales and service.

The concept of a four-day work week has been gaining attention in Ontario, thanks in part to the decision by at least seven municipalities that are now offering their staff the flexibility of that option.

But the merits of such a system, which has become commonplace in many European countries including Denmark, Germany, Norway, and the Netherlands, is the subject of much debate among critics and advocates in North America.

While there are those who believe implementing a shorter work week is impossible in many sectors resulting in additional costs for overtime or hiring more staff, not to mention placing more stress on employees to get their work done in a shorter time frame, others insist such a system creates a better life balance and overall sense of wellbeing that can inspire increased productivity.

“There has been a lot of upheaval in workplaces which has opened the doors to rethinking arrangements,” says Ellen Russell, Associate Professor of Digital Media & Journalism at Wilfrid Laurier University and a labour market and economics expert.

She believes the next generation of employees may not understand the need to have arbitrary time limits placed on their work hours. “If there is not a reason then my guess is these future workers would really find it strange to be so arbitrary for no apparent reason,” says Ellen.

This is a subject Joe O’Connor, Director and Co-founder of the Work Time Reduction Center of Excellence (WTRCE), is more than familiar.

As the former CEO of 4 Day Week Global, which has been leading four-day work week trial programs with businesses worldwide, including 10 in Canada, he is a strong believer in the concept and through the WTRCE has been partnering with organizations to support their transformation to a shorter work week.

His organization is a proponent of reduced work hours schedules, not just a compressed model where employees are required to work 10-hour days four days a week.

“Arguably, post COVID-19 quality of life is now the new frontier of competition,” says Joe, adding for many workers it means more than compensation. “One of the things I have observed is the shift towards embracing shorter work weeks has happened at all three traditional layers of the organization.”

He believes business leaders have become more ‘open’ to it because they see the potential benefits in terms of attracting and retaining talent, and that many managers are more comfortable with this type of system because they are now familiar with measuring outputs rather the length of time people spend at their desk.

“For the employees, it’s really the demand effect. The value people have placed on time as a benefit has greatly increased because of what people experienced during the pandemic,” says Joe.

But he is quick to point out there is no ‘one size fits all’ solution when it comes to implementing a shorter work week.

“This is not something that should be implemented the same way from business to business, and industry to industry,” he says, adding in larger organizations work models could even vary between departments. “There will still be a need to facilitate different kinds of irregular work patterns based on business needs and employee preferences.”

Employee support is key says Joe when it comes to implementing such a drastic change, which means taking a hard look at how an organization operates, noting that introducing a shorter work week could be met with fear and skepticism.

“This is something that really works in organizations with very strong work cultures,” he says, adding going through a thorough evaluation process can galvanize a team as efficiencies are found so they can accommodate that addtional time off. “There is a real collectiveness at the heart of this and it relies on a commitment within teams and departments to find ways to change how they do things together to make it a success.”

Joe is confident within the next few years shorter work weeks will be the norm in sectors like information and communication technologies, software companies, and financial services. He also notes that two Canadian law firms, YLaw in B.C. and The Ross Firm in Ontario, have both switched to a four-day work week, something many in the legal industry deemed would be impossible due their current billing systems.

Joe says YLaw accomplished this shift by finding efficiencies in its operations and the latter firm did it by implementing a fixed fee billing system.

“My prediction is that in five years’ time, this is going to be the norm in some sectors and in 10 years it’s going to be more common than a five-day week,” says Joe, adding the potential is there to implement this concept in many sectors, including manufacturing. “I think there is an opportunity here for proactive leaders and strong organizations. Now is the time to really set yourself apart from the competition.”

Pros of a four-day work week

• Productivity may increase
• Workers can take care of medical and other appointments on their days off
• Recruitment and retention may be easier by offering flexible work hours
• Reduced stress and a better life-work balance, allowing employees more time for other activities and hobbies
• Commuting less by employees could have environmental benefits

Cons of a four-day work week

• For hourly paid jobs, employers should check if they will need to pay overtime if staff work 10 hours a day
• If may be difficult to find daycare open for a 10-hour day to meet childcare needs
• Working longer days or trying to complete tasks in a shorter timeframe could have health impacts
• This may not work for all industries, such as farming, customer service and restaurants
• Ensuring customer and client coverage can require scheduling employees over different workdays

A tidal wave of business ownership change is coming, and many business owners should be preparing now, urges Carson O’Neill, Managing Principal of Rincroft Inc., a Waterloo Region-based company which facilitates the sale of small and medium-sized businesses.

His firm has completed the sale of more than 50 family-owned businesses, many of them in Waterloo Region.

Carson most recently penned a book for business owners entitled The Road to Enterprise Value.

He confirms that most owners of Canada’s 1.2 million SMEs are now in their 50s and 60s and looking to sell their businesses over the next five years to fund their retirement.

“The owners are capable in running the operation. They’re down to earth, salt of the earth people and smart,” says Carson. “But most have never been down this path before. For many of them, it’s unchartered water with a lot of money on the table.”

Carson adds that the process is complicated and can last six to nine months.

“There are many issues above and beyond agreement on purchase price. Who’s going to pick up the employees? What about the future of the manufacturing facility? What about the leases? What about the intellectual property? It can be complex and multi-dimensional.”

As entrepreneurs, he says business owners often are often inclined do everything themselves which runs the risk of them receiving much less than what their business is worth, in turn resulting in a less comfortable ‘nest egg’ for retirement.

“The buyers are typically aggressive and want to get the price down,” says Carson. “They’re professional buyers, many of whom who’ve bought many businesses before, so they want to work with a business owner who unfamiliar with the process.”

To better understand the process of selling a business and some of the factors that drive business owners to sell, we discussed several questions:

Q. What would you recommend be the first steps a business owner should take when it comes to selling?

Carson: Delay if you possibly can and get the business in good shape. The business owner should step back, assess the state of the operation, and take steps to strengthen it any way possible. They should not be in a hurry to go to market; our company sometimes takes months working with owners to build the business up before the divestiture process even begins. The best defense is a good offense. Don’t go into this defensively, thinking ‘oh, we have to retire now’. You need to make sure the business is fundamentally strong to secure top dollar.

Q. What are some of the misconceptions a business owner may have when it comes to the process of selling?

Carson: Having never been through the process before, many owners think selling a business is like selling a house. The process is far more complicated and takes much longer. The valuation is far more complex, the information package is far more extensive and there are multiple conditions which need to be met before the funds are wired. Is there inherent value in the business? Does the business have unique capabilities so it can be sold? Where is the ‘secret sauce’?

Q. Other than impending retirement, what are some other reasons a business owner may decide to sell?

Carson: There are usually three other reasons: health problems with one of the owners; shareholders issues with at least one shareholder in need of cash; or the business has plateaued and is going south and that is never a good time to sell a business. Other reasons can include major players are entering the market with vast resources to spend to build market share and the owners are justifiably concerned they will have difficulty competing. They may not yet have reached retirement age, but they are concerned that the value of the business may well go down in the years ahead, so they are better off to sell now.

There is also the possibility of a pre-emptive offer. It is not uncommon for a buyer to approach an owner to buy even if the business is not being sold. This happens with very strong businesses. Sometimes millions are put forth, well over the assessed value. Owners may not have ‘planned’ to sell but many will seriously consider if the price is right.

Finally, the next generation has made it clear they have no interest in the family business. The owners may be in their late-40s with the second generation in their early-20s but that serves as a valuable wake-up call that it is inevitable the business will change ownership. With the emergence of the digital economy, at an early age, many in the next generation have absolutely no interest in ever taking ownership of the established family business.

Q. How has the pandemic affected the sale of businesses?

Carson: Not really. In the early months of the virus there was a period of adjustment, but people realized there was very little need to meet to complete the transaction. Our business did not miss a beat; actually, it got stronger. The change in ownership in Canada will continue relatively unaffected by the ebb and flow of the economy.

The reality is many owners have too much money locked in their business – they usually need it for a comfortable retirement. That has remained the primary reason why they sell, whether the pandemic is here or not. Canadian business owners are getting older. You can’t stop ‘Father Time’.

Q. How has the process of selling a business changed?

Carson: It is now more complicated due, in part because due diligence has become much more rigorous. We live in an age of increasing importance of transparency and full disclosure. No stone will be left unturned. Buyers will look at everything.

Did someone slip on the ice outside your business? What insecticides do you use on the grass and plants? Do you have an alleged harassment situation happening? If one is pending, it must be dealt with because the buyer doesn’t want any liabilities and will walk away. Due diligence and purchase agreements alone can now take three months.

A new year has begun and with it comes challenges ahead for businesses.

Even though there are signs economic conditions are improving, such as a relatively fast drop in inflation and labour market additions, many small businesses are likely to feel the pinch of rising interest rates, the threat of a looming recession, and persistent labour shortages in 2023.

We reached out to Noah Jensen, a partner at Racolta Jensen LLP in Cambridge, to get a sense of what businesses can expect in the coming year:

Q.  What priorities or potential pitfalls should businesses wishing to expand in 2023 keep in mind?

Noah: Keep acquisitions open as an option. There are quite a few business owners with established businesses who are looking to divest themselves into retirement. Lower-mid market acquisitions (say, less than $10 million in value) are starting to see more supply than there is capital for private equity/investment firms to invest, especially on smaller deals. Acquiring an established brand with a customer list and team of trained employees that have complementary customers, production process, and/or supply chain partners can help achieve more scale by eliminating redundancies in the combined business after the acquisition is complete.

Avoid over-committing on cash, or over-hiring of employees. In the start-up world they   call this “lengthening the runway” by containing overhead costs. Labour is a fixed cost in the short-term and a variable cost in the long-term, be selective on who is being hired for what as many customers in the business-to-business landscape are being more thoughtful about purchases and many things are being delayed.

Q. How should businesses prepare for potential economic slowdowns this coming year?

Noah: Evaluate pricing. Costs have risen substantially in the past two years and there are still some businesses that have not adjusted their prices to their customers. If you have not changed pricing because your competitors have not changed theirs, you may have an issue with productivity to look at. If the market price has gone up and you have not changed your price, look at a price increase as an option. If your customers are unable to accept a price increase, look at the profitability of the relationship and consider not serving the client any longer.

Be clear on terms of payment with customers and suppliers to think through forecasting your cash flow over the next several months. Look into how this can be done with your accountant and/or bankers to see about a back-stop financing facility if needed. It is generally better to ask for financing facilities when your company is showing good financial results. You will not regret doing so now before things get too grim.

Think through your cost structure for any commitments to experiment with new products or services for your business that you thought would improve the productivity of your business. Are they all working? Is there anything that could be cut?

If you are in the business-to-business market, talk to your customers. What trends are they seeing from your competitors that they like or don’t like? How could you provide a better solution for them?

Do you have any redundant assets on your balance sheet? This would be assets that have no value to the operations of your company that have monetary value.

Q. Will this be a good year for businesses to make productivity investments?

Noah: Productivity investments will need to continuously be considered in today’s economic climate. Whether you are in dairy production or robotics, your competitors are purchasing equipment and/or software that is allowing them to get work done with less labour (a necessity in today’s labour market).

Q. How important is it for businesses to ensure they have a solid succession plan in place?

Noah: It is important to always consider the contingency plan of your business. If you are young with the intention of running your business for the long-term, failing to plan for what happens if you are suddenly disabled or facing terminal illness will put you and your family in a precarious position if any of those events transpire and you are unable to run the company. Certain insurance products mitigate the financial impact of this, but you still need to consider what shape your company will be in if you are eventually able to return to work.

If you are older and considering retirement, you should be thinking about this five-10 years out. Some considerations:

1. Customer concentration: try to avoid having a lot of revenue tied to one customer relationship
2. Supplier concentration: try to avoid having a lot of your inputs concentrated with one supplier.
3. Management aptitude: always be grooming someone else (or a couple of internal candidates) to do your job.
4. Cash flow: the valuation of the company is often determined on a multiple of cash flow. If you are selling at five times multiple, a $1 increase in cash flow increases your value by $5. So, make sure you are dialed in on profitability.
5. Structuring: the structure of corporations will make a difference in the taxation of the sale, and you should be thinking of this a couple of years prior to sale.

Q.  What should business owners consider if they are planning an acquisition in the coming year?

Noah: Be aware of market trends. With uncertainty in the system related to financing costs (interest rate driven) and risk tolerance of people investing in private companies, there will be ebbs and flows in the low-mid-market mergers and acquisitions environment.

According to a recent poll, 2022 Q4 had a pull-back in interest on the buy-side of acquisitions which could indicate that the bargaining power could tilt in the favour of buyers rather than sellers. We have seen a lot of interest in our existing clients wanting to sell. Mainly related to age/retirement.

Be aware of the quality of earnings that are presented. While many people had an amazing fiscal 2022, if you broke it down by quarters, they were increasing prices to their customers faster than they were adjusting their costs for labour. Additionally, certain industries would have been on fire during the low-financing cost era (residential/industrial construction, auto sector manufacturing), that will be facing downturns in the upcoming year or two.

Q. Will 2023 be a good year to start a new business?

Noah:  Every year is a good year to start a new business if you have a good idea or good contacts in a particular field. The difficult thing about right now is that people currently employed will probably be seeing the best of the best in terms of offers for their labour time and talents due to the shortage.

The upside to starting a business right now is that a lot of people throw in the towel when there is the amount of uncertainty as there is right now with the changing economic landscape. This creates new opportunities for people.

 The municipal election this past fall resulted in some new and familiar faces around local council tables, each prepared to represent the needs of their constituents and communities to the best of their ability during their next four years in office.

In the winter edition of our Insight magazine, to be released this month, we reached out to the municipal leaders for the City of Cambridge and Township of North Dumfries, along with Cambridge’s two regional councillors, to get a sense of what issues and concerns they believe are facing the business community and to provide potential solutions to make things even better to conduct business locally.

Each were asked the same series of questions in hopes of providing our business community with a snapshot of what approaches our municipal leaders will be taking over the next four years.

Here’s a portion of their responses to a few of the questions:

1. How do we make Cambridge/Township of North Dumfries even better places to do business?

Cambridge

Mayor Jan Liggett: “Connecting equity to transit-oriented development can mitigate traffic and pollution, generate demand for transit, catalyze the development of affordable housing, and bring new businesses and quality jobs to our community.”

Donna Reid, Ward One: “Council needs to support development because more people will generate more business and needs to consult our businesses as to their needs to ensure we will be providing the services that will assist them.”

Mike Devine, Ward Two: “Our tax base is an issue, and we must see that it’s set in a reasonable manner for businesses, especially since we have moved into more higher-tech manufacturing than we’ve previously seen in Cambridge in the first 30 years.”

Corey Kimpson, Ward Three: “We have to look at the processes we have in place and really look at having a collaborative approach between the levels of government, the community and business community.”

Ross Earnshaw, Ward Four: “For Cambridge to be perceived as an attractive place to do business, our downtowns must be seen as safe, comfortable, and truly fun, public places.”

Sheri Roberts, Ward Five: “Having the appropriate infrastructure in place such as safe roads, well planned parking, and other supports and services for employees and customers, will make it as easy as possible for companies to focus on the running of their business.”

Adam Cooper, Ward Six: “I would like to see improved road networks to get large this truck traffic out of our downtown areas and major roads such as Hespeler Road and King Street.”

Scott Hamilton, Ward Seven: “It’s important that we increase density in our cores to support businesses and large-scale infrastructural projects such as the LRT.”

Nicholas Ermeta, Ward Eight: “We need to constantly review and improve customer service levels at City Hall. We need to always strive to provide timely service and assistance when needed.”

Township of North Dumfries

Mayor Sue Foxton: “We must link quality of life attributes of the community and countryside with the business opportunities of the area and continue with the current program underway to facilitate the installation of fibre to the address across North Dumfries.”

Rod Rolleman, Ward One: “We need to market North Dumfries as the rural escape for city residents to the north and east of us.”

Derrick Ostner, Ward Two: “We can make North Dumfries a better place to do business by being more engaging with prospective businesses.”

Alida Wilms, Ward Three: “I love being part of a rural community and think there are incredible business opportunities here for any aspiring entrepreneur.”

Scott Tilley, Ward Four: “By encouraging and supporting businesses to set up in North Dumfries it will be a win/win for both the residents and business, as they will both support each other.”

Region of Waterloo

Doug Craig, Regional Councillor: “Rapid transit options must proceed, safety in our downtowns must be safeguarded and everything from recreational facilities to health services must continue to be improved.”

Pam Wolf, Regional Councillor: “To attract business to Cambridge we need to make it attractive to their employees. They want good schools, safe neighbourhoods, recreation facilities and arts and culture.”

2. What do you think are the biggest concerns facing businesses in Cambridge/North Dumfries and how will you address them?

Cambridge

Mayor Jan Liggett: “Labour shortage is a North American problem. We have universities, colleges and training facilities close by which graduate high quality staffing for companies. I will continue to work with them to encourage the growth of these educational facilities.”

Donna Reid, Ward One: “Our core areas struggle with the homeless, addicted and those with mental health issues. Our council needs to provide more services to address the needs of these vulnerable people.”

Mike Devine, Ward Two: “The tax base is clearly an issue for businesses and the cost of city services, such as snow plowing, are also an issue.”

Corey Kimpson, Ward Three: “Having things ready to move as quickly as possible is paramount, because when a business is ready to do something, they’re ready to go and can’t be waiting, especially in this economy. Is there a way we can fast track and expedite things?”

Ross Earnshaw, Ward Four: “Business owners do not feel like their voices are being heard by municipal leaders. It is important that we give local businesses a voice at City Hall.”

Sheri Roberts, Ward Five: “The cost of doing business goes up every year.  One way that municipalities can help with this is by streamlining the processes around opening a new business.”

Adam Cooper, Ward Six: “We need to lobby the provincial government for long-term detox and rehab facilities while also reconsidering the services offered downtown to prevent our core from becoming the dangerous playground for untreated addiction that it has become.”

Scott Hamilton, Ward Seven: “We all need to work to ensure that we have a skilled workforce, that conditions are ripe for quickly and efficiently importing supplies and materials as well as exporting our products to market.”

Nicholas Ermeta, Ward Eight: “Affordability or lack thereof are big concerns for businesses. I want to minimize future tax increases by reviewing the budget to find greater efficiencies and to find new funding models that rely less on property taxes.”

Township of North Dumfries

Mayor Sue Foxton: “Concerns include the cost attributed to the purchase of land for employment purposes, the timelines and cost for “approvals” to bring a development proposal forward to the marketplace, plus the ability to attract and retain employees for new or growing businesses and access transit to facilitate this. Council in June 2022 adopted a position to streamline the review and approvals process associated with site plan approvals. This measure should witness a reduction in the timelines to secure a decision.”

Rod Rolleman, Ward One: “The three biggest concerns facing businesses in North Dumfries are labour shortages, poor quality internet, and lack of commercially zoned properties. The Township needs to partner with the private sector and bring high-speed internet to our business parks.”

Derrick Ostner, Ward Two: “Biggest concerns are having the available land, and proper internet.”

Alida Wilms, Ward Three: “As more people move into the area, there’s greater pressure on our rural and natural areas because of the increased housing needs.

Scott Tilley, Ward Four: “Planning for future parking and dealing with current parking issues by working with the community residents and businesses to get their feedback, I will assist in making it easier for businesses to be accessed by listening to the people who are in the area regularly.”

Region of Waterloo

Doug Craig, Regional Councillor: “Safety in our community on the streets, in our parks and in our downtowns must be improved to have a safe, liveable community.”

Pam Wolf, Regional Councillor: “One of the biggest challenges to business is attracting and retaining staff. To help with this we need to build more housing including affordable housing to house staff.”

Quiet quitting, thanks to viral posts on social media, has become a term very familiar in workplaces worldwide.

It describes the phenomenon of employees who no longer go above and beyond by doing only what is expected in effort to maintain jobs that may no longer interest or inspire them.

This disengagement from work has grown exponentially since the pandemic. In fact, the 2022 State of the Global Workplace report from Gallup shows only 21% of employees are engaged at work.

“We’ve come through such a crisis over the last couple of years. To some extent, I think we’re over it now, but it has forced people to make different decisions about work, especially if they were burnt out already,” says Frank Newman, CEO of Newman Human Resources Consulting, who will explore quiet quitting at a Cambridge Chamber of Commerce webinar Dec. 1 entitled Is Your Team Quietly Quitting?

He will not only touch on some of the top reasons why employees quietly quit as well as the warning signs but provide insight on how employers can alter their work environment so they can not only attract but, more importantly, retain employees.

“You want to make sure you create the best work environment as possible,” says Frank, acknowledging the existence of an “employees’ market” due to labour shortages.  “That really means taking a very critical look at your work environment. Do you know what people need? Is it benefits? Is it better management? This is the ideal time to do an employee survey or workplace assessment to provide you with some sort of tool you can use to get a fix in terms of what are you going to fix first.”

He says this process may not prove to be a comfortable experience for some workplaces, however, insists this information can go a long way in assisting an organization set benchmarks regarding branding, image or even compensation.

“There are so many changes happening right now and if you don’t understand where you’re going or where you’re at, it’s pretty hard to make any progress,” says Frank.

He also recommends employers conduct exit interviews, formally or informally, to get a sense of why an employee has decided to leave.

“Make sure you understand what people are feeling. Also, spend some time with your newest employees and ask them what attracted them to your organization.”

Frank says in the age of social media, it’s important to encourage people who leave to remain an ambassador for the organization adding that bad reviews tend to get more traction than good ones.

“Organizations need to think about that as they manage those who are quietly quitting and those who suddenly walk out the door,” he says. “I always encourage my clients to search various job boards to see what’s being said about them.”

Frank admits it’s a tough time to be a manager right now, noting that employees have become much more critical on how their companies are managed than they were in the past.

“People looking for work have so many options out there now, and if you’re a hiring manager, it’s putting more pressure on management to get work done with less resources,” he says, noting the difficulty this causes employees who are now required to pick up the slack due to staffing shortages.

However, Frank says he’s optimistic as the economy continues to readjust following the pandemic there will be less quiet quitting.

“As companies get smarter in managing their businesses and people, I think you’ll see less of that," he says.

Work Trends Facts:

• Burnout is a big risk in the workplace, especially amongst younger Gen Z professionals aged in their 20s, research shows. A survey of 30,000 workers by Microsoft showed 54% of Gen Z workers are considering quitting their job.
• In its 2021 Global Risks Report, the World Economic Forum ranks “youth disillusionment” as eighth of 10 immediate risks. Findings include deteriorating mental health since the start of the pandemic, leaving 80% of young people worldwide vulnerable to depression, anxiety, and disappointment.
• Workforce data from organizations including McKinsey & Company suggests 40% of the global workforce are looking to quit their jobs in the next three to six months.

Source: World Economic Forum website