Restructuring in a Global Economy: Is Corporate Canada Being Hollowed-out?

“Hollowing-out” for the purpose of this research is defined as the movement out of Canada of either a corporate head office or the senior operating team of an organization. It is an issue that requires close scrutiny.

Document Highlights 

Several factors contribute to a company’s decision to relocate its head office or key people to another country or remain in Canada. Although there does not yet appear to be widespread hollowing-out in the Canadian economy, the warning signs are evident. This is a complicated issue that will have to be addressed by both industry and government in Canada as its potential consequences are simply too significant to ignore.

This report looks at:

• the consequences of hollowing-out;
• why companies leave or stay in Canada; and
• how hollowing-out can be avoided.