CBJ JUNE 2026

13 CANADA’S AI ECONOMY: GOVERNANCE, TRUST, AND THE FUTURE OF WORK JUNE 2026 « The Canadian Business Journal 12 producing all content directly to managing and refining machine generated work. This change has two important implications. First, it increases productivity per worker, which can be beneficial for economic output. Second, it changes the skill profile required for employment. Workers increasingly need to understand how to interpret AI outputs, identify errors, and integrate machine assistance into decision making processes. Canada’s exposure to white collar jobs transformation Canada is particularly exposed to these changes because a large share of its economy is concentrated in services. Banking, insurance, real estate, public administration, education, and professional services account for a significant portion of employment. These sectors rely heavily on structured information processing and communication tasks, which are highly compatible with AI systems. This does not mean these jobs disappear entirely. Instead, the composition of work inside them changes. Roles that once involved drafting documents, preparing reports, or handling routine client communication are increasingly supported by AI tools. Workers spend less time producing first drafts and more time reviewing, interpreting, and making decisions based on AI assisted outputs. The most immediate labour market effect is therefore subtle but important. Demand for new entry level positions may weaken even if overall economic output continues to grow. This creates a potential bottleneck in career progression,