Productivity in Residential Care Facilities in Canada, 1984-2009

Abstract

This article examines the productivity performance of the residential care sector in Canada. The output of that sector is currently measured by inputs in the current national accounts and therefore cannot be compared with inputs to provide a meaningful indicator of productivity for the sector. In contrast, the output measure in this article is a direct output measure that can be used to estimate the productivity performance of the sector. We find that labour productivity was virtually unchanged in the sector in Canada over the 1984- 2009 period, with a large variation in labour productivity growth across the provinces. The level of labour productivity in residential care facilities also differs significantly across the provinces, reflecting differences in the ownership structure (private vs. public) and the size of residential care facilities.

Keywords

• labour productivity
• residential care
• canada