Quebec’s business environment is reportedly still lagging behind other Canadian provinces and developed countries, according to an analysis by the Quebec Employers’ Council (CPQ) released Thursday. The association, which represents employers, gave Quebec’s economy a grade of “C.” The rating has remained unchanged since the CPQ began its assessments in 2010. CPQ President and CEO Michelle LLambías Meunier says she believes that Quebec has been “treading water” on several of the 20 indicators tracked. The association, which uses a quartile-based ranking system, compares Quebec’s standing to the overall Canadian average in addition to the provinces of Ontario, Alberta and British Columbia. It also compares it to member countries of the Organization for Economic Cooperation and Development (OECD). Among the highlights, Quebec stands out favourably in terms of the tax rate on new investments. The marginal effective tax rate on investment (METR) is 7.9 per cent in Quebec, compared to an average of 13.2 per cent in Canada and 17.6 per cent in the United States. The report notes, however, that there are more regulatory requirements in Quebec. The CPQ says it is also concerned about the high school dropout rate, as 9.4 per cent of people aged 20 to 24 do not have a high school diploma and are not attending school. By comparison, the Canadian average is 4.4 per cent. This report by The Canadian Press was first published in French on Oct. 29, 2026.
