People in These Canadian Cities Are Most Likely to Work From Home: Study

People in These Canadian Cities Are Most Likely to Work From Home: Study
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Carolina Avendano
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The likelihood of Canadians working from home varies from city to city, with regional characteristics and the type of industry being major factors, a new study suggests.

Ottawa has the highest rates of remote work in the country, with 35 percent of its employees working entirely from home, according to a recent study by the C.D. Howe Institute, based on data from 2022 and 2023.

The large working from home trend in the nation’s capital is due to the wide availability of “office jobs” coming not only from the public sector, but also from industries such as finance, business, and administration, said Tammy Schirle, author of the study.

Gatineau and Toronto follow in second and third place, with more than 30 percent and more than 20 percent, respectively, of employees working entirely from home. In contrast, Prince Albert, Sask., ranks last with less than 10 percent of its employees fully working from home.

“Canadians are settling into new work-from-home patterns,” wrote Schirle.

“However, the likelihood of working remotely varies significantly depending on where you live and the type of work you do.”

Factors that influence a Canadian’s likelihood of working from home include the population density of the area in which they live, commuting times, their level of education, and occupation.

Long Commutes and Population Density

The study found that long commuting times increase the likelihood of work-from-home arrangements. Toronto stands as a prime example, the study said, with high population density, an average commuting time of 34 minutes in 2016, and one of the highest rates of working from home in recent years.

Lethbridge, Alta., on the other hand, has a comparatively lower population density (less than 4 percent that of Toronto in 2021) and shorter commuting times at 17 minutes in 2016, which, according to the author, may explain why it ranks fifth last in work-from-home rates in Canada.

But the trend does not hold in other cities. In Wood Buffalo (Fort McMurray), Alta., for example, commuting times were almost as long as those in Toronto in 2021—mainly due to larger distances between residential areas and work sites—and population density is comparably low, yet remote work rates are among the lowest in the country. The author said this indicates other factors affect the ability and desire to work from home, including the availability of reliable high-speed internet.

Occupation and Industry

The feasibility of working from home influences its likelihood, says the study. Office jobs, for instance, tend to be more adaptable to telework, which may explain why office-based industries have some of the highest remote work rates.

The finance and insurance sector has the largest proportion of remote work employees, with 65 percent of them having some form of remote work arrangements, including hybrid work. Professional, scientific, and technical services rank second, with almost 60 percent of employees having remote work options. The information and culture industry and public administration are in third and fourth place, respectively.

This may explain the high rates of work from home in Gatineau, the author noted, as nearly 25 percent of its employees work in business, finance, and administration occupations.

The accommodation and food services industry ranked lowest in work-from-home arrangements, followed by construction, where only 8 percent of employees had remote options. Retail trade came in third from the bottom, while transportation and warehousing were fourth from the bottom.

Workers in large companies or in companies with multiple locations are the most likely to be offered the opportunity to work from home, according to the study.

Educational Attainment

The rate of remote work appears to have a directly proportional relationship with the level of education, the author found, with only 10 percent of those with a trade certificate or diploma having remote options. In contrast, 37 percent of employees with a bachelor’s degree work from home or have hybrid modalities.

High school graduates and those with some post-secondary education appeared more likely to work remotely than people with trade certificates, but no more so than those with college education.