A new economic study carried out by the firm Delorme Lajoie, on behalf of the Quebec Council of Adapted Enterprises (CQEA), confirms the major economic benefits of adapted enterprises in all regions of Quebec, according to mêas well as their positive fiscal impact for governments.
The study reveals that Quebec’s 37 adapted companies create nearly 4,000 jobs for workers with functional limitations, representing a payroll of $221 million, in addition to generating expenses of nearly $300 million in the Quebec economy. . In addition, adapted businesses bring in more to the governments of Quebec and Canada, in tax terms, than they cost in subsidies. Their net fiscal impact translates into an annual gain of $24 million for the state coffers.
“The social impact of adapted businesses has been known and recognized for a long time. We have always enabled people with functional limitations to improve their quality of life, in addition to contributing to the development of their autonomy and employability. However, these new data shed new light on their economic contribution to Quebec. Supporting adapted companies and the employment integration of people with limitations also pays off economically,” underlines the general director of the CQEA, Stéphane Thériault.
A positive tax impact
Adapted companies make it possible to integrate people into the labor market who, without their existence, would depend on state support. In a context of labor scarcity and tightening public finances, their contribution appears more relevant than ever.
More precisely, the study reveals that adapted businesses bring in nearly $75 million in tax revenue for the two levels of government, in addition to avoiding costs of $54 million in benefits of all kinds (social solidarity benefits, credits GST or solidarity, etc.), for total gains of $129 million. In comparison, adapted businesses receive some $105 million annually in wage subsidies via the Adapted Business Subsidy Program (PSEA). The difference translates into an annual gain of nearly $24 million for public finances.
“This study demonstrates that the Quebec model of adapted businesses is profitable. After more than 40 years of existence, the CQEA network is a model that stands out socially in North America, in addition to being economically profitable. We can be very proud of it,” says the president of the CQEA board of directors, Jean-Sébastien Daigle.
Methodology
All economic impacts, avoided costs and gains were established taking into account adjusted business spending and information available for the 2021-2022 financial year, with data for more recent years being incomplete or unavailable . The objective was to reflect, as faithfully as possible, the economic impacts generated by the presence and actions of Quebec adapted companies. A conservative approach in the evaluation of avoided costs and economic gains was favored.
About the Quebec Council for Adapted Businesses
Created more than 40 years ago, the network of adapted companies includes 35 companies spread across Quebec, which operate more than sixty establishments. The common mission of adapted companies is to create and maintain quality jobs, in a work environment adapted to people who live with functional limitations.
