$100 Billion in Lost Output: Canada's Health-Productivity Gap

Poor health and related caregiving responsibilities cost Canada's economy more than $100 billion in lost output in 2025, according to a Deloitte report.

The report uses a Health Productivity Gap framework to quantify the economic cost of poor health, estimating that reducing health-related barriers to workforce participation by 25% could recover more than $25 billion annually.

The losses come from three categories: morbidity (living with a health condition), unpaid caregiving, and premature death. Morbidity was associated with $55.1 billion in lost economic value due to time away from work, while unpaid caregiving cost $48.5 billion in lost labour income.

The report also notes that Canada is spending more on healthcare than ever, likely around $400 billion in 2025 (12.7% of GDP), yet ranks below average on many health metrics.