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Small businesses might have to make workforce adjustments to cope with tariffs: poll
Canadian small and medium businesses, facing tariffs, prefer workforce adjustments like reduced hours or hiring freezes over layoffs. However, these measures may only be sustainable for 6-12 months before more significant workforce reductions become necessary. Industries with high fixed costs may face earlier pressure for more dramatic adjustments. Businesses may cut investments in research and development, and revenue impacts could threaten viability. The report recommends trade diversification, diplomatic engagement, innovation incentives, alternative market entry strategies, supply chain flexibility, and operational efficiency improvements.
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