The Toronto Star’s Sandro Contenta provides a sneak peak of our study of future of the Ontario economy, led by Rotman School Dean Roger Martin and myself.
The $2.2-million report is expected in February. Florida and Martin say it’s too early to discuss specific recommendations. But in separate interviews, they make clear they will focus on strengthening the Toronto “mega-region,” investing massively in infrastructure, greatly expanding post-secondary education, and managing a seismic transformation that will eliminate most manufacturing jobs, but may also threaten social peace. “If we don’t do this adjustment right, if we lose social cohesion, we’ll never get it back,” says Florida, director of the Martin Prosperity Institute, affiliated with the University of Toronto.
The full story is here.
December 14th, 2008 at 1:27 pm
I’m especially glad to see the warning about “social cohesion.” I’d like to see, think, and and talk more about that aspect. We’ve seen mill and mine towns disappear in Ontario’s history, but what happens when the existence of a city the size of, say, Windsor is threatened? And I’m looking at where I live, in London, wondering how this city would adapt. On one hand there’s a lot of education, research, creative class stuff happening here; on the other hand the city’s culture seems dominated by an old economy mindset: our reaction will likely (wrongly) be to write letters, complaining and asking for grants, expecting our local politicians to fight for assistance, rather than assuming the responsibility for adapting ourselves. The more we do to address these mindsets, the better, I think.
December 14th, 2008 at 4:30 pm
I’m quite surprised that energy is not mentioned as a focus for the getting us out of this recession. A sustainable economy and social fabric requires the use of sustainable, renewable energy sources. What are the biggest and most profitable industries in the world? What changes are about to take place as we must tackle not only the economic crisis but the climate change crises at the same time. The answer is Renewable Energy. Check out my just released documentary video that explains how the driving force for the change Ontario needs is renewable energy and in that gives us Hope for a Change. The web site with the video is at http://www.hopeforachange.net .
December 15th, 2008 at 11:54 am
I found this statement somewhat surprising:
“Martin and Florida say advanced capitalist societies will eventually be made up of two classes: The creative class, a term coined by Florida for workers with a lot of autonomy, including doctors, senior managers and artists; and the service class, made up of low autonomy jobs such as clerks, hamburger flippers and secretaries.”
While the reporter may be misrepresenting, this seemed to be in contradiction to other statements you’ve made about how all workers should be encouraged to be creative, whether on the Toyota assembly line or at Starbucks.
December 16th, 2008 at 7:51 am
I would question the paradigm that manufacturing in Ontario is doomed. Canadians can actually be world brand leaders in manufacturing – check out Bermingham or McGregors Socks for a case study. Sure, the bulk of lower end manufacturing can be shipped off to cheap country of choice (China for now) but higher end manufacturing can be retained, along with design, brand management. Most manufacturers in Ontario need to triple up in size to support this model and to get a significant cash infusion. The manufacturers themselves know this but also recognize they are being written off so why try a new approach.
The 2 cases I mention both got private equity which brought the knowledge and contacts in China and the know-how to decide how to be global. I know Roger Martin has written a controversial paper on venture capital causing a furor in the industry, which is a signal that something is being missed.
Please put some thought to this write off of manufacturing as I do believe you (like many) may have missed that manufacturers today are not like the Eighties. They are the “Creative Class plus” and with a partnership in capital, so much more is possible with a different strategy from the 80’s and 90’s.
Bermingham is now manufacturing low end in China but retained all of its manufacturing workers plus added two top jobs – CEO and CFO. Now they can pitch for jobs in Dubai, etc, and have doubled in size since getting PE partners. The owner of this 4th generation family business is also an artist and visionary and green long before green became known. Do give manufacturing a second look. I know the Ontario govt is writing- off manufacturing too and this is a big mistake for the Canadian economy.