If US tariffs aren't enough, Saskatoon businesses may also have to compete with higher taxes.
The city proposed a 9.9% increase in corporate property taxes in 2026, up 7.3% in 2027.
However, local business owners are not underestimating it.
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Dozens of people came to city hall on Wednesday for a meeting of the Governance and Priority Committee, accounting for about two-thirds of seats in the council room.
Keith Moen, executive director of the North Saskatoon Business Association, said:
The demonstration was intended to insist on the city council on a potential tax hike that exceeds inflation. According to the Bank of Canada, the current inflation rate is 1.9%.
Along with the Croatian industry, Ken Senaico said local businesses are opposed to the proposed tax payments and hope that city halls will accept the challenge of cutting taxes instead of raising taxes.
“Sometimes, we scream at the highway, we feel like we're combing our hair and standing in the middle,” he said.
Moen said he thinks the council heard the message but can't say if anything comes out of it.
NBSA executive director Keith Moen said finding ways for the city to cut costs “is almost always summed up in the workforce and staffing level.” (Marija Robinson/650 ckom)
Cutting staff will help prevent tax hikes
Progression with the proposed increase tax could result in some businesses being shut down.
“We may not have that big margin each year so that we can achieve that with that 9% increase depending on where our business is,” said Colton Weagers of Finance and Benefits.
Moen repeated Wiegers' comments, saying that some companies will close their doors because they cannot afford to buy overhead costs.
“It's a pebble in backpack theory, and the next little person will defeat him,” Moen said.
Some companies, like the Croatian industry, have already had tariff weights for the past eight months.
“We have all these challenges in dealing with tariffs, and in addition to that, it's difficult to raise taxes,” Cenaiko said.
However, there are solutions that can avoid property tax hikes. In a speech during the committee meeting, Moen said the city should take a deeper look at staffing levels.
“When a position is created, it rarely disappears, creating not only a salary, but a continuous profit and pension that lasts for decades,” he said.
So, rather than relying on businesses to offset costs, Moen said the council could consider limiting new recruits, reducing staff in certain departments by 10%.
He said his recommendations were based on work by the Northern Saskatoon Business Association's Tax Committee.
Moen did not provide exact details on which position he could cut, but he said it wasn't his fault. He said it's up to the council and the administration to find those opportunities.
“We need to see bold action now,” he said.
