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2018
TABLE OF CONTENTS 2
Greater Montréal
TABLE OF CONTENTS
BUSINESS ENVIRONMENT
03
ACCESS TO MARKETS
17
TALENTS
26
COST ADVANTAGE
39
QUALITY OF LIFE
55
MONTRÉAL INTERNATIONAL, YOUR STRATEGIC PARTNER
62
Greater Montréal
WORLD CLASS BUSINESS ENVIRONMENT
Greater ambition
BUSINESS ENVIRONMENT
Greater Montréal
4
CLUSTERS OF EXCELLENCE IN HIGH VALUE SECTORS
INDUSTRIAL CLUSTERS WITH RALLYING PROJECTS FOR AN INNOVATIVE ECONOMY
10 industrial clusters that bring together all the stakeholders in a given sector around common objectives and actions
● Strong concentration of world leaders, qualified workers and dedicated research centres
● Numerous foreign investments and plenty of business opportunities
20% of total metropolitan regionemployment, or more than
400,000jobs
BUSINESS ENVIRONMENT
Greater Montréal
5
Source: Ministry of Economy, Science and Innovation, 2016
EXCELLENCE IN AEROSPACE
● 39,130 jobs in 205 companies
● Sales of $14.4 billion : an average annual growth of 5,2%over the last 25 years (1991-2016)
● 45% of Canadian aerospace workforce
● 70% of all Canadian aerospace R&D
● 52% of Canadian aerospace industry sales
● Around 80% of all Quebec aerospace production is exported outside Canada
BUSINESS ENVIRONMENT
Greater Montréal
6
● More than 56,000 industry jobs (80% concentrated in Greater Montréal) in 650 companies
● 6th in North America for job density in LSHT among the 20 biggest cities
● 1st among major cities in North America for its operating costs in LSHT: a cost benefit of 23%
● A center of scientific excellence with world-renowned experts and latest infrastructures at the forefront of technology
Sources: Ministère de l’Économie, de la Science et de l’Innovation, 2017; Invivo 2017; Statistics Canada, 2016 and
Bureau of Labor Statistics (BLS), 2016, KPMG, 2017
EXCELLENCE IN LIFE SCIENCES AND HEALTH TECHNOLOGIES
BUSINESS ENVIRONMENT
Greater Montréal
7
● More than 91,000 qualified employees in almost 5,000 organizations
● Ranked 8th in North America for ICT jobs concentration in 2016
● A leader among North America’s 20 biggest metropolitan areas : Ranked 1st for lowest ICT business operating costs in software development
● 5th world centre for video game production and main hub in Canada
● 14% of annual growth for video game jobs in the last 10 years
● Targeted and highly competitive financial incentives
Sources: Techno Montréal, 2016; Statistics Canada, 2016; and Bureau of Labor Statistics (BLS), 2016;
Game Industry Career guide 2015; ESAC 2015.
EXCELLENCE IN INFORMATION AND COMMUNICATIONS TECHNOLOGIES (ICT)
BUSINESS ENVIRONMENT
Greater Montréal
8
Source: Québec Film and Television Council, 2015-2016
EXCELLENCE IN AUDIOVISUAL, ANIMATION AND VFX
● 33,000 jobs in more than 500 companies
● More than $1.5 billion in average activity volume annually
● One of Canada’s biggest film studios just 5 minutes from downtown
● A volume of production in animation of 70 M$ in animation
● A volume of contract of 216 M$ in VFX
● More than 100 local and foreign productions
● More than 15 730 plans made in Quebec like X-MEN : Apocalypse
● Tax incentives of up to 38% for production services
BUSINESS ENVIRONMENT
Greater Montréal
9
Sources: Finance Montréal, KPMG 2017
EXCELLENCE IN FINANCE
● 100,000 jobs in more than 3,000 companies
● 6.2% of the metropolitan region’s GDP
● 3rd North American international financial centre and 12th
in the world according to Global Financial Centres Index 2017
● Some 250 pension funds of different sizes are based in Montréal (CN, Air Canada, Hydro-Québec, etc.)
● A cost-advantage of 33% compared to the other 19th North American largest cities
● Attractive refundable tax credit for international financial centres
BUSINESS ENVIRONMENT
Greater Montréal
10
● 122,000 jobs at 6,300 establishments
● A natural access point to Europe
● Efficient infrastructure networks providing access to close to 500 million NAFTA consumers, including 135 million consumers within a 1,000 kilometers (621 miles) radius
● Privileged access to 500 million European consumers through the Canada-European Union Comprehensive Economic and Trade Agreement (CETA)
● Three industrial port zones in Greater Montréal (Montréal, Contrecœur, Côte-Sainte-Catherine) dedicated to transportation and logistics projects
Sources : CargoM, 2014; Stratégie maritime du Québec 2015-2030.
EXCELLENCE IN LOGISTICS AND TRANSPORTATION
BUSINESS ENVIRONMENT
Greater Montréal
11
EXCELLENCE IN FASHION
● More than 28,000 jobs
● More than 1,800 organizations
● Sales of $ 7,6 billion
● Montréal, UNESCO City of Design of 2006
● The most elegant city in Canada according to Zalando
● Host of the high end trade-show StyleLab-Montréal featuring more than 60 collections offering high-end buyers all the elements to concoct the perfect fashion mix for Winter
Source: Zalando, 2017; Ministry of Economy, Innovation and Exports, 2016
BUSINESS ENVIRONMENT
Greater Montréal
12
Sources: Écotech Québec, 2016, Ministry of Economy, Innovation and Exports, 2016
EXCELLENCE IN CLEANTECH
● More than 500 innovative companies
● Around 200 research groups and chairs
● 28,000 jobs in the cleantech and environment industry
● Favourable business climate: Canada is the 7th most attractive country for cleantech companies according to the World Wildlife Fund and international research forum Cleantech Group
BUSINESS ENVIRONMENT
Greater Montréal
13
Source: Ministry of Economy, Innovation and Exports, 2016
EXCELLENCE IN ALUMINUM
● 30,000 jobs in Quebec
● 15,000 companies in Quebec
● 9 aluminum smelters in Quebec
● A capacity of production of 2.7 millions of tones
● Canada is the 4th world producer of aluminum
● 90 % of the production is in Quebec
BUSINESS ENVIRONMENT
Greater Montréal
14
WORLD LEADER IN ARTIFICIAL INTELLIGENCE
• 2ND GLOBAL ARTIFICIAL INTELLIGENCE HUB after San Francisco according to Becoming Human
• THE LARGEST AND MOST PRESTIGIOUS GROUP OF DEEP LEARNING RESEARCHERS in the world with 250 researchers at Université de Montréal and McGill University
• A one-of-kind institute: INSTITUTE FOR DATA VALORISATION (IVADO)
• MAJOR INVESTMENTS:
• $93.5 M from the Canada First Research Excellence Fund 2016
• $100 M over 5 years for the creation of a Quebec AI cluster from Quebec’s budget 2017
• $40 M for the Pan-Canadian Artificial Intelligence Strategy from the Federal Governement
• $137,5 M in financing for the startup, Element AI, the largest Series A funding round for an AI company in the world
• Google, Microsoft, Facebook and Samsung investing in Greater Montréal
BUSINESS ENVIRONMENT
Greater Montréal
15
A GLOBAL STARTUP HUB
Greater Montréal’s startup ecosystem was ranked number 20 in the world according to the 2015 Global Startup Ecosystem Report released by Compass
● Greater Montréal was also ranked 16th in Inc.’s 16 Emerging Startup Hubs to Watch in 2016
Easy access to financing, including venture capital
● Québec scores an “A” grade from the Conference Board of Canada for the availability of venture capital. Greater Montréal benefits the most from VC in Québec.
8 of the 10 Montréal-ranked startups are ICT companies
and 3 placed in the top 5
Greater Montréal is
home to 10 of
Canada’s 50 fastest-
growing startups According to Deloitte’s
2015 Technology
Fast 50TM ranking
16th in
the world
“A” grade on
financing
BUSINESS ENVIRONMENT
Greater Montréal
16
A BOOMING STARTUP ECOSYSTEM
Greater Montréal is known for its vibrant startups:
• 1,800 to 2,600 startups, of which 22% hold at least one patent and 67% provide a product or service for the smart city market
• A pool of skilled talent: close to 8,000 employees
• 125 Meetup Groups for startups and 45,000 members
• Over 50 incubators, accelerators and collaborative workspaces and 7 Fab Labs, including 6 new labs in 2 years
Sources: Montréal Startup Ecosystem Report, Credo, in collaboration with OSMO Foundation and Startupfest, November 2016; Midterm Report – Smart City, February 2017.
2016 Intelligent
Community of
the Yearaccording to the
Intelligent
Community Forum
Directory of Co-working spaces and
incubators in Montréal:
https://pmemtl.com/en/tools-and-
resources/directories
Greater Montréal
A STRATEGICHUB
Greater market
ACCESS TO MARKETS
Greater Montréal
18
A STRATEGIC LOCATION
ACCESS TO MARKETS
Greater Montréal
19
82 MUNICIPALITIES, 1 METROPOLITAN AREA
● Territory of 1,600 square miles
● 4.1 million residents(half of Québec’s population)
● $194 billion GDP in 2016(half of Québec’s GDP)
Source: Conference Board of Canada, 2017. Compilation : Montréal International
ACCESS TO MARKETS
Greater Montréal
20
DIRECT ACCESS TO NEARLY1 BILLION CONSUMERS DUE TO NAFTA AND CETA
A STRATEGIC GEOGRAPHICAL LOCATION ACROSSTHE AMERICAS
● A 90-minute flight from Boston and New York City
● Less than a one-hour drive to the U.S. border
DIRECT ACCESS TO CLOSE TO 500 MILLION AMERICAN CONSUMERS THROUGH THE NORTHAMERICAN FREE TRADE AGREEMENT (NAFTA)
● And many trade agreements offering a preferentialmarket access to more than 100 million consumersin Latin America
DIRECT ACCESS TO CLOSE TO 500 MILLION EUROPEAN CONSUMERS THROUGH THE CANADA-EUROPEAN UNION COMPREHENSIVE ECONOMIC AND TRADE AGREEMENT (CETA)
A WORLD OF OPPORTUNITIES CORRESPONDING TO YOUR NEED
● An active trade policy all around the world
ACCESS TO MARKETS
Greater Montréal
21
A LOCATION AT THE HEART OF STRATEGIC MARKETS
FREE TRADE AGREEMENTS IN FORCE
• North American Free Trade Agreement (NAFTA)
• Comprehensive and Economic Trade Agreement with the
European Union (CETA)
• Bilateral agreements with the European Free Trade
Association (EFTA), Chile, Panama, Peru, Colombia, Israel,
Jordan, South Korea,…
• Canada-Ukraine Free Trade Agreement (CUFTA)
SIGNED FREE TRADE AGREEMENTS
• Transpacific Partnership (TPP)
TRADE AGREEMENTS UNDER NEGOTIATIONS
• CARICOM, Dominican Republic, India, Japan, Morocco, …
MONTRÉAL
ACCESS TO MARKETS
Greater Montréal
22
Sources: Montréal Port Authority 2016; Aéroports de Montréal, 2016
AN ACCESSIBLE LOGISTICS AND AIRPORT HUB
AN AIRPORT HUB: AÉROPORTS DE MONTRÉAL
● Two international airports(Montréal-Trudeau et Montréal-Mirabel)
• 16,6 million passengers
● Montréal-Trudeau offers a direct access to 130 direct destinations, including more than 100 international, which ranks it second in Canada for the number of direct connections to international destinations
● Montréal-Trudeau: One of the best North American connection to Europe
● As a world-class international airport, Montréal-Trudeau has also become one of Canada’s most modern and up-to-date airport
● Montréal-Mirabel is an international aerospace hub, boasting a specialized aerospace school
HIGH-QUALITY TRANSPORTATION INFRASTRUCTURES
● One of North America’s busiest ports, connected to 140 countries
● An intermodal transportation hub: air, sea, land and rail
ACCESS TO MARKETS
Greater Montréal
23
AN ACCESSIBLE LOGISTICS AND MARITIME HUB
HIGH QUALITY MARITIME INFRASTRUCTURE
● The second most important port in Canada
• Eastern Canada’s 1st port, and the main port for 95% of Québec and Ontario’s importers and exporters
• 30% growth in the last 10 years
● More than 35 million metric tons of merchandise transit through the Montréal port each year, including 37%containerized cargo.
● G$2.1 in added value to the Canadian economy
HIGH-QUALITY TRANSPORTATION INFRASTRUCTURES
● Two international airports(Montréal-Trudeau et Montréal-Mirabel)
● An intermodal transportation hub: air, sea, land and rail
Sources: Montréal Port Authority, 2016; Aéroports de Montréal, 2016.
ACCESS TO MARKETS
Greater Montréal
24
The easiest place to start a
business in the G20,
according to the World Bank
Canada’s banking system:
One of the soundest in the
world - ranked 1st in the G7
and 2nd overallWorld Economic Forum, 2017.
Best country in both the
G7 and the G20 for doing
business over the next
five yearsEconomist Intelligence Unit, 2017
Best in the G7 and the G20,
and second-best among 124
countries for its economic
and institutional factors for
attracting foreign direct
investmentThe Global Opportunity Index, Milken Institute, 2016
THE EXCELLENCE OF CANADA
Source: Invest in Canada, 2017
ACCESS TO MARKETS
Greater Montréal
25
PUBLIC AND PRIVATENON-RESIDENTIAL INVESTMENTPROJECTS UNDERWAY
New Champlain Bridge constructionSectors: civil engineering and road networkValue ($M): 4,239Project completion: 2019
Turcot Interchange reconstructionSectors: civil engineering and road networkValue ($M): 3,670Project completion: 2020
CHUM hospital construction and renovationSectors: institutional and commercialValue ($M): 3,630Project completion: 2020
Université de Montréal campus – Science complexSectors: institutional and commercialValue ($M): 350Project completion: 2019
Pratt & Whitney – Facility upgradeSector: industrialValue ($M): 275Project completion: 2018
Green Cross Biotherapeutics – Plasma plant constructionSector: industrialValue ($M): 275Project completion: 2019
Maison Manuvie office buildingSectors: institutional and commercialValue ($M): 200Project completion: 2018
Éco-Campus Hubert Reeves business parkSector: industrialValue ($M): 175Project completion: 2022
Greater Montréal
A LABOR POOL OF HIGHLY-QUALIFIED WORKERS
Greater knowledge
TALENTS
Greater Montréal
27
THE HIGHEST CONCENTRATION OF TECH JOBS IN CANADA
Tech sector concentration across Canada - 2016
Index: Canada=1.0
1
1,3
0,9
1,3
0,7 0,70,6
1,3
0,7
1,41,3
1,7
1,11
1,2
1
Vic
tori
a
Van
co
uv
er
Ed
mo
nto
n
Calg
ary
Saskato
on
Win
nip
eg
Lo
nd
on
Kit
ch
en
er
-C
am
bri
dg
e -
Wate
rlo
o
Ham
ilto
n
To
ron
to
Ott
aw
a-G
ati
neau
Mo
ntr
éal
Qu
éb
ec C
ity
St.
Jo
hn
Halifa
x
St.
Jo
hn
´s
Source: Brookfield Institute for Innovation and Entrepreneurship, The State of Canada’s Tech Sector, July 2016.
TALENTS
Greater Montréal
28
MONTRÉAL’S TECH SECTOR IS DIVERSIFIED AND KNIT TOGETHER
Source: Brookfield Institute for Innovation and Entrepreneurship, The State of Canada’s Tech Sector, July 2016.
Montréal tech sector jobs by subsector - 2016
222,200jobs in the
tech sector
51.8%Information
and communications
technology
19.7%Architecture,
engineering and design
6.5%Scientific R&D
12.2%Aerospace
manufacturing
4.9% 5% Chemical and Machinery
and pharmaceutical
specialized manufacturing
TALENTS
Greater Montréal
29
A DEEP AND GROWING POOL OF RELEVANT TALENT
Source: KPMG, 2017.
Tech sector
222,200ICT cluster, aerospace cluster,
life sciences cluster,
video game cluster, etc.
Including jobs as software engineers,
managers, lawyers, etc.
Highest concentration in Canada
Managerial &
professional talent
341,100Including jobs as accountants,
marketing professionnal,
lawyers, executive
STEM talent
277,300Including 137,400 workers
with ICT qualification
Including jobs as software
engineers, data designers,
software developers,
mathematicians
Creative talent
136,100Including jobs as
multimedia designers,
broadcasting and audio-
visual
technicians
Montréal talent poolTotal jobs in 2016: 2.1 million
STEM talents are mainly
working in the tech sector
but also in the other
sectors of the economy
Jobs by select sectors Jobs by select occupations
TALENTS
Greater Montréal
30
CANADA’S UNIVERSITY CAPITAL
A DENSE AND DIVERSIFIED NETWORK COMPRISING11 UNIVERSITY INSTITUTIONS AS WELL AS NUMEROUSCOLLEGES AND VOCATIONAL TRAINING CENTRES
● 6 full-service universities
● 2 business and public administration schools
● 3 engineering and scientific institutions
TALENTS
Greater Montréal
31
A FERTILE GROUND FOR LEADING-EDGE TALENT
● Best student city in the world according to QS Best Student Cities 2017
● 11 institutions of higher learning
● Close to 200,000 students enrolled in Montréal’s universities in 2015-2016, the highest number of all Canadian cities
● 33,500 international students in 2016
● 58,000 university graduates in 2015
GRADUATING WITH HIGHLY RELEVANT SKILLS
Montréal universities and colleges bring about 70,000 newly qualified workers
• Close to 13,000 new graduates in STEM-related programs, including 1,390 computer science graduates
• Close to 19,000 in management and other professional services programs
• Close to 4,000 in other programs in the creative sectors
Sources : Gestion des données sur l’effectif universitaire (GDEU); Ministère de l'Éducation et de l'Enseignement supérieur ; KPMG, 2017.
TALENTS
Greater Montréal
32
1st UNIVERSITY RESEARCH HUB IN CANADA
● Ranks 1st in Canada for university research funding
● Largest number of universityresearchers in Canada
● Greater Montréal gets biggest investment from Canada Research Excellence Fund: $213 M in funding over 7 years (24% of Canadian Budget) for 3 initiatives :
Source: KPMG 2015
1 225
0
200
400
600
800
1 000
1 200
1 400
Montreal Toronto Vancouver Ottawa Calgary
UNIVERSITY RESEARCH FUNDING ($M)5 largest Canadian metropolitan areas, 2014-2015
Data Serving Canadians:
artificial intelligence and big
data.
TransMedTech (MT2):
diagnosis/prognosis,
intervention and medical
technologies for complex
diseases.
Healthy Brains for Healthy
Lives project:
neuroinformatics and
discoveries to improve brain
health.
TALENTS
Greater Montréal
33
Note: Concentration of high-tech jobs: Number of high-tech jobs out of the total number of jobs of metro area jobs.
Sources: Bureau of Labor Statistics (BLS), 2017; Statistics Canada, 2017
A PROMISING ENVIRONMENT FOR HIGH-TECH SECTOREMPLOYERS
RANKED 6TH IN NORTH AMERICA FOR THE CONCENTRATION OF HIGH-TECH JOBS, AHEAD OF DALLAS AND TORONTO
0,0%
2,0%
4,0%
6,0%
8,0%
10,0%
12,0%
14,0%
Se
attle
San F
rancis
co
Bo
sto
n
Wa
sh
ingto
n
Sa
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iego
Mo
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éal
Da
llas
Toro
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Atla
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Ph
oe
nix
Ph
ilade
lphia
Min
ne
ap
olis
Tam
pa
Los A
nge
les
Ne
w Y
ork
Ch
ica
go
Detr
oit
Mia
mi
Ho
usto
n
Riv
ers
ide
HIGH TECHNOLOGY JOB CONCENTRATION (%)20 largest metropolitan areas in North America, 2016
7,7 %
TALENTS
Greater Montréal
34
*According to Aon Hewitt, “. People Risks relate to offshoring and relocation, M&A and joint ventures, absenteeism, health and wellness funding, workforce reporting, general
employment, globalization, culture differences and talent forcing
Source: Aon Hewitt, Consulting, Global Research Center, 2013
A GROWING JOB MARKET
73
60 65 70 75 80 85 90 95 100
Détroit
Minneapolis
Denver
Phoenix
Atlanta
Washington
Philadelphia
Miami
Seattle
Houston
Dallas
San Diego
San Francisco
Boston
Chicago
Vancouver
Los Angeles
Montréal
Toronto
New York
OVERALL RISK* ASSOCIATED WITH RECRUITING, EMPLOYING AND RELOCATING WORKERS
Largest North American metropolitan areas available in the study, 2013
EASIER RECRUITMENT FOR COMPANIES
● 3rd in North America; and
● 4th in the world for overall riskassociated with recruitment, employment and workforcerelocation
TALENTS
Greater Montréal
35
Sources: U.S Census Bureau, 2016, and Statistics Canada, 2016
IMMIGRATION: A POWERFUL ECONOMIC DEVELOPMENTDRIVER
0,0%
0,2%
0,4%
0,6%
0,8%
1,0%
1,2%
1,4%
1,6%
1,8%
NET INTERNATIONAL MIGRATION RATE (%)20 largest metropolitan areas in North America, 2015-2016
1,1%More than45,000 immigrantsevery year
TALENTS
Greater Montréal
36
Source: Statistics Canada, 2016
THE MOST BILINGUAL AND TRILINGUAL METROPOLITANAREA IN CANADA
● 2.5 millions residents speak English, that’s 9% more than in Vancouver
● 55% of the population is bilingual(English and French), compared to 8% in Toronto and 7% in Vancouver
● Almost 20% of the population is fluent in three or more languages (including French and English), compared to 4% in Toronto, and 3% in Vancouver
● More than 100 languages spoken, a key advantage for doing business with foreignmarkets
TALENTS
Greater Montréal
37
Source: Statistics Canada, 2016
MORE THAN 100 LANGUAGES SPOKEN
55%
8% 7%
0%
10%
20%
30%
40%
50%
60%
Montréal Toronto Vancouver
BILINGUAL POPULATION3 largest metropolitan areas in
Canada, 2016
20%
4%3%
0%
5%
10%
15%
20%
25%
TRILINGUAL POPULATION3 largest metropolitan areas in
Canada, 2016
38
« Montréal International helped us to
provide assistance to the foreign
workers we brought to Montréal in
terms of dealing with the government
and immigration-related issues,
finding accommodation and all other
aspects that are key to helping people
to settle in Montréal. » – Shibl Mourad, Manager, Google Montréal
Greater Montréal
VERY LOW OPERATING COSTS AND ATTRACTIVE
TAX INCENTIVES
Greater cost advantage
COST ADVANTAGE
Greater Montréal
40
Total costs comprise: labor costs, facility costs, transportation costs, utility costs and taxes.
Sectors: Aircraft Parts, Food Processing, Auto Parts, Specialty Chemicals, Electronics Assembly, Advanced Batteries, Medical Device Manufacturing, Metal Machining,
Pharmaceutical Products, Plastic Products, Precision Components, Telecom Equipment, Video Game Production, Software Development, Bomedical R&D, Clinical Trials
Management, Electronic System Development/Tests, International Financial Services, Shared Services Center.
LOW OPERATING COSTS
RUNNING A BUSINESS COSTS LESS IN GREATERMONTRÉAL THAN IN ANYOTHER MAJOR NORTHAMERICAN METROPOLITANAREA
● 1st rank: The most competitiveoperating costs of North America’s20 largest metropolitan areas
● The cost advantage over the average of North America’s 19 other largest metropolitan areas reaches 17 %.
90
95
100
105
110
115
120
TOTAL OPERATING COSTS FOR AN AVERAGE OF 19 ACTIVITY SECTORS (MONTRÉAL = 100)
20 largest metropolitan areas in North America, 2017
Source : Competitive Alternatives KPMG, January 2017
Exchange rate: 1$USD = 1,33$CND
Montréal = 100
COST ADVANTAGE
Greater Montréal
41
MONTRÉAL TORONTO CHICAGO SAN DIEGO SEATTLE BOSTONSAN
FRANCISCO
NEW YORK-
Manhattan
R&D manager
(technical)$81,060 $86,124 $120,127 $126,911 $127,965 $133,896 $144,750 $147,334
Manager
(manufacturing)$66,751 $71,051 $93,914 $98,142 $100,840 $105,024 $114,022 $115,835
Aerodynamics
engineer$61,021 $64,624 $88,299 $91,110 $90,874 $93,875 $99,556 $94,052
Software
developer$68,617 $72,020 $98,191 $101,287 $107,617 $106,663 $114,126 $110,299
Industrial
engineer$58,009 $61,501 $87,146 $89,779 $89,746 $92,614 $98,223 $95,560
Computer
programmer$61,413 $65,087 $86,716 $88,615 $94,717 $93,778 $100,255 $96,018
Chemist $55,373 $58,701 $81,482 $81,225 $78,541 $83,155 $92,639 $84,240
Scientific
researcher$53,730 $56,972 $76,061 $75,787 $73,611 $77,763 $86,458 $78,513
*Salaries based on 5 years of experience
Currency exchange based on the monthly average of February 2017: C$ 1.00 = US$ 0.7628
Source: Economic Research Institute Inc., 06-03-2017
COMPETITIVE SALARIES
MEDIAN ANNUAL SALARIES* (US$) FOR 8 TYPICAL PROFESSIONSSelection of 8 large metropolitan areas in North America, 2017
COST ADVANTAGE
Greater Montréal
42
Notes: Vacation represent a minimum of 4% of salary pursuant to the Act respecting labour standards.
Some rates apply up to a maximum insurable revenue.
* The general rate for the service sector (65110 - Bureau de courtage ; bureau de services professionnels ; bureau offrant des services de soutien administratif) is 0.50% but the
rate for an employer can vary depending on the sector.
Paid holidays (approx. 10 days or 4%) are included in gross salary.
Source: Revenu Québec, 2018.
LOW MANDATORY BENEFIT COSTS FOR EMPLOYERS
GROSS ANNUAL SALARY $ 50,000 $ 100,000 $ 125,000
Québec Pension Plan
(employee: 5.4%; employer: 5.4%, max. $2,829.60)$ 2,700.00 $ 2,829.60 $ 2,829.60
Québec Parental Insurance Plan
(employee: 0.548%, employer: 0.767%, max. sal. of $ 74,000.00) $ 383.50 $ 567.58 $ 567.58
Employment Insurance
(employee: 1.30%, employer: 1.82%, max. sal. of $ 51,700.00)$ 910.00 $ 940.94 $ 940.94
Health Services Fund
(2.5% if global salary total less than $1M, max. 4.26%)$ 1,250.00 $ 2,500.00 $ 3,125.00
Commission des normes du travail (labour standards board)
(0.07%, max. sal. of $ 74,000.00)$ 35.00 $ 51.81 $ 51.81
Commission de la santé et sécurité du travail (occupational health
and safety board - 0.50% in service sector, max. sal. of $
74,000.00)*
$ 250.00 $ 370.00 $ 370.00
Total $ 5,528.50 $ 7,259.93 $ 7,884.93
Total cost $ 55,528.50 $ 107,259.93 $ 132,884.93
QUÉBEC HAS LOW PAYROLL COSTS FOR EMPLOYERS AND EMPLOYEES. THESE CONTRIBUTIONS REPRESENT A PROPORTION OF EMPLOYEES’ ANNUAL COMPENSATION AND ARE CAPPED AT A MAXIMUM AMOUNT.
PAYROLL COSTS SUMMARY TABLE
COST ADVANTAGE
Greater Montréal
43
CANADA’S HEALTH CARE ADVANTAGE
457
980
0
200
400
600
800
1000
1200
Canada United States
EMPLOYER HEALTH CARE COSTS FOR A TYPICAL FIRM (USD, thousands)
Health care cost resulting from a government-run health care system is one of Canada’s key cost advantages.
Employer-paid health costs in many cities are half of similar cost in US cities.
Note : Based on firm with approximately 100 employees. Cost savings would be exponentially more significant for large manufacturing operations.
Source: MMK Consulting, 2014.
COST ADVANTAGE
Greater Montréal
44
Source: Cushman & Wakefield, Q3 2017
Note: Currency exchange based on the monthly average of 2017-10-16-2017-11-15 C$ 1.00 = US$ 0.7864
AFFORDABLE RENT
84
73
65
60
50
46
45
44
42
33
0 20 40 60 80 100
New York City
San Francisco
Washington
Boston
Miami
Houston
Chicago
Toronto
Los Angeles
Montréal
AVERAGE OFFICE SPACE RENT (USD/sq. ft./yr)10 of the largest metropolitan areas in North America, 2017
OFFICE AND INDUSTRIALSPACES ARE AVAILABLE ATHIGHLY COMPETITIVE RATES IN DOWNTOWN MONTRÉAL AS WELL AS IN THE NORTHAND SOUTH SHORESBUSINESS DISTRICT
● Average rent for a Class-Aoffice building: USD 33/sq. ft./yr.
● Average rent in the industrialsector: USD 6.55/sq. ft./yr.
COST ADVANTAGE
Greater Montréal
45
Note: Hydro-Québec’s estimate at a consumption of 10,000 kWh, a power of 40 kW and a utilization factor of 35%.
Source: Hydro-Québec, 2017
LOW, STABLE ENERGY COSTS
28,57
28,15
27,36
16,20
14,21
13,21
12,78
12,37
10,13
9,90
0 10 20 30
San Francisco
New York
Boston
Detroit
Portland
Miami
Chicago
Seattle
Houston
Montréal
AVERAGE ELECTRICITY RATES FOR SMALL POWER (₵/KWH – before taxes, CAD)
10 largest metropolitan areas in North America, April 2017
● Rates among the lowest in North America
● Stable electricity rates, thanks to the hydro heritagepool which shelters rates fromoil price fluctuations
● Preferential energy rates available for major consumers: aluminium smelters, data centres, etc.
● Hydro-Québec produces more than 99% of its electricity from water, a clean, renewable and reliable energy source
COST ADVANTAGE
Greater Montréal
46
Note: Hydro-Québec’s estimate at a consumption of 3,060,000 kWh, a power of 5,000 kW2 and a utilization factor of 85%.
Source: Hydro-Québec, 2017
LOW, STABLE ENERGY COSTS
15,69
14,11
13,64
13,04
9,08
7,95
7,83
7,80
6,43
5,17
0 10 20
Boston
New York
San Francisco
Toronto
Seattle
Houston
Detroit
Miami
Chicago
Montréal
AVERAGE ELECTRICITY RATES FOR LARGE POWER (₵/KWH – before taxes, CAD)
10 largest metropolitan areas in North America, April 2017
● The lowest rates for Large-Power customers in NorthAmerica
● Stable electricity rates, thanks to the hydro heritagepool which shelters rates fromoil price fluctuations
● Preferential energy rates available for major consumers: aluminium smelters, data centres, etc.
● Hydro-Québec produces more than 99% of its electricity from water, a clean, renewable and reliable energy source
COST ADVANTAGE
Greater Montréal
47
Source: Ministère de l’Économie, de la Science et de L’Innovation Québec and Raymond Chabot Grant Thornton, April 2017
AN ATTRACTIVE TAX TREATMENT
26.8%
0 15 30 45 60
New York
New Jersey
California
Illinois
Massachusetts
Texas
Québec(Montréal)
Ontario
COMPARISON OF CORPORATE EFFECTIVE TAX RATE (%)Selected Canadian provinces and U.S. States, 2017
Non-manufacturingcompanies
Manufacturingcompanies
A COMPETITIVE TAXBURDEN:
One of the most competitive taxburden, all sectors combined, among the 20 largestmetropolitan areas in NorthAmerica
COST ADVANTAGE
Greater Montréal
48
Source: Ministry of Finance of Québec, 2017
Compilation: Montréal International, 2017
SCENARIO 1 ($)
Scientific research and experimental development (SR&ED) tax incentive program
Assumptions1
Private, foreign-controlled company, more than $75M assets
20 eligible employees @ $50,000 / year
100% of their work is related to eligible activities
Subcontractor: $200,000
FEDERAL QUÉBEC TOTAL
Salary 1,000,000 1,000,000
Replacement amount @ 55 % 550,000
Subcontractors2 160,000 100,000
Québec SR&ED credit3 -122,500
Exclusion 225,000
1,587,500 875,000
Federal credit @ 15% and Québec credit @ 14% 238,125 122,500 360,625
TAILOR-MADE INCENTIVES FOR R&D
SCIENTIFIC AND EXPERIMENTALDEVELOPMENT(SR&ED) TAX CREDITPROGRAM:
15% from the governmentof Canada, and 14%, refundable, from the government of Québec
Notes:
1 This model takes into consideration changes made to certain tax credits (2012, 2014 and 2015) and is thus valid as of fiscal 2017.
2 Only 80% of the amount paid to a subcontractor is eligible for a federal tax credit and 50% for a Québec tax credit.
3 For the purposes of calculating the combined rate of the credit, the tax credit from the government of Québec is applied against the federal tax credit.
4 For SMEs, (less than $ 50M assets), there is an SR&ED tax credit exclusion on the first $50K of R&D spending. For large companies and companies under
foreign control, the exclusion applies on the first $225K of R&D spending.
COST ADVANTAGE
Greater Montréal
49
SCENARIO 2 ($)
Combination of the provincial refundable tax credit for the development of e-business
(CDAE) and the federal scientific research and experimental development (SR&ED)
Assumptions:1
Foreign-controlled private company
20 eligible employees @ $50,000/year
100% of their work is related to activities eligible for the CDAE and the SR&ED tax credits
FEDERAL QUÉBEC TOTAL
Salary 1,000,000 1,000,000
Replacement amount @ 55%2 550 000
Québec CDAE credit3 0
1,550,000 1,000,000
Federal credit @ 15% and Québec credit @ 24%4 232,500 240,000 472,500
Federal credit @ 15% and Québec credit @ 30%5 232,500 300,000 532,500
Source: Ministry of Finance of Québec, 2017
Compilation: Montréal International, 2017
TAILOR-MADE INCENTIVES FOR THE DEVELOPMENT OF E-BUSINESS
Notes:
1 This model takes into consideration changes made to certain tax credits (2012, 2014 and 2015) and is thus valid as of fiscal 2017.
2 Limited by other company expenditures.
3 The CDAE does not reduce the amount eligible for the federal SR&ED tax credit.
4 The corporate taxes paid are not sufficient to cover the 6% non-refundable part of the tax credit.
5 The corporate taxes paid are sufficient to fully cover the 6% non-refundable part of the tax credit.
REFUNDABLE TAXCREDIT FOR THE DEVELOPMENT OF E-BUSINESS:
Covers up to 30%, including 24% refundable, of employeesalaries up to $25 000 per job per year
COST ADVANTAGE
Greater Montréal
50
SCENARIO 3 ($)
Combination of the provincial refundable tax credit for multimedia productions (CTMM)
and the federal scientific research and experimental development (SR&ED)
Assumptions:1
Foreign-controlled private company
20 eligible employees @ $50,000/year
100% of their work is related to activities eligible for the CTMM and the SR&ED tax credits
Company is specialized
Multimedia titles are not part of an order and are available in French
FEDERAL QUÉBEC TOTAL
Salary 1,000,000 1,000,000
Replacement amount @ 55%2 550 000
Québec CTMM credit3 0
1,550,000 1,000,000
Federal credit @ 15% and Québec credit @ 37.5% 232,500 375,000 607,500
Source: Ministry of Finance of Québec, 2017
Compilation: Montréal International, 2017
TAILOR-MADE INCENTIVES OF MULTIMEDIA TITLES PRODUCTION
Notes :
1 This model takes into consideration changes made to certain tax credits (2012, 2014 and 2015) and is thus valid as of fiscal 2017.
2 Limited by other company expenditures.
3 The CTMM does not reduce the amount eligible for the federal SR&ED tax credit.
4 The tax credit can reach a maximum of 37,500$ per employee. However, up to 20% of the total employees are not be subject to this limitation.
REFUNDABLE TAXCREDIT FOR THE PRODUCTION OF MULTIMEDIA TITLES:
Covers 26.25% to 37.5% of wages
COST ADVANTAGE
Greater Montréal
51
Notes:
1: For the purposes of calculating the combined rate of the credit, the tax credit
from the government of Québec is applied against the federal tax credit.
2: Foreign workers hired by a Québec company may qualify for the assistance program.
Source: Ministry of Finance of Québec, 2017
TAILOR-MADE INCENTIVES FOR FINANCIAL CENTRES AND CINEMA
REFUNDABLE TAX CREDIT FOR INTERNATIONAL FINANCIAL CENTRES:
24 % of salaries up to 18,000$ per job per year
TAX CREDIT FOR FILM PRODUCTION SERVICES:
Up to 38 % combined tax credits for production services
● 20 % in credits refundable by the government of Québec for eligible production costs
• 16% bonus for extended labour costs incurred for eligibleproductions comprising special effects and computer animation (with scenes shot in front of a chroma key screen)1
• 16% non-refundable tax credits for eligible labour costsfrom the government of Canada2
COST ADVANTAGE
Greater Montréal
52
TAILOR-MADE INCENTIVESHR AND MAJOR PROJECTS
FINANCIAL ASSISTANCE FOR JOB CREATION AND TRAINING:
● 25% of eligible costs for the implementation of a training program and 50% of costs incurred for the creation of a human resource department
ESSOR FUND FOR MAJOR PROJECTS:
● Refundable and non-refundable contributions, loanguarantees
● Sectors: manufacturing, software publishing, privateresearch centres, environmental services and tourism
COST ADVANTAGE
Greater Montréal
53
TAILOR-MADE INCENTIVES
STRATEGIC INNOVATION FUND
● Repayable or non-repayable contributions up to 50% of eligible costs for projects up to $ 500M
● All industrial and technological sectors to support innovation
TAX HOLIDAY FOR FOREIGN RESEARCHERS AND EXPERTS:
Five-year Québec income tax exemption
● 100% of salary for the 1st and 2nd year
● 75% for the 3rd year
● 50% for the 4th year
● 25% for the 5th year
“ Greater Montréal offers life sciences
companies a very welcoming environment,
with a very open spirit of collaboration
among universities, research institutions,
industry and government. ” – Neil Fraser, President, Medtronic Canada
Greater Montréal
A HUMAN-SCALEMETROPOLIS
Greater quality of life
QUALITY OF LIFE
Greater Montréal
56
HIGHEST PURCHASING POWER IN NORTH AMERICA
Purchasing power for single income family of four (software engineer)
Employees living in Greater Montréal have more disposable income than any major city in North America
Source: ERI’s Salary Assessor, September 19, 2017; Mercer 2017.
QUALITY OF LIFE
Greater Montréal
57
AFFORDABLE HOUSING, 30% LESS EXPENSIVE THANTORONTO AND 67% LESS THAN SAN FRANCISCO
0 50 100 150 200
San Francisco
New York City
Boston
Washington
Los Angeles
Miami
Chicago
Toronto
Houston
Montréal
HOUSING COSTS (MONTRÉAL = 100)Selection of metropolitan areas, 2017
NORTH AMERICAN EFFICIENCY+EUROPEAN CHARM:
Greater Montréal offers workersand their families the best of twoworlds
● According to The Economist, Montréal is the 2nd best city in the world for living.
● Among the main NorthAmerican metropolitan areas, Montréal has the best domestic purchasing power in Canada, 3rd in NorthAmerica.
Source: Expatistan, 2017; The Economist Intelligence Unit, 2015
QUALITY OF LIFE
Greater Montréal
58
AFFORDABLE COST OF LIVING, 24% LESS EXPENSIVE THANIN COMPARABLE METROPOLITAN AREAS
100
80 120 160 200
Hong Kong
Paris
New York
Chicago
San Francisco
Vancouver
Seattle
Miami
Boston
Montréal
COST OF LIVING (MONTRÉAL = 100)Selection of metropolitan areas, 2016
Source: The Economist Intelligence Unit, 2017
QUALITY OF LIFE
Greater Montréal
59
Sources: Federal Bureau of Investigation, 2017; Statistics Canada, 2015; Invest in Canada, 2017
A REGION BRIMMING WITH ADVANTAGES
A VERY SAFE ENVIRONMENT
● Lowest homicide rate (1.02 per 100,000 inhabitants) among North America’s 20 largest metropolitan areas (4.84 per 100,000 inhabitants on average) in 2016
EFFICIENT AND ACCESSIBLE PUBLIC SERVICES
● Health: basic health care provided at no cost to Canadian citizens and permanent residents
● Education: more accessible higher education, thanks to the lowest tuition fees in North America
LIVING CONDITIONS AND QUALITY OF LIFE
● Canada is one of the most multicultural countries in the world, with world-class universities, a universal health care system and clean and friendly cities. The OECD’s Better Life Index shows Canada as best in the G7 in terms of overall living conditions and quality of life.
QUALITY OF LIFE
Greater Montréal
60
A CULTURAL METROPOLIS
INTERNATIONALLY RENOWNED INSTITUTIONS
● The first Arts Council in Canada
● Important cultural institutions and more than 65 museums and exhibitions
● 8 Schools of Arts and 2 conservatories
A CULTURAL OFFER FOR EVERYONE
● International scale equipment for every type of event
● More than 120 festivals and annual events
● 178 show halls
BILINGUAL AND DIVERSE MEDIA
● 29 radio stations and 8 television stations
● 273 cinema halls
● 87 editors and 60 bookstores
Source: Montréal Métropole Culturelle, 2014
QUALITY OF LIFE
Greater Montréal
61
A WORLDWIDE RECOGNITION
THE BEST MAJOR CITY IN THE AMERICAS FOR MILLENNIALSNestpick, 2017
ONE OF THE TWO BEST PLACES TO LIVE IN THE WORLD The Economist, 2015
BEST BICYCLE FRIENDLY CITY IN NORTH AMERICACopenhagenize, 2017
3rd FRIENDLIEST CITY IN THE WORLDRough Guides, 2014
UNESCO CITY OF DESIGN SINCE 2006
TOP HOST CITY IN NORTH AMERICA FOR INTERNATIONAL ASSOCIATION EVENTSUnion of International Associations (UIA), 2016
TOP 10 HIP CITIESNew York Times, 2011
Greater Montréal
YOUR STRATEGIC PARTNER
Greater ambition
MONTRÉAL INTERNATIONAL, YOUR PARTNER 63
Greater Montréal
MONTRÉAL INTERNATIONAL AT A GLANCE
The GREATER MONTRÉAL INVESTMENT PROMOTION agency – since 1996
A SINGLE POINT OF ACCESS to a series of personalized, free and confidential services
60 SPECIALISTS (economists, lawyers, communications,..) to assist you in setting up or expanding your business
This includes a group of TERRITORIAL (EU, Americas, Asia) and SECTORIAL EXPERTS(ICT - Life Sciences & Health Technologies -Aerospace)
A catalyst
for foreign
investors
MONTRÉAL INTERNATIONAL, YOUR PARTNER 64
Greater Montréal
STRATEGIC PARTNERSHIPS OR INTERNATIONAL EXPANSION IN GREATER MONTRÉAL
WE CAN ASSIST YOU THROUGH THE WHOLE PROCESS
• Navigate the ecosystem
• Organize a tailored visit
program
• Outline the strategic options
• Assist you to structure
your project
• Identify available
incentives if relevant
• Introduce you to the right
partners
• Assist with international
mobility and talent acquisition
• Public announcement
• « Aftercare »
Exploratory phase Project definition Implementation
MONTRÉAL INTERNATIONAL, YOUR PARTNER 65
Greater Montréal
A TEAM TO MEET YOUR EXPECTATIONS
LONG-TERM ACCOMPANYINGSTRATEGIC SUPPORT
Take advantage of our expertise to realize your investments, tap into business opportunities and reach your objectives. Our solution-oriented project directors make it easy to access the resources you need to succeed.
ECONOMIC DATA & COMMUNICATION
Obtain comprehensive comparative data on the region’s economic environment (market, workforce, operating costs, taxes, etc.) that will enable you to carry out your business plans. Access our vast network of partners, including numerous decision-makers from government, economic, financial, university and scientific circles. Also, take advantage of our spin-off, communication and public relations services to strategically position your project.
GOVERNMENT RELATIONS
You can benefit from our special relationship withmany federal, provincial and municipal partners, as well as business and financial networks, universitiesand training and research centres.
TAX AND FINANCIAL INCENTIVESPROGRAMS
Take advantage of government programs available to foreign firms that invest in Greater Montréal. Depending on the eligibility and nature of your project, our team will direct you toward the most beneficial financial and tax incentives and highlight available funding sources.
INDUSTRY EXPERTISE
Draw on our expertise in Greater Montréal’s competitive clusters. You will have access to strategic advisors and to key information on all the growing industries in the area.
INTERNATIONAL MOBILITY
Optimize the hiring and immigration processes for strategic foreign workers with our international mobility advisors’ recruiting and support activities.
380, rue Saint-Antoine Ouest
Bureau 8000
Montréal (Québec) H2Y 3X7
t 514 987-8191 f 514 987-1948
www.montrealinternational.com
MONTRÉAL INTERNATIONAL, YOUR PARTNER 66
Greater Montréal
Business in Greater Montréal –
Montréal International
@MTLINTL
@GreaterMTL
@talentmontreal
INVEST SUCCESSFULLY IN GREATER MONTRÉAL
NIKOLAUS HOTTENROTH
Director Business Development
Europe
CONTACT
Tel. : 514 987-9373Cell. : 514 465 2027
