The provincial government has hired consultant McKinsey and Co. for $1 million to look for ways to diversity the Newfoundland and Labrador economy.
The contract, awarded on Sept. 19, will see the company look for ways to help the government focus on deep-water oil development and the ocean and aerospace sectors in an effort to create jobs in the province.
The company has until the end of the year to file its report to the government.
The government will try to implement some recommendations in time for the 2019 budget, Finance Minister Tom Osborne says.
“They’ve worked with governments around the world in diversifying economies and creating jobs,” Osborne said Monday.
“They know what they’re doing. Three months to provide us with the report is, some may look at it as ambitious, but we’ve got a company here who know what they’re doing.”
U.S.-based McKinsey and Co. was founded in 1926 as a management consultant firm. It remained focused in the U.S. until the turn of the millennium, when it expanded internationally. The company currently employs more than 27,000 workers all over the world.
Osborne says McKinsey and Co. has been directed to look at what can be done in the natural resources and aerospace sector, with a focus on ocean research, but it also has freedom to look at other areas of government where there may be room for improvement.
“The other slate we’ve given them is a blank slate and told them to come to us with their ideas,” said Osborne.
“They can share with us where they believe we can find economic opportunities.”
While there’s no specific goal for what will come of the report, Osborne says he’s hopeful the advice of the company will help the government create new jobs in the years to come.
Twitter: DavidMaherNL
