According to a newly released survey by consulting firm Normandin Beaudry, Canadian employees are on track to receive an average salary increase of 3.6% in 2024. Maple News reports that this marks a positive trend for workers nationwide, suggesting continued recovery and stabilization in the labor market following pandemic-era challenges.
The survey, which gathered responses from over 700 companies across Canada, reveals that salary growth expectations are slightly above historical norms. Only 2% of companies reported plans for wage freezes in 2024—a steep decline compared to the pre-pandemic range of 3% to 5%, indicating healthier compensation trends across sectors.
Notably, 43% of the surveyed employers are budgeting an additional average salary increase of 1% on top of general wages. This reflects a targeted approach to retain talent and address inflationary pressures.
Some sectors are poised to benefit more than others. High-growth and in-demand industries such as STEM (Science, Technology, Engineering, and Math), real estate, manufacturing, and accommodation and food services are expected to see average salary increases of up to 3.9%. These sectors are playing a vital role in Canada’s economic expansion and workforce development.
For newcomers to Canada, especially skilled immigrants, this is welcome news. STEM occupations, in particular, are being prioritized by Immigration, Refugees and Citizenship Canada (IRCC) under the new category-based selection system in Express Entry. Maple News notes that up to 31% of the remaining Invitations to Apply in 2023 were targeted toward candidates in the STEM category, reinforcing the urgency for technical talent in Canada.
The alignment of salary growth with immigration priorities offers promising opportunities for both Canadian-born and immigrant workers. As employers compete to attract and keep skilled professionals, foreign nationals with relevant expertise may benefit from improved job prospects and increased earning potential.
Overall, 2024 looks promising for Canada’s labor market, with robust wage growth anticipated and strategic sectoral focus aligning with ongoing immigration efforts.
Maple News will continue to monitor how wage trends impact Canadian workforces, immigration, and the broader economy into the coming year.