As per the latest insights gleaned from a comprehensive study by the esteemed financial management consulting firm Normandin Beaudry, the labor force across Canada is poised to witness a notable upswing in their paychecks come 2024. The survey, which involved a comprehensive analysis of over 700 companies spanning the expanse of the nation, has shed light on a host of crucial revelations that offer both optimism and cautionary notes for the Canadian workforce.
Revelations Unveiled by the Survey
Foremost among the survey’s findings is the projection that the average salary increment for workers is estimated to hover around 3.6%, a promising prospect for employees across various sectors. Encouragingly, the survey highlights that a meager 2% of the companies surveyed are considering imposing salary freezes in the forthcoming year. This projection contrasts significantly with the pre-pandemic scenario, where wage freezes typically averaged between three to five percent.
Additionally, the survey illuminates several significant discoveries that underscore the diverse landscape of the Canadian employment sector. Notably, approximately 43% of the surveyed companies have indicated their intention to allocate an extra one percent budget towards salary increments. Furthermore, specific sectors, including STEM (Science, Technology, Engineering, and Mathematics), Real Estate, Manufacturing, as well as Accommodation, and Food Services, are expected to witness salary hikes surpassing the national average, with increments estimated to reach up to 3.9%.
The prominence of STEM occupations in the Canadian job market is emphasized, particularly in the context of the country’s Express Entry category-based draws. Stemming from Canada’s Express Entry initiative, the federal government has identified STEM occupations as one of the six pivotal categories for Canadian immigration. Notably, it is anticipated that a significant portion, ranging from 28% to 31%, of the remaining Invitations To Apply (ITAs) for the year 2023 will be granted to immigration candidates belonging to this specific category.
A distinct observation made in the survey underscores the significant presence of the Accommodation and Food Services sector within the Canadian workforce. Two of the top five most common occupations, namely Food Service Supervisors and Cooks, as per the Express Entry year-end report for 2021, were identified within this industry, further emphasizing its significance in the employment landscape.
Regional Disparities in Salary Projections
The survey has also shed light on regional variations in the expected salary increments across different provinces and territories. Provinces such as Quebec, Yukon, Ontario, and British Columbia are anticipated to witness salary increments on par with or exceeding the national average of 3.6% in 2024. Conversely, the remaining provinces and territories are expected to experience slightly lower increments, with employed Canadians in the Northwest Territories, Saskatchewan, and Prince Edward Island projected to receive average salary hikes of 3.3%.
Implications for Newcomers to Canada
The augmented salary projections in Canada for the upcoming year hold significant promise, especially for individuals new to the country. Recognizing the pivotal role that financial stability plays in enabling a comfortable lifestyle, the projected salary increments offer a positive outlook for newcomers who may require additional resources to establish themselves and provide for their families in a foreign land. This development gains added significance in light of Canada’s recent acclaim in the 2023 Best Countries rankings by U.S. News, where the country secured the third spot in quality of life globally. The projected salary increments for 2024 are poised to further fortify the commendable quality of life that Canada offers to its residents, thereby affirming the country’s reputation as an attractive destination for individuals seeking a high standard of living.
The anticipated salary increments for Canadian workers in 2024, as outlined in the Normandin Beaudry survey, paint a promising picture for the labor force, particularly in terms of financial stability and enhanced quality of life. With the employment landscape witnessing upward trends and specific sectors slated for remarkable growth, the projections bode well for both seasoned employees and newcomers to the country, solidifying Canada’s position as a prime destination for a thriving professional and personal life.