Canadians Can Expect a 2.4% Raise Next YearBy Andrew Rickard | August 28 2015 10:38AM
A survey conducted by Hay Group suggests that Canadians can expect to receive an average increase in their base salaries of 2.4% in 2016.
The management consultant’s survey of more than 525 Canadian public and private sector firms found that 70% of employers plan to give their workers a raise next year in 2016, which is significantly less than the 83% of employers who planned to increase pay in 2015. Because of the precarious state of the Canadian economy, more survey respondents indicated that they were taking a “wait and see” approach before increasing their budgets.
Hay Group also notes that the projected 2.4% boost in pay for this year is lower than the 2.6% increase predicted in 2015, and says this is part of a downward trend in Canadian salary increases that began with the Great Recession in 2008.
Some sectors, however, can expect more than the average pay bump: credit unions, employers in the leisure and hospitality sectors, and insurers said they planned to increase salaries by 3%, 3%, and 2.9% respectively. Hay Group says that only unionized clerical and operations workers can expect average increases that are below the national average, receiving 2.2% more in base salary next year.
Broken down by region, Saskatchewan had the highest average projected salary increase with 2.7%, followed by Alberta, Manitoba, Ontario and Quebec at 2.5% each.