Gains of 2.2 per cent predicted, down from 2.4 per cent in 2016.
Canadians can expect to see average base salary increases of 2.2 per cent in 2017, according to a survey of almost 700 Canadian public and private sector employers by Korn Ferry Hay Group in June and July.
The 2.2 per cent projection is lower than the 2.4 per cent projection for 2016 and 2.6 per cent for 2015, continuing a downward that has developed since the start of the economic downturn in 2008/2009, said the group.
However, U.S. salary projections remain the same as for 2016 (three per cent).
Sixty-five per cent of Canadian employers are forecasting they will provide employees with base salary increases in 2017, which is considerably less than the 70 per cent number for 2016. This is due to continued economic uncertainty across many sectors in the Canadian economy and to the fact that more employers are now adopting a “wait and see” position before increasing their budgets, said Korn Ferry.
With the economic impact of collapsing oil prices and natural disasters hitting theFort McMurray area, energy workers are now projected to receive the lowest increases in the country at 1.5 per cent.
Alberta, followed by Newfoundland and Labrador, are the provinces forecasting the lowest increases.
|Province||2017 projection||2016 projection||2015 projection||2014 projection||2013 projection||2012 projection|
|B.C.||2.3 per cent||2.3 per cent||2.6 per cent||2.3 per cent||2.7 per cent||2.5 per cent|
|Alberta||1.3 per cent||2.5 per cent||3.1 per cent||3.2 per cent||3.6 per cent||3.4 per cent|
|Saskatchewan||2.2 per cent||2.7 per cent||2.9 per cent||3.4 per cent||3.2 per cent||3.2 per cent|
|Manitoba||2.4 per cent||2.5 per cent||2.3 per cent||2.6 per cent||2.7 per cent||2.5 per cent|
|Ontario||2.3 per cent||2.5 per cent||2.5 per cent||2.5 per cent||2.7 per cent||2.7 per cent|
|Quebec||2.5 per cent||2.5 per cent||2.6 per cent||2.6 per cent||2.7 per cent||2.8 per cent|
|Maritimes||1.9 per cent||1.9 per cent||2.1 per cent||2.1 per cent||2.6 per cent||2.4 per cent|
|Newfoundland||1.4 per cent||2.3 per cent||2.6 per cent||4.0 per cent||3.4 per cent||3.4 per cent|
|GTA||2.4 per cent||2.5 per cent||2.5 per cent||2.5 per cent||2.8 per cent||2.7 per cent|
Looking at major Canadian cities, workers in Montreal (2.5 per cent), Vancouver (2.4 per cent) and Winnipeg (2.4 per cent) can anticipate above average increases while those in Calgary (1.2 per cent), Edmonton (1.5 per cent) and St. John’s (1.5 per cent) will have to wait for better times.
By sector, pharmaceuticals (2.7 per cent), insurance, high technology and finance (all at 2.6 per cent) will provide the highest base salary increases to their employees.
Story from Canadian HR Reporter