Can you expect a salary increase in 2015?
Canadian employees can expect a salary increase in 2015 of 2.6%, according to a national survey of over 400 Canadian public and private sector employers conducted by Hay Group in June and July. Participants include many of Canada’s leading employers.
The 2.6% projected increase is the same as that in 2014, and lower than the 2.9% projection for 2013.
Canadian projections have now fallen further behind the U.S. where American workers can expect an average increase of 3.0% in 2015, up from 2.8% projected for 2014.
According to the predictions, 83% of Canadian employers will provide their employees with base salary increases in 2015.
The highest increases continue to be seen in the oil and gas sector at 3.8%. Chemicals (3.3%), credit unions (3.2%), and financial services (3.0%) are all sectors with forecasts considerably higher than the national average of 2.6%. These high forecasts are a continued reflection of the demand for key skills and experience.
Alberta (3.1%) and Saskatchewan (2.9%) will lead the country with projected overall base salary increases higher than the national average. All other provinces are predicting increases of between 2.1% and 2.6%, which are at or below the national average.
Looking at the 2015 projections for major Canadian cities, workers in Calgary (3.2%), St. John’s (3.1%) and Saskatoon (3.0%) will see the highest salary increases.
- For all organizations, base salary changes in 2014 were exactly as forecasted at 2.6%
- Projections by job level show most positions will be at or just above the national average of 2.6%
- Only unionized clerical positions will see average increases (2.3%) that are below the national average
- No change to the Ontario and the GTA projections of 2.5 per cent
- No change to the Quebec (2.6%) and Maritimes (2.1%) from last year’s projections.
Projections for countries such as United Kingdom (2.5%), Canada (2.6%), U.S. and Australia (3%) continue to lag behind those for India (10.7%) and China (8.2%) although the 2015 forecasts for China are lower than the 9% made one year ago
It’s that time of year when business owners start thinking about salary increases for their employees.
Are you ready to review your salary increases with an expert?