Ben Nguyen 
Introduction
Understanding average salaries in Canada provides a useful benchmark for both employers and employees. For employers, knowing typical salary ranges assists in determining compensation packages that attract talent at a competitive rate. Employees can leverage earnings data during salary negotiations and when evaluating new job opportunities.
This guide will explore key facets of the average salary in Canada, including:
- Average wages nationally and provincially
- Factors influencing salary variances
- The gender pay gap
- Highest paying occupations
- Salary growth trends
- International comparisons
Arm yourself with the latest salary insights to make informed employment decisions.
What Is The Average Salary in Canada ?
According to recent 2022 data from Statistics Canada, the average weekly wage for all Canadian employees was $1,174.82 CAD, equaling an annual average of $61,090.64 (assuming 52 weeks). This average wage applies to employees aged 15 and over, encompassing both sexes and full-time as well as part-time workers.
When looking specifically at full-time employees, the average weekly wage was $1,333.66 in 2022, equaling approximately $69,350.32 annually. For part-time employees, the average weekly wage was $389.14, or $20,235.28 annually.
Averages can be skewed by very high or low earners. The median salary provides the true middle ground. The median weekly wage for all Canadian employees in 2022 was $1,021.20 CAD, equaling $53,102.40 annually. For full-time employees, the median weekly wage was $1,154.00 or $60,008 annually. And for part-time workers, the median weekly wage was $320.00, or $16,640 annually.
In summary, typical full-time Canadian workers make $60,000 – $69,000 per year based on median and average salary data. While averages provide a useful benchmark, median values better reflect the true central tendency due to the impact of outliers. Understanding national earnings averages provides helpful guidance when evaluating compensation.
| Wage Measure | All Employees | Full-Time Employees | Part-Time Employees |
|---|---|---|---|
| Average Annual Wage | $61,090.64 | $69,350.32 | $20,235.28 |
| Median Annual Wage | $53,102.40 | $60,008.00 | $16,640.00 |
Provincial Average Salary in Canada
There is significant variation in average wages across Canada’s provinces and territories. Geography, population size, major industries, and cost of living all influence earning power.
The territories tend to have the highest provincial average salaries in Canada, largely due to concentrations of high-paying natural resource jobs. Provinces with large urban metropolises and diverse economies also report stronger provincial average wages in Canada. Rural regions that are more dependent on agriculture or fishing usually fall below the national average provincial salary in Canada.
Here’s an overview of recent data on average provincial wages in Canada, providing insights into the regional earning discrepancies:
Alberta
Alberta’s average weekly wage was $1,266.53 in 2022, equaling approximately $65,859.56 annually. With its oil and gas sector, Alberta consistently reports some of the highest average wages among the provinces.
Read more:
Ontario
Ontario reported an average weekly wage of $1,216.43 in 2022. This results in an average annual salary of roughly $63,254.36. As Canada’s most populous province with a diverse, strong economy, Ontario boasts some of the highest average wages nationwide.
Read more:
British Columbia
In B.C., the average weekly wage in 2022 was $1,191.03. Annually, this equalled around $61,933.56 on average. With a strong economy driven by forestry, natural gas, and service industries, B.C. offers wages above the national average.
Read more: Average Salary in British Columbia
Newfoundland and Labrador
In 2022, the average weekly wage in Newfoundland and Labrador was $1,143.65. This translates to an annual average salary of approximately $59,469.80. Newfoundland has historically had lower wages, but the growth of oil and gas extraction has helped boost incomes.
Read more: Average Salary in Newfoundland and Labrador
Saskatchewan
Saskatchewan had an average weekly wage of $1,142.70 in 2022. Annually, this translated to around $59,420.40 on average. Agriculture and natural resources drive the economy, resulting in wages higher than in some provinces but below the national average.
Read more:
Quebec
In Quebec, the average weekly wage in 2022 was $1,106.81. Annually, this equalled an average salary of around $57,554.12. As a larger, more urban province focused on sectors like manufacturing, Quebec fares better wages but still remains below the national average.
Read more:
New Brunswick
New Brunswick had an average weekly wage of $1,033.71 in 2022, translating to an annual average salary of approximately $53,752.92. As a smaller Maritime province, New Brunswick’s wages are depressed by challenges in industries like forestry and fishing.
Read more:
Manitoba
In Manitoba, the average weekly wage was $1,034.41 in 2022, equaling an average annual salary of around $53,789.32. With a focus on agriculture, manufacturing and hydroelectric power, Manitoba falls in the middle of the pack on wages.
Read more:
Nova Scotia
In Nova Scotia, the average weekly wage was $1,017.02 in 2022. This equaled an average annual salary of around $52,885.04. As a Maritime province focused on industries like fishing, forestry and agriculture, wages in Nova Scotia tend to fall below the national average.
Read more:
Prince Edward Island
Prince Edward Island had an average weekly wage of $1,007.31 in 2022. Annually, this equaled around $52,380.12 on average. As a largely rural province focused on industries like agriculture, wages in PEI tend to be on the lower side.
Read more:
| Province | Average Weekly Wage (2022) | Average Annual Wage (2022) |
|---|---|---|
| Alberta | $1,266.53 | $65,859.56 |
| Ontario | $1,216.43 | $63,254.36 |
| British Columbia | $1,191.03 | $61,933.56 |
| Newfoundland and Labrador | $1,143.65 | $59,469.80 |
| Saskatchewan | $1,142.70 | $59,420.40 |
| Quebec | $1,106.81 | $57,554.12 |
| New Brunswick | $1,033.71 | $53,752.92 |
| Manitoba | $1,034.41 | $53,789.32 |
| Nova Scotia | $1,017.02 | $52,885.04 |
| Prince Edward Island | $1,007.31 | $52,380.12 |
Average Salaries By Industry In Canada
There are significant differences in average earnings across industries in Canada. High-paying sectors like mining and finance vastly outpace low-paying ones like retail and food services.
Here are the average salaries by industry in Canada for 2022:
- Mining, quarrying, and oil and gas extraction: ~ $104,070 annually
- Utilities: ~ $95,213.
- Finance and insurance: ~ $75,890
- Professional, scientific and technical services: ~ $82,656
- Public administration: ~ $78,672
- Transportation and warehousing:~ $61,953
- Educational services: ~ $65,213
- Health care and social assistance: ~ $55,307
- Construction: ~ $70,926
- Manufacturing: ~ $63,663
- Wholesale trade: ~ $45,208
- Retail trade: ~ $45,208
- Accommodation and food services: ~ $28,046
The highest-paying sector of mining, oil and gas extraction has an annual salary almost four times as high as the lowest-paying sector of accommodation and food services. This massive discrepancy highlights the impact of industry on earning power in Canada.
Several key factors drive the wide variances in average salaries across industries in Canada:
- Education and skill requirements – Knowledge-based industries like finance and professional services can offer higher pay to attract qualified talent.
- Value added – Manufacturing and utilities contribute substantial economic value, enabling higher compensation than lower-margin industries like food services.
- Labour union presence – Unionized sectors like construction generally have the higher collective bargaining power to negotiate better wages.
- Public vs private sector – Public administration roles tend to provide greater job security and benefits compared to many private roles.
- Location – Urban industries have elevated salaries due to higher living costs.
- Occupational hazards – Sectors with dangerous working conditions like mining compensate with higher pay.
- Supply and demand – Industries with high demand but limited qualified labour will raise wages to attract talent.
Average Salaries by Occupation in Canada
In addition to differences across industries, average wages in Canada also vary significantly by occupation. Some occupations requiring extensive training and education command much higher salaries than entry-level roles.
According to recent Statistics Canada data, here are the average salaries for broad occupational categories in Canada:
- Management occupations: ~ $111,389 annually
- Business, finance and administration occupations: ~ $59,179
- Natural and applied sciences occupations: ~ $84,745
- Health occupations: ~ $60,894
- Occupations in education, law, and social services: ~ $67,114
- Occupations in art, culture, and recreation: ~ $49,322
- Sales and service occupations: ~ $35,672
- Trades, transport and equipment operator occupations: ~ $62,547
- Natural resources and agriculture occupations: ~ $63,083
- Manufacturing and utilities occupations: ~ $53,515
The highest paid management occupations earn over 5 times more than the lowest paid manufacturing and utilities occupations on an annual basis. This reflects large gaps in required qualifications and skills.
When looking at specific roles within the major categories, the discrepancies are even larger. Corporate executives and specialist physicians earn well over $200,000 annually, outpacing cashiers, labourers, and kitchen helpers by factors of 10 or more.
What Factors Influence Salaries in Canada?
Many complex variables impact compensation levels and contribute to salary discrepancies between occupations in Canada.
Qualifications and Expertise
Completing an undergraduate university degree can boost earnings by 15% compared to only having a high school diploma. Master’s and professional degrees lead to even larger compensation premiums. IT certifications, trade accreditations, and specialized training also equip workers with valuable human capital that commands higher wages. Higher levels of qualifications and expertise drive increased salaries.
Experience
Each additional year of relevant work experience in a field results in increased pay ranging from 2-5%, depending on the role. This experience premium reflects the accumulation of specific job-related human capital. The maximum earnings potential is often achieved after approximately ten or more years in a career. Long-tenured, experienced employees earn substantially more than entry-level hires.
Industry and Occupation
There are innate differences in earning power across industries and occupations. Knowledge-based sectors like finance, technology, law, and healthcare compensate more highly than manual labor roles and industries like hospitality, retail, and food services. Supply and demand imbalances, profit margins, and skill necessities inherently vary.
Public vs. Private Sector
Government and public sector jobs typically offer greater job security, benefits, and work-life balance compared to the private sector. However, base cash compensation may be lower, especially at senior levels. Profitability and bonuses tend to be higher in the private sector.
Location
Geographic differences lead to major salary variances. Industries concentrated in high-cost-of-living urban areas like Toronto or Vancouver pay more due to elevated housing costs. Remote rural jobs lag behind. Local economic conditions also impact regional salaries within provinces.
Demographics
Personal demographics influence compensation discrepancies. Aspects like gender, age, ethnicity, disability status, and family obligations intersect with pay. While equal pay legislation exists, gaps persist.
Negotiation Ability
An individual’s negotiation skills, confidence, and persuasiveness impact starting offers and raises. Two people being hired for the exact same role may end up with different salaries based on their personal negotiating differences.
In summary, a wide range of complex education, experience, industry, geographic, demographic, and interpersonal factors contribute to the salary variances across occupations in Canada. Understanding these drivers provides helpful context.
Gender Wage Gap in Canada
In 2022, Canadian women earned significantly less on average than men across industries. For both full-time and part-time employees aged 15 and over, the average weekly wage for males was $1,320.38 compared to just $1,024.65 for females.
Annually, the average salary in Canada is $68,659.76 for men compared to $53,281.80 for women, resulting in a wage gap of approximately 22.4%.
This substantial and persistent earnings inequality stems from a variety of factors, including gender discrimination and bias, undervaluation of female-dominated roles, lack of pay transparency, unequal family care duties, lower female representation in high-paying fields, and differences in career breaks and negotiation tactics.
Closing the gender wage gap remains an important challenge in achieving pay equity and workplace equality in Canada. Ongoing advocacy, legislation, diversity initiatives, pay transparency, and family-friendly policies all have a role to play in narrowing the discrepancies in male and female earnings over time.
Canadian Salary Growth Trends
Analyzing average wage data over the past two decades provides insights into the growth trajectory of Canadian salaries. From 2002 to 2022, the average weekly wage for all employees climbed 80.8% from $650.12 to $1,174.82.
| Year | Average Weekly Wage in Canada |
| 2002 | $650,12 CAD |
| 2003 | $662,54 |
| 2004 | $679,79 |
| 2005 | $703,14 |
| 2006 | $743,85 |
| 2007 | $773,24 |
| 2008 | $803,03 |
| 2009 | $825,58 |
| 2010 | $841,56 |
| 2011 | $862,84 |
| 2012 | $888,99 |
| 2013 | $907,59 |
| 2014 | $923,69 |
| 2015 | $948,17 |
| 2016 | $965,53 |
| 2017 | $979,95 |
| 2018 | $1.007,63 |
| 2019 | $1.033,12 |
| 2020 | $1.100,38 |
| 2021 | $1.122,40 |
| 2022 | $1.174,82 |
This represents an average annual salary increase of approximately 3.0% per year over the 20-year period. However, growth has not followed a perfectly linear path.
The most rapid salary growth occurred between 2006 and 2008 when average weekly earnings rose 7.8% from $743.85 to $803.03. This was fueled by a strong resource and commodities boom.
Conversely, the slowest wage growth happened between 2009 and 2010 during the global financial crisis, increasing just 1.9% from $825.58 to $841.56 weekly.
Wage growth trends closely mirror wider macroeconomic conditions. Salary stagnation during recessions gives way to faster pay increases when labour markets tighten in periods of strong expansion and low unemployment.
Understanding historical context helps set appropriate expectations for future Canadian salary growth trajectories.
Average Annual Salaries by Country
Comparing average annual salaries across countries provides an international perspective on compensation levels. According to 2022 data from VisualCapitalist, here are the average annual salaries for the top 10 highest-earning countries :
| Rank | Country | Average Annual Salary (USD, PPP adjusted) |
| 1 | Luxembourg | $78,310 USD |
| 2 | U.S. | $77,463 |
| 3 | Switzerland | $72,993 |
| 4 | Belgium | $64,848 |
| 5 | Denmark | $64,127 |
| 6 | Austria | $63,802 |
| 7 | Netherlands | $63,225 |
| 8 | Australia | $59,408 |
| 9 | Canada | $59,050 |
| 10 | Germany | $58,940 |
The data shows the top salary globally is Luxembourg at $78,310 USD annually. The U.S. ranks second at $77,463 USD. The figures reflect the average annual wages in select economically advanced nations.
Canada places 9th out of the 10 countries profiled, with an average salary of $59,050 USD. This puts us ahead of major European economies like Germany and France, but well behind productivity leaders like the U.S. and Switzerland.
Conclusion
- Average salaries provide helpful benchmarks, but median salaries better represent the true middle ground.
- Many complex factors influence salaries, including education, experience, industry, location, company size and economic conditions.
- A stubborn gender wage gap persists despite improvement. Further action is needed to promote true pay equity.
- The highest incomes are achieved in high-skill fields like specialized medicine, law, management and engineering.
- Monitoring wage growth reveals how compensation is evolving across industries.
- While not at the very top, Canadian salaries remain competitive globally when factoring in quality of life-considerations.
Understanding what drives salaries, typical earning rates, and growth trends will help both employers and employees make astute compensation decisions.
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FAQs related to average salaries in Canada
How is the average salary calculated in Canada?
Average salary is calculated by taking the total wage earnings in Canada and dividing by the total number of employed people. Individual responses are aggregated to determine the overall national average.
What was the average salary in Canada in 2022?
The average salary across all occupations in Canada in 2022 was approximately $61,090 annually or $1,174 weekly, according to Statistics Canada data.
Where are the highest paying jobs in Canada located?
The provinces with the highest average salaries are Alberta, Ontario, British Columbia, Saskatchewan, and Newfoundland and Labrador. Major metropolitan areas like Toronto, Vancouver, Calgary, and Edmonton also have high wages.
Why do salaries vary across industries?
Factors like required education, profit margins, value-added, unionization rates, public vs private sector, supply and demand, and geographic location cause wage variances between industries.
When do salaries typically peak in Canada?
Salary peaks typically occur around age 40-50. After this point, wage growth slows and earnings flatten out or decline as employees approach retirement.
Do all provinces have similar average wages?
No, there are large discrepancies between provinces. Alberta and Ontario have the highest average wages, while the Maritime provinces have the lowest.
Can education level impact average salary?
Yes, higher levels of education lead to significantly increased earning potential. University graduates earn approximately 15% more than high school graduates.
Is the gender wage gap decreasing in Canada?
Yes, but slowly. The gap has declined from around 35% in the 1980s to 15% today. More progress is still needed for pay equity.
Do salaried employees make more than hourly workers?
On average, yes. Salaried employees tend to earn approximately 15-20% higher pay compared to hourly wage earners.
How frequently are salaries adjusted in Canada?
Most employees receive salary adjustments on an annual basis, typically aligned with performance reviews. Cost of living raises also occurs periodically.
What Canadian city has the highest average salary?
Calgary has the highest average salary of major Canadian cities, followed by Edmonton, Toronto, Vancouver, and Ottawa.
Do salaries increase each year in Canada?
On average, salaries rise approximately 2-3% per year. However, increases vary significantly by industry, province, occupation, and economic conditions.
How is salary influenced by company size?
Generally, larger companies pay higher average salaries compared to small businesses, except at senior executive levels.
Why does the cost of living impact salaries?
Salaries tend to be higher in areas with elevated housing, goods, and services costs so workers can afford local living expenses.
Do salaries increase with inflation?
Ideally, salaries keep pace with inflation to avoid decreases in real purchasing power. This isn’t always the case though.
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