A new report on the compensation gap between Canadian and American tech workers shows tech workers in the United States earn 46 per cent more in salary when adjusted for the exchange rate and cost of living.
Using U.S. and Canadian statistical and survey data sets from 2021, the report reveals compensation disparity based on race, gender and educational attainment.
The report by the Dais at Toronto Metropolitan University also offers a quantifiable analysis on non-wage compensation such as stock options and shows an average U.S. tech workers’ equity compensation was valued at twice that of a tech worker in Canada.
Median wage compensation gap by country (all values in $CAD):
- In the U.S., tech workers earn an average of $122,604, while in Canada, tech workers earn $83,698
- Non-tech workers in America earn an average of $51,830, while in Canada non-tech workers earn $46,311
Median wages by gender:
- Women tech workers in Canada earn $73,932, men earn $86,574
- Women tech workers in the U.S. earn $103,078, men earn $129,657
- For non-tech workers in Canada, women earn $41,162 and men earn $51,882
- In the U.S., non-tech workers who are women earn $46,407 and men earn $62,132
Median wages by educational attainment for tech workers:
- In Canada: doctorate: $106,026, master’s degree: $92,938, bachelor’s degree: $88,483, college diploma: $77,648, high school diploma: $55,479, no degree/high school diploma: $59,726.
- In the U.S.: doctorate: $160,776, master’s degree: $141,543, bachelor’s degree: $122,604, college diploma: $92,057, high school diploma: $84,926, no degree/high school diploma: $42,139.
Median wages by racial identity:
- In Canada, the highest paid tech workers identify as Chinese and the lowest paid tech workers identify as Black.
- In the U.S., the highest paid tech workers identify as South Asian and the lowest paid identify as American Indian and/or Alaskan Native.
“The research raises an alarm on the glaring disparity in competitiveness of the tech industries in Canada and America. The U.S. offers better wages than Canada despite the talent and potential that Canada possesses through its graduates and institutions,” said Vivian Li, report author and senior policy analyst at the Dais.
“If we’re not competitive, we could further lose this valuable asset thereby dwarfing our capability to grow and strengthen our overall economy and prosperity.”
The complete Mind the Gap: Compensation Disparity Between Canadian and American Technology Workers report is available online.