TELUS Health Forecasts Positive Salary Growth for Non-Unionized Workers in 2025

TELUS Health has released its 42nd annual Salary Projection Survey, revealing an anticipated average base salary increase of 3.45% for non-unionized workers in Canada in 2025. This marks a significant milestone, as it is the first time in four years that salary growth is projected to outpace inflation, which currently sits at 2.0%, according to the Bank of Canada.

Guylaine Béliveau, National Practice Leader - Compensation Consulting at TELUS Health, emphasized the implications of this forecast. "The persistent demand for skilled talent is driving robust salary growth into 2025, despite easing inflationary pressures on employers," she noted. Béliveau further added that as inflation rates decline, employees will begin to regain purchasing power that has been lost in recent years, leading to improved financial well-being and enhanced workplace morale.

Key Findings from the Survey

The survey, which gathered data from over 355 Canadian organizations across diverse sectors, highlighted several notable trends:

1. Provincial Salary Variations: Salary projections for 2025 vary by province. British Columbia leads with an expected 3.60% increase in average base salaries, followed closely by Alberta at 3.54% and New Brunswick at 3.50%. Quebec, which saw a robust 3.85% salary growth in 2024, is projected to experience a slight decrease to 3.41% in 2025. Meanwhile, Nova Scotia shows the lowest projected increases among the provinces, with an anticipated rise of only 2.94% for both 2024 and 2025.
2. Industry-Specific Increases: The construction industry is expected to see the highest salary growth at 4.13% in 2025, followed by real estate at 3.92% and business services at 3.90%. These sectors have consistently led in salary increases over the past year. In contrast, public administration is projected to experience the lowest salary increases at 2.75%, taking over from information technology, which had the lowest forecast in 2024.
3. Salary Structures: The forecasted increase in salary structures for 2025 is 2.72%, slightly lower than the actual 2.89% increase implemented in 2024. This indicates a steady yet cautious approach to salary adjustments within the Canadian workforce.
4. Employer Priorities: The study indicates that Canadian employers' priorities remain consistent between 2024 and 2025, with employee engagement and the development of critical leadership skills at the forefront. There is also a growing emphasis on upskilling and training programs aimed at nurturing current and future leaders.
5. Enhancing Financial Well-Being: In response to ongoing economic challenges, 59% of organizations have introduced or are planning to implement initiatives to enhance financial well-being. These programs include healthcare spending accounts (24%), financial literacy education (20%), and group RRSPs (18%).

The TELUS Health Salary Projection Survey offers an optimistic outlook for non-unionized workers in Canada, indicating that the labour market is adapting to ongoing shortages by investing in talent through competitive salary increases. As employees regain their purchasing power, it is expected that overall workplace morale will improve, contributing to a more engaged and productive workforce. This positive trajectory is not only beneficial for employees but also enhances the long-term sustainability of Canadian businesses.