Press Release

Canada’s Tech Sector Posts 3.5% Salary Increases in 2025 Amid Economic Uncertainty

TAP Network survey highlights resilient compensation trends, strong remote work adoption, and momentum in pay transparency.


VANCOUVER, British Columbia–(BUSINESS WIRE)–#tapnetwork–Canada’s tech sector is holding steady in 2025, with organizations reporting median salary increases of 3.5% and continued widespread adoption of remote and hybrid work, according to TAP Network’s annual Tech Sector Salary and Total Rewards Survey, produced in partnership with Mercer.

The Spring 2025 survey draws on data from startups, scale-ups, and large multinationals across Canada’s diverse tech subsectors. It reveals how employers are navigating rising unemployment, cooling inflation, persistent housing affordability challenges, tighter immigration policies, and ongoing economic uncertainty.

Despite these headwinds, the data shows resilience: most tech employers are maintaining competitive compensation while continuing to prioritize flexibility and innovation in their total rewards strategies.

By the Numbers: 2025 Tech Compensation Trends

  • Workplace Models: 71% hybrid, 26% fully remote, 2.6% fully onsite
  • Salary Increases: 3.5% median year-over-year
  • Hot Jobs: Product Marketing Manager (+7.2%), Data Scientist (+7.1%), UX Researcher (+6.3%)
  • Industry Leaders: Fintech (+5.8%) and Hardware Design/Manufacturing (+5.0%)
  • Turnover: Down to 8%, from a peak of 13% three years ago
  • Pay Transparency: Nearly half of employers are disclosing or preparing to disclose pay ranges

Remote Work Persists

“Remote work is alive and well in Canada’s tech sector, despite the headline-making return to office mandates at large multinationals such as Amazon and Dell Technologies,” said Stephanie Hollingshead, CEO of TAP Network. The survey data strongly supports this assertion:

  • 71.4% of tech companies have hybrid work arrangements
  • 26% are fully remote
  • Only 2.6% are fully onsite

Compensation Snapshot 2025

The survey reveals several key compensation trends for 2025:

  • Salary Increases: Median salary increases reached 3.5% year-over-year, perfectly aligned with salary budgets of 3.5%, indicating a reduced reliance on off-cycle pay increases this year
  • Industry Leaders: Fintech and Hardware Design, Development and Manufacturing sectors experienced significantly higher median salary increases at 5.8% and 5.0% respectively.
  • Turnover Stabilization: Year-over-year turnover continues to slide downward from a peak of 13% three years ago to 8% this past year

Hot Jobs and Growing Roles

Product Marketing, Data Science and UX Research topped the list this year as jobs with the highest year over year salary increases for common incumbents (same employees in same jobs). Intermediate level Product Marketing Manager was at the top with a 7.2% increase. Next highest was Entry level Data Scientist at 7.1% and User Experience (UX) Researcher at 6.3%. Notably, Technical Customer Support Manager made the list of top ten salary increases for the second consecutive year.

On the flip side, some jobs experienced median base salary increases of less than 2%, including Senior Animators and Research Scientists.

The survey identified several technical, sales and management positions experiencing significant headcount growth this year, including:

  • National/Major Account Representative
  • Firmware Engineer – Intermediate level
  • Software Engineering/Development Director
  • Purchasing Manager
  • Data Architect
  • Technical Customer Support Representative – Entry level
  • UI/UX Designer – Senior/Lead level
  • Marketing Communications – Senior/Lead level

Pay Transparency Gains Momentum

With pay transparency legislation increasing across Canada, the tech sector is responding proactively. Almost half of the tech companies surveyed are either going above and beyond legislation by sharing pay ranges internally and externally in a standardized way, or are exploring doing so.

Looking Ahead

The survey signals cautious optimism for 2026, with organizations forecasting average headcount growth of 13% and salary increase budgets of 3.6%.

“These findings suggest the tech sector is finding its equilibrium after years of rapid growth and adjustment,” said Hollingshead. “Organizations that succeed will be those that thoughtfully combine competitive compensation with meaningful benefits and flexible work arrangements.”

These themes will be explored further at Tech Talent North 2025 — Canada’s premier conference for People & Culture in tech — taking place October 29, 2025. The event will bring together senior People & Culture leaders to share insights, connect with peers, and lead through change. With AI and evolving skillsets reshaping the workplace, Tech Talent North is where strategy meets action.

About TAP Network’s Tech Sector Salary and Total Rewards Survey

The survey represents input from organizations across Canada’s technology ecosystem, including software, AI, clean tech, hardware, VFX, animation, video games, and interactive digital media. More info here.

About TAP Network

TAP Network (Tech + People Network) is a non-profit association for People and Culture professionals in Canada’s tech sector, providing members with access to tech sector data, industry experts, and an inclusive peer community to drive innovation, collaboration, and results. The association’s 1,000 members lead and influence People and Culture practices at 250 tech companies across numerous subsectors.

Contacts

Media Contact
Stephanie Hollingshead

Chief Executive Officer (CEO)

Tech+People (TAP) Network

[email protected]

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