Salary Projections Lowered


    Against a backdrop of falling oil prices and regional economic uncertainty, many Canadian organizations have lowered their projections for 2015 salary increases, says the Conference Board of Canada’s ‘Mid-Year Pulse Check’ of its annual compensation planning outlook survey. The average base salary increases for non-unionized workers is now expected to be 2.7 per cent, down from the projected 2.9 per cent in the summer of 2014. “Many organizations are waiting to see how the economy fares before finalizing plans. It is likely that we will see further reductions in salary increases, including pay freezes, from organizations in Alberta and Saskatchewan. Energy companies are scaling back on their capital investments and this is affecting contingent workforce needs and pay decisions,” says Ian Cullwick, vice-president, leadership and human resources research. “The next few months will be challenging for employers as they balance the need to retain top talent with affordability.”