Canada’s Salaries Rise in 2025: Ontario Climbs but Isn’t the Top Earner

If you’ve noticed your paycheck has gotten a little heftier this year, you’re not alone. Recent findings reveal that Canadian salaries are on the rise in 2025, but the extent of these gains depends greatly on where you live and what industry you work in. A closer look at the numbers shows that while some regions and sectors are booming, others aren’t seeing the same lift.

Canada Sees a 4.4% Jump in Average Salaries

According to the latest data from Statistics Canada, the average wage for full-time employees has gone up by 4.4% compared to last year. This translates to an average weekly earning of $1,297.44—or roughly $67,466.88 a year before taxes. Much of this increase is credited to strong demand in sectors like healthcare, tech, and construction, as well as more hours worked per week.

But averages only tell part of the story. Paycheques vary dramatically across the country, and some provinces are outpacing the national trend—while others lag behind.

How Does Ontario Measure Up?

Ontario stands out for having higher-than-average wages. Workers in Canada’s most populous province are now earning an average of $1,329.64 per week, or about $69,141 annually. That puts Ontario’s salaries around $1,674 above the national average. However, this isn’t enough to claim the top spot.

 

When compared nationwide, Ontario ranks fifth—falling behind Alberta and the northern territories, where pay is notably higher. In those regions, remote locations, resource-driven economies, and critical sectors like mining and public administration drive up compensation.

2025 Salary Breakdown by Province and Territory

Here’s how weekly and yearly salaries stack up across Canada this year:

Province/Territory Avg. Weekly Earnings Avg. Annual Earnings
Nunavut $1,734.91 $90,215.32
Northwest Territories $1,733.99 $90,167.48
Yukon $1,484.53 $77,195.56
Alberta $1,362.04 $70,826.08
Ontario $1,329.64 $69,141.28
British Columbia $1,310.45 $68,143.40
Newfoundland & Labrador $1,279.31 $66,524.12
Saskatchewan $1,260.36 $65,538.72
Quebec $1,250.26 $65,013.52
New Brunswick $1,180.48 $61,384.96
Manitoba $1,162.42 $60,445.84
Nova Scotia $1,157.42 $60,186.84
Prince Edward Island $1,125.29 $58,515.08

 

Ontario’s above-average earnings place it near the top, but the northern territories—Nunavut, Northwest Territories, and Yukon—lead the pack, while Alberta also stays ahead. These regions often command higher pay due to challenging work environments and specialized industries.

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What’s Fueling the Uptick in Wages?

Several trends are pushing salaries upward in 2025:

Booming industries: Health care, construction, and technology sectors have seen the largest wage hikes.

Longer working hours: Many full-time workers are clocking in more hours, leading to fatter paycheques.

Labour shortages: Competition for talent, especially in specialized fields, is forcing employers to raise wages.

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In Ontario, salary growth has been especially strong in health services, finance, manufacturing, and information technology—industries that have grown significantly since the pandemic, driving up both demand and compensation.

Does a Higher Paycheck Mean Greater Affordability in Ontario?

Not always. While Ontario’s average salary beats the national average, the high cost of living—particularly in cities like Toronto and Ottawa—means more money earned doesn’t always translate to more money saved. For example, monthly rent for a one-bedroom apartment in Toronto now routinely tops $2,500, not counting other essential expenses. As a result, even higher wages may not stretch as far as expected.

Who Really Comes Out Ahead?

Northern territories such as Nunavut and Northwest Territories report the highest average salaries nationwide. However, these regions also face unique challenges, including remote locations, limited infrastructure, and higher costs for everyday goods. Here, bigger paycheques often reflect the realities of working and living in remote or harsh conditions.

By contrast, provinces like Prince Edward Island and Nova Scotia see lower average incomes, but may offer a more affordable lifestyle, especially outside urban areas.

Canada’s Rising Salaries: A Mixed Economic Picture

The increase in average earnings signals a healthy job market and continued economic recovery, with Ontario playing a key role as a leading economic engine. Still, persistent challenges remain. High living costs, especially in major urban centres, and wage disparities between sectors continue to shape the financial well-being of Canadian workers.

Ultimately, while more Canadians are bringing home larger paycheques in 2025, how far that money goes will continue to depend on location, industry, and the ever-changing cost of living.

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