Median Wages in Canada (2022) – $45,380, down 1.6% from 2021 after adjusting for inflation

The Consumer Price Index rose 6.8% on an annual average basis in 2022, the largest increase in 40 years, taking an outsized bite out of real annual wages, salaries and commissions reported by tax filers in that year. In 2022, tax filers reported median wages of $45,380, down 1.6% from 2021 after adjusting for inflation.

This decline coincided with a recovery of employment in lower wage sectors in 2022, which followed periods of COVID-19 pandemic-related shutdowns in 2020 and 2021. For example, the arts, entertainment and recreation sector and the accommodation and food services sector accounted, respectively, for 1.6% and 7.1% of total employment in 2022, compared with 1.4% and 6.3% in 2021. Median annual wages within each of these sectors increased in 2022 (+13.8% in arts, entertainment and recreation; +11.9% in accommodation and food services) but remained the lowest of all sectors.

Tax filers working in sectors that were less affected by the pandemic saw decreases in their inflation-adjusted median annual wages in 2022, with the largest declines in educational services (-5.3%) and public administration (-5.2%). Those working in the transportation and warehousing (-3.2%), agriculture, forestry, fishing and hunting (-2.5%), utilities (-2.5%), construction (-2.2%), and health care and social assistance (-2.1%) sectors also saw declines in their inflation-adjusted median annual earnings.

In 2022, median annual wages decreased in most provinces and territories, after adjusting for inflation. The Northwest Territories had the largest decrease (-7.2%) among all provinces and territories, but maintained the highest annual median wage. This decrease was followed by Yukon (-4.1%), Alberta (-3.7%), Saskatchewan (-3.6%) and Manitoba (-3.4%). Increases were seen in Nunavut (+2.0%), Quebec (+1.1%) and New Brunswick (+0.9%).

Change in annual wages, salaries and commissions distribution of tax filers, 2021 to 2022

Chosen excerpts by Job Market Monitor. Read the whole story @  The Daily — Annual wages, salaries and commissions of T1 tax filers, 2022