It pays to work in the oil patch. A recent study by Mercer said the energy sector will continue to boost salary increases in Alberta and across the country in 2015. It said new survey results show the average raise in base pay in Canada is expected to be 3.0 per cent in 2015 – the same as the actual increase in 2014.
In Alberta, the raise in base pay is expected to be 3.2 per cent in 2015, slightly lower than the 3.3 per cent reported in 2014. Salary increases in the energy sector are significantly higher than other industries at 3.9 per cent in 2014 and projected to be 3.7 per cent in 2015, said the report.
The energy sector, oil and gas, has typically been around one per cent higher than the national average. It’s primarily driven because of the oil and gas numbers and the energy sector employers that typically have bigger budgets. This could be because they’re trying to compete with each other for key talent or perhaps the cost of living in Alberta may be high.
Mercer’s 2014/2015 Canada Compensation Planning Survey, which has been conducted annually for more than 20 years, included responses from almost 700 organizations across Canada and reflects pay practices for approximately two million non-union employees. The survey results are captured for five categories of employees: executive, management, professional (sales and non-sales), office/clerical/technician, and trades/production/service.
After Alberta, the projected average salary increase was second highest in Saskatchewan at 3.1 per cent for 2015. Recently, Statistics Canada reported that Alberta continues to have the highest average weekly earnings of non-farm payroll employees among all the provinces. It said that Alberta’s average was $1,150.61 in May, up 0.6 per cent from April and a hike of 3.1 per cent from May 2013. Nationally, average weekly earnings were $936.64 in May. They were up 0.6 per cent month-over-month and increased by 2.6 per cent year-over-year.
The mining, quarrying, and oil and gas extraction sector had the highest average weekly earnings at $2,093.70, up by 15.5 per cent from May 2013, which was the highest year-over-year growth rate among all the employment sectors.
Source: Calgary Herald