Survey Indicates Higher Salary Increase Budgets in Canada

September 7, 2010 ( – Preliminary results of Aon Canada's annual Pay Increase Survey show salary increase budgets will be approximately 3% of payroll in 2011.

The results indicate that organizations allocated a salary increase budget of 2.5% in 2010, and are holding salary structure increases steady at 2%.  

According to a press release, the survey also finds that organizations are slowing down on freezing salaries.  Among the 184 organizations surveyed to date, only one out of 25 participants expect to freeze salaries in 2011 – compared to one out of six respondents that implemented salary freezes in 2010 and one out of three in 2009.  

“While these are preliminary results, it nonetheless reflects an overriding upward momentum among Canadian organizations with respect to annual employee pay increases,” said Scott Bunker, national leader of the firm’s Human Capital practice, in the announcement.