Crofoot pointed to law as part of the explanation. “In terms of statutory compensation elements, Canada is much stronger across the board on other medical, retirement, leave pay,” she said. “So Canada sort of ticks the box on all of that, whereas the US has a lot more to make up because we don’t have all of that.”
Canada wins one category: career development in the digital sector, mentioned in 20.2 per cent of Canadian postings against 17.4 per cent of US postings. “Canadian employers are getting the message that they need to invest in their employees in this regard,” Crofoot said.
Follow the 2027 money
Neither market is planning broad raises, extending a pattern of flat pay increases through 2026. In the US professional sector, Randstad’s data shows merit budgets concentrating on financial planning and analysis (FP&A) and high-impact revenue roles at 3.8 per cent to 4.6 per cent, while corporate sales and administrative staff get 1.2 per cent to 2.6 per cent, topped up by variable commissions. In Canada, skilled trades base adjustments range from 2.9 per cent to 3.9 per cent, and shortages of Red Seal tradespeople, certified under Canada’s interprovincial trades standard, push employers toward custom craft rates and shift differentials [name Randstad report, date and link].
Marie-Noëlle Morency, head of brand, content and communications at Randstad North America [add location], said employers now aim money at scarcity, including artificial intelligence (AI) and tech skills. “They may not want to spread raises evenly, but targeting money at some employees with niche skills, for example, in AI and tech, in healthcare and skilled trades, where we actually see skill shortages,” she said.
Pay transparency adds a new line item
Since Jan. 1, 2026, Ontario has required employers with 25 or more employees to publish expected pay, or a range no wider than $50,000, in public job postings, with exemptions for higher-paid roles, and to disclose whether they use AI to screen, assess or select applicants. Randstad’s outlook estimates that emerging provincial pay transparency rules push Canadian organizations to set aside 2.0 per cent to 2.6 per cent of payroll to fix wage compression, meaning newer hires earning close to or more than longer-serving staff, before they post ranges publicly.
Crofoot advised triage over blanket correction. “It’s being really pragmatic about it, identifying again, critical roles, critical geographies, even down to critical stores,” she said.
The playbook splits at the border. Canadian employers need to budget for compression audits ahead of posting salary ranges under new provincial rules and keep funding the digital career development that already sets them apart. US postings carry more of the benefits pitch because Canadian law already covers more of the basics, according to Crofoot.
Jeff Johnson, head of marketing at Randstad North America [add location], summed up the shift for both markets. “Maybe across-the-board raises aren’t the way to go,” he said. “Maybe it’s setting aside discretionary funds for critical skill shortages.”