Median Wage Increase

On April 2, 2024, the median wage rose to $27.47 in Quebec.

All provinces are affected by this increase simultaneously. To see all the changes in the other provinces, go to Hire a temporary foreign worker in a high-wage or low-wage position – Canada.ca

The median wage determines the line between the high-wage and low-wage components of the Temporary Foreign Worker Program (TFWP). The sudden rise in the median wage will have an impact on many companies currently recruiting internationally or about to apply for a Labour Market Impact Assessment (LMIA).

Many employers choose to offer high-paying jobs to their employees for a variety of reasons, the main one being the limit on hiring low-paid staff. When hiring low-wage employees through the Temporary Foreign Worker Program, the company is limited in the number of employees it can recruit. A calculation must be made to ensure that the percentage of low-wage foreign employees does not exceed 20% or 30% of the total number of employees in the workplace, depending on the sector of activity. To avoid limiting the number of employees recruited internationally, some companies recruit only high-paid employees.

It’s worth noting that offering high wages to foreign workers offers a multitude of benefits to both companies and employees. For companies, the better the salary conditions, the higher the retention rate, both for foreign and local employees. What’s more, when recruiting high-salaried foreign employees, the company is not obliged to pay for their airfares (round trip). For foreign employees, having a high salary inevitably means greater purchasing power and greater autonomy in Quebec (buying a car, furniture, etc.). Also, high-salaried employees have the possibility of being accompanied by their families (if they so wish) for the duration of their employment contract – an exceptional advantage, since many of them wish to improve their quality of life and that of their families.

The increase in the median wage took effect on April 2, 2024. As a result, since that date, applications submitted at $26.00 per hour (the median wage in Quebec before April 2, 2024) will be considered under the low-wage stream, and employers’ obligations towards their employees will be those associated with the low-wage stream. All applications submitted BEFORE April 2, 2024 with a salary of $26.00 per hour will be considered under the high-wage stream, with all the benefits of the high-wage stream.

Please note that in Quebec, salaries offered to foreign workers must always comply with the Guide des salaires par professions présentés par intervales selon les quartiles au Québec in the case of a non-unionized environment, or with the collective agreement in force in the case of a unionized environment, regardless of the position.

If you have any questions about the wages you pay your temporary foreign workers, or about how the rise in the median wage might affect your future international hires, please don’t hesitate to contact us. Our professionals will be happy to advise you on your unique situation.

For more details, please visit Établir le salaire du travailleur étranger temporaire avec le traitement simplifié | Gouvernement du Québec (quebec.ca)

Published April 5, 2024.