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by akinalci 3347 days ago
Here's another source, Payscale.com:

Software engineer (Canada): $51,000 (C$70,000)

Software engineer (US): $80,825

The gap here is smaller ($30k vs. $50k) but still significant. And I'm not trying to be argumentative, but I'm more inclined to believe two surveys than a random person's claim.

[1] http://www.payscale.com/research/CA/Job=Software_Engineer/Sa... [2] http://www.payscale.com/research/US/Job=Software_Engineer/Sa...

3 comments

You can't expect salaries to move (quickly) with currency fluctuations though. A couple years ago the US and Canadian dollars were at parity, and those $70k and $80k salaries would have still been about the same. So not much of a gap at all, especially considering healthcare costs. Yes, at the current exchange rate, Canadian salaries are quite a bit lower when priced in USD. Most day to day expenses are proportionally lower too. (Although not all. Things like electronics tend to be tied to the US price somewhat, although not 100%. Housing is also inflated, especially in places like Vancouver and Toronto, but that's largely a separate issue. You'll notice that, for example, you can buy cars cheaper in Canada right now. (In fact, if you're in the US shopping for a reasonably high-end car, you can almost certainly save money by importing one from Canada.))

So yeah, a lower dollar is somewhat bad for employees who see some of their costs go up (in CAD) due to the exchange rate, as well as those who are planning to spend their earnings in other countries. It's also bad for companies that need to import goods. Of course it's good for companies that export goods, especially those with costs (like employee salaries!) paid in CAD. If the dollar stays low (in a relative sense) for long enough, these things tend to be pulled back into equilibrium, but they never move as fast as currencies can fluctuate.

5 years ago when exchange rates were at parity, salaries were lower than they are now. You can't just take the present day $80k cad figure.
Marginally lower; certainly not proportionally to the difference in exchange rates. Also note the CAD figure was $70k.

I haven't researched the historical averages and correlated them with exchange rates, but I have been employing software developers in Canada for around 8 years now and so have kept current on market rates. In my experience, currency fluctuations, even on the order of 25-30%, have very little impact on market salaries.

"The gap here is smaller ($30k vs. $50k) but still significant."

Healthcare, stability and democracy (sans land/house prices) make up a lot for this.

>Healthcare, stability and democracy

Healthcare: We're talking about tech jobs. The healthcare coverage you will get from any tech company paying 6 figures is going to be essentially zero cost full coverage.

Stability: I have no idea what you are even talking about here, but it would be pretty hard to refer to the US as unstable from the perspective of someone working in a tech job. I suspect you pay too much attention to click-bait news and not enough talking to people that live here?

Democracy: again, what is this even referring to? The fact that the US is a republic? That's a pretty weak argument when comparing to a monarchy.

>> Healthcare: We're talking about tech jobs. The healthcare coverage you will get from any tech company paying 6 figures is going to be essentially zero cost full coverage.

This is not always the case, especially for small startups. I know engineers who make 6 figures in small startups and pay $1K a month for Health insurance for family of 2 young people.

>> Stability.

I think what OP refers to is stability of financial markets. Canada does not have major financial crisis every decade or so, that wipes out half of your 401K and real estate value.

>> Democracy: again, what is this even referring to? The fact that the US is a republic? That's a pretty weak argument when comparing to a monarchy.

Canada is not monarchy, it is "Federal parliamentary representative democracy under a constitutional monarchy", so essentially Canada has parliamentary form of government. Also per my understanding they do not have electoral college. US has wired and extremely complex election system. In last elections Democratic candidate received 3M more votes, yet she lost election and Republicans control both House and Senate. Similarly Al Gore lost elections to Bush.

Same thing can happen in a Canadian election: win without popular vote.
The healthcare coverage you will get from any tech company paying 6 figures is going to be essentially zero cost full coverage.

That's not been my experience. Microsoft used to offer a 100% plan, but that was unusual, and they dropped it a few years back. (Don't remember exactly when; I'd already left.) Google did not have a 100% plan, and no startup I've worked for has done better - in fact the startup I'm working for right now has no health plan at all.

Huh? I've never had a to pay a dollar in healthcare premiums at any employer. Granted, I've never worked for a tiny, tiny startup but even among white collar employers tech companies generally have top-notch health insurance.
I'm not talking about monthly premiums, I'm talking about what it costs when you actually need health care. How much is the deductible, what is the coinsurance rate, how steep are the co-pays, how weirdly restricted are the options for doctors, etc.? "Zero cost full coverage" sounds like the old Microsoft plan, where everything was paid for all the time. That defines "top notch" for me, and most health insurance plans I've experienced are nowhere close to being that good.
I think you're exaggerating the actual cost. I really don't think Google has a deductible plan, and I'd be surprised if the copays are more than $10 or $20. And remember, we're comparing this to Canada where you still have to pay for prescriptions (or at least a co-pay depending on your situation). Very, very few countries in the world actually cover 100% of healthcare costs.

All in all I don't really think it's a useful point of comparison when considering compensation between the two countries.

I think the democracy one might have been a shot at Trump and the broken process that allowed for his election.

US politics are pretty terrible.

cough Trump cough
I don't see people flocking even after Trump won.
Why would you see them? Every move is different, and every person has their own motives. Often there are several. I'm not crazy about the direction the US is going, but regardless of the president I really like getting a month a year off.
>Why would you see them?

If any relevant number of people left you would know someone anecdotally at a minimum or be impacted in your tech company.

If this is anything like Brexit affecting London, I don't see lots of people leaving, I don't even notice any difference in my workplace, but I know someone living the UK every month to the point we're not even one year since the referendum and half my friends already left, one by one.

So, point is, you might not see a sudden movement but it might still be there.

Canada is a large country. $51k in Winnipeg might be a really nice salary. In the greater Toronto area that would be low.
United States is a large country. $51k or $80k would be a nice salary in Arkansas. In the Bay Area it's low. What's your point?
The point is when people start talking about average salary.
large by land area. small by population. Who is hiring software developers in Winnipeg?