Think Vancouver’s aggressive move to bring tech jobs is going to fix the housing problem? Think again. US commercial real estate mega firm CBRE prepared a report ranking the 50 best tech hubs for their clients. Vancouver topped the list for employers because of the high quality employees, and low pay. In fact, the pay was the cheapest of any of the North American tech hubs, so we wanted to see what kind of real estate these employees are looking at.
Despite having some of North America’s most talented tech employees, the pay sucks in Vancouver. CBRE’s analysis concluded the average employee made CA$57,104 (US$45,501), the lowest of all the 50 North American tech hubs. Despite the fact that education and years of experience placed these employees in the top 10. This works out to an estimated CA$44,274 of net income at 2017’s tax rate. Let’s see what this employee’s real estate life will be like. ...
...Vancouver ranked sixteenth on the list for North American tech hubs. The labour pool has an estimated 65,100 people, making it the 19th largest on the list. Annual gross rent for office space came in US$30.31/sqft, making it more expensive than Toronto. The annual tech employee wage was only US$45,501 per person, making it the worst paying city on the whole list. The low, low wages of their incredibly talented worker pool still makes it one of the most attractive markets.
Sure it’s a great deal for companies moving here, but not so great for people that live in Canada. Canada’s most expensive tech hub average, is 36% cheaper than the lowest quality tech employees in the US. It’s no surprise that Canadian cities remain amongst the top ranking for companies, because it appears they are taking the cost of their real estate out of their employee wages. Ouch.