Tech salaries and pay rates in Canada rose across the board by 7% last year, according to the “2023 Canadian IT Hiring and Trends & Salary Guide” released by S.i. Systems ULC, an IT staffing firm and the fifth-largest staffing provider in Canada.

A variety of factors fueled the increase, including Canada’s aging population, the borderless nature of remote/hybrid work and increased demand for IT skills that support or drive digital transformation. In particular, software development saw a record 13% year-over-year rate increase.

“The high remote-ability of software development roles means this talent has no geographic boundaries,” said Jeff Cartwright, chief revenue officer at S.i. Systems. “US-based companies that need to execute on their digital transformation initiatives are increasingly looking north for candidates.”

Also, the report found that demand for cybersecurity and data and analytics skills among Canadian employers is increasing significantly.

In January 2022, S.i. Systems acquired Eagle Professional Resources, which also ranked among Canada’s largest staffing firms.