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Employment
Toronto skyline + NYC + San Francisco + Calgary Saddledome Sean Pavone + Sergii Figurnyi + Sharan Prasad Anumolu + Sergii Figurnyi | Shutterstock

Toronto just beat New York in a major North American tech ranking — and CBRE report shows that Canada is where the best value is. But there's a catch

If you work in Canadian tech, or you’re weighing whether to break into the field, here’s a fact worth noting: San Francisco isn’t the market to beat anymore.

According to CBRE’s newest Scoring Tech Talent report, Seattle now outranks the Bay Area for tech talent growth, and Toronto isn’t far behind — sitting third among the 75 North American markets CBRE studied.

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That’s a big deal for Canadians, because the report also found that the ranks of workers with artificial intelligence (AI) skills across Canada and the U.S. grew by 45%, with AI-related roles now touching nearly a third of U.S. tech-talent job listings. And in Canada, that growth isn’t spread evenly: 60% of the country’s AI jobs are concentrated in just three cities — Toronto, Montreal and Vancouver.

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For Canadians, the obvious takeaway might be “get an AI job in Toronto.” But the numbers show that decision is more nuanced, since pay, competition and cost of living all shift depending on which market you’re looking at. Now the real question is: What city will help me crack that IC (individual contributor) ceiling — the indivisible barrier where hands-on technologists (like software engineers or designers) stop advancing in pay and influence unless they abandon coding/building and transition into people management.

What’s actually happening in Canada’s tech job market

Overall tech-talent employment in Canada grew 7.6% in 2025 according to CBRE, and much of that came from AI-related hiring. Across the U.S. and Canada combined, there were 751,000 AI-related workers as of mid-2026, a year-over-year increase of 45%. The top two fastest-growing AI roles were data scientist, which added 29,000 jobs, and computer and information systems manager, which added 24,600.

CBRE’s Colin Yasukochi, executive director of the firm’s Tech Insights Center, said growth of AI jobs “far outpaced the broader tech-talent category,” which expanded by less than 2% even as employers cut some non-AI tech positions.

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Why ‘any tech job’ isn’t the safe bet it used to be

This AI shift matters because it changes who benefits. A tech job alone no longer guarantees the biggest pay gains — those are flowing disproportionately to AI-adjacent roles.

CBRE Group President John Morris has said some jobs will still be phased out as AI takes on routine tasks, even as the overall job count holds up.

For workers, that means the safer long-term bet is aligning skills with AI-specific demand, rather than banking on staying professionally relevant in the tech field at large.

Where the jobs — and the leverage — really are

In CBRE’s overall rankings, Toronto placed third, Vancouver ninth, Waterloo Region tenth, Montreal 11th, Ottawa 14th and Calgary 15th, with Quebec City and Edmonton also making the top 50.

Among the reasons why Toronto and Calgary stood out was that both cities added more tech jobs than they produced tech graduates between 2022 and 2024 — Toronto by 50,636 positions and Calgary by 25,240. When employers hire faster than local schools can supply talent, it typically strengthens workers’ hand in salary negotiations.

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What it costs employers — and what that means for your paycheque

Tech salaries run about 15% above the broader U.S. average, but Canadian markets remain the cheapest place on the continent to employ that talent.

Quebec City had the lowest total cost for a 500-person tech company — which combined annual wages and office space — at US$36.1 million (~C$50.1 million), while Toronto was the priciest Canadian market at just over US$42 million (~C$58.4 million), which is still well below the San Francisco Bay Area’s roughly US$90.6 million (~C$125.7 million).

But that cost gap cuts both ways. Toronto tech workers tend to earn more than their counterparts in smaller Canadian hubs — but they also pay more to live there. In cities like Quebec City or Waterloo Region, a smaller paycheque can actually stretch further, since rent and everyday costs are lower. So a bigger salary in Toronto doesn’t necessarily mean more money in your pocket at the end of the month.

And that gap may only grow. CBRE Canada Research managing director Marc Meehan said Toronto is “putting more distance between itself and the rest of the markets” — meaning the city isn’t just ahead of other Canadian tech hubs; it’s pulling further away from them. If that trend continues, the tradeoff between chasing higher pay in Toronto versus a lower cost of living elsewhere could become even more pronounced.

What should Canadian tech workers do next?

For Canadians currently in the tech field, or students looking for the next possibility in this area, here are four steps to consider:

  • Compare your role against the fastest-growing AI job titles, such as data scientist and information systems manager, since these captured the bulk of new hiring.
  • If you’re job hunting, weigh markets with a talent gap, not just headline salary — Toronto and Calgary’s graduate shortfall points to more hiring leverage.
  • Run the math on take-home pay after local rent and living costs, not just posted salary, before comparing offers between cities.
  • Don’t treat ‘tech’ as a synonym for job security — ask whether a role sits on the AI-skills side of the growth curve or the side more exposed to automation.

The bottom line for Canadian workers isn’t whether AI is reshaping tech jobs — it already is; the more useful question is where a specific role and city land on that curve, and what’s left of the paycheque once rent and living costs are subtracted.

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David Saric Associate editor

Writer and editor based in Toronto with experience in personal finance, insurance, arts and culture and branded content.

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