What’s an engineer worth today? 2004 OSPE Ontario Engineers’ Salaries: Survey of Employers

A total of 147 organizations across all major industry groups in both private and public sectors provided pay data covering 11,626 engineering positions. The aggregate data is presented in the reports published by OSPE.

The following is a snapshot of year-over-year pay data as of June 2004:

• Engineers’ average take home pay package is worth $84,384
• Median base salary increased 3.6% to $80,000
• 63% of respondents reported additional cash bonus payments
• Median salaries for consulting engineers increased 3.8% to $78,200
• Manufacturing employs 37% of all engineers in Ontario
• Entry level salaries declined slightly in 2004
  

“From 2003 to 2004, the consumer price index (CPI) for Ontario increased 2.4%. The 3.6% increase for median base salary for engineers during that period shows positive growth in engineers’ pay,” said Daniel J. Young, M.Eng., P.Eng., Chair of the Salary Survey Advisory Committee and Past Chair of OSPE.

The survey also revealed that variable pay, including performance-related cash bonuses or profit-sharing, is now almost standard with most companies. A full 63% of organizations reported paying some form of additional cash to 43% of all engineers reported on the survey. The average additional cash payout served to increase the aggregate average salary (all respondents) by $3,499, boosting the average annual take home pay package to $84,384.

“Bonus-related payments vary by industry sector and level of responsibility,” Mr. Young noted. “For this reason we recommend that engineers take advantage of our valuable reports to find out which industry sectors reward their engineers and by how much.”

Entry level salaries for 2004 graduates declined slightly to a median of $46,000 from $49,500 in 2003. This is likely due to a very tight job market for new grads.

Engineers interested in comparing their pay with industry norms, particularly in preparation for salary negotiations, should take advantage of these survey reports. Employers can use the valuable reports as tools in benchmarking and setting compensation for engineers.

A number of reports based on this year’s survey results are now available including:

• Detailed Survey Report (paper or disk versions)
• Additional Cash/Total Cash Payments Report
• Sub-Industry Reports: Electrical/Electronics Products-Manufacturing, Petrochemical/Chemical Products-Manufacturing, Primary Metals/Metal Fabrication-Manufacturing, Technical Services, Consulting/Construction-Services
• Customized Reports (upon request)

Find out more and order your copy of the 2004 OSPE Ontario Engineers’ Salaries: Survey of Employers now!