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Canadian tech job postings fall 19% as AI reshapes hiring

Sat, 30th Aug 2025

Canadian technology job postings have declined substantially since the post-pandemic boom, with artificial intelligence potentially contributing to the sector's sluggish recovery.

Data from job search platform Indeed indicates that Canadian tech job postings, as of early August 2025, have dropped 19% compared to their early-2020 levels. This decrease follows a surge in hiring that peaked in early 2022, when tech postings more than doubled their pre-pandemic volume. The subsequent downturn has mirrored broader hiring trends but has hit the technology sector more acutely than the overall jobs market.

Comparative declines

The reduction in tech job postings has not been unique to Canada, although the decline has been less severe than in several other advanced economies. The United States, United Kingdom, France, and Germany have each experienced larger contractions, with tech postings down 34%, 41%, 38%, and 29% respectively from their early 2020 benchmarks. In contrast, countries like Australia, Spain, and Singapore have maintained higher tech posting volumes, yet each has also witnessed a cooling from its post-pandemic peak.

Explaining the trend is complex. Indeed's analysis suggests that, while artificial intelligence may have contributed to the protracted weakness in job postings, macroeconomic and cyclical factors remain central. Roughly half of Canada's net decline in tech postings occurred before the public release of ChatGPT in late 2022, and both tech and broader job postings have moved in parallel since the middle of 2023.

AI's impact on hiring

"The timing of Canada's plunge mainly correlates with a hangover from the earlier tech boom, rather than the impacts of artificial intelligence (AI). Roughly half of the net decline in tech postings from their peak occurred before ChatGPT became public, and tech postings have evolved similarly to the rest of the economy since mid-2023. However, AI could be a factor in why tech postings haven't rebounded from their low levels."

Tech jobs directly related to artificial intelligence, such as machine learning engineers and roles supporting AI infrastructure such as data engineers and data centre technicians, have fared better than other positions. These occupations are among the few tech titles with posting levels above those seen in early 2020.

The demand profile has shifted most dramatically for early-career roles. Postings for standard and junior tech positions have dropped by 25% compared to pre-pandemic levels, while senior and manager-level roles, despite declines from their 2022 peak, were still up 5% as of early 2025.

Demand by job title

While many of the largest tech roles, including software engineers, have seen notable drops - a 51% decline for software engineer postings - others remain robust. In particular, machine learning engineer postings have fallen from their peak but are still up 38% from early 2020. Postings for AI developers and architects have more than doubled, indicative of growing demand for specialised AI talent. These roles are also among the highest paying, with median annual salaries for machine learning engineers reaching CAD $213,000 in 2024.

Other infrastructure roles, such as data and platform engineers and data centre technicians, have also seen sustained demand. Conversely, positions in the mid-range of the tech wage spectrum, such as web, .NET, and front-end developers, recorded steeper declines, similar to trends observed in other countries.

Seniority and opportunity

The evolving landscape has led to a divergence in hiring between senior and junior tech professionals. Postings for senior-level roles - defined by titles containing terms like "senior", "lead", "principal", or managerial positions - have held up better than standard positions. In February 2025, postings for senior or managerial tech titles were 5% higher than five years prior, compared to a 25% dip for standard or junior roles.

This disparity stems in part from the earlier boom: senior-level roles grew more rapidly through 2022, and that gap has persisted even as both categories have declined since. The ongoing advantage for seasoned professionals is reflected in opportunities available for experienced tech workers, while the prospects for early-career professionals remain constrained.

Employment levels steady

Despite the fall in hiring intentions, total employment within Canadian professional tech and mathematics occupations has plateaued at relatively high levels. Statistics Canada's Labour Force Survey indicates that while job totals have been flat since mid-2022, overall employment in these areas remains up 35% from 2019 - significantly above the 10% growth rate across the broader economy for the same period. Payroll survey data shows a similar trend, highlighting strong gains achieved in the immediate post-pandemic years.

This backdrop has resulted in diverging experiences for existing tech workers and those seeking new opportunities. While current tech employment is solid and wages remain high, competition for job changes and entry-level roles has intensified substantially.

"Relatively steady employment in professional tech and mathematics employment amid the plunge in job postings highlights the diverging conditions facing tech job seekers and tech workers. The share of the Canadian workforce employed in these roles is elevated, while pay remains solid. However, the situation is bleaker for those looking to enter the field, and opportunities for tech workers to change jobs have shrunk, which, along with senior-level postings holding up better, has hit the prospects of early-career professionals."

The outlook for Canadian tech hiring depends on whether the forces driving the current downturn - in particular, the cyclical correction after the post-pandemic boom, and the ongoing drag from AI-related automation - persist or abate in the months ahead.

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