Toronto Global

Analyzing Toronto’s Rank in CBRE’s 2023 Scoring Tech Talent Report

Sophia Chea — Wed, 26 Jul 2023 06:55:00 +0000

Every year, CBRE releases its highly anticipated Scoring Tech Talent Report, ranking the top 50 tech markets in North America based on a range of metrics, from tech talent availability to real estate costs. This comprehensive report provides insights into the tech scene across the continent, serving as a valuable resource for business leaders to make strategic decisions.

In this blog, we turn our spotlight to Toronto and dive deep into the city’s 2023 ranking. Toronto ranks fifth among the top 50 markets in North America, behind San Francisco Bay Area, Seattle, New York Metro, and Washington, D.C. This ranking underscores the city’s significance as a global tech hub. Despite dropping two spots from last year’s ranking, Toronto’s consistent standing among the top five markets highlights the city’s strength and resilience in attracting and retaining top tech talent.

A Large Talent Pool

Toronto boasts the third-largest tech talent pool in North America, ranking just behind the San Francisco Bay Area and New York Metro. The city has become a magnet for skilled, high-quality tech workers. Particularly, the occupation ‘Software Developers and Programmers’ experienced remarkable growth, rising by 58.3 percent from 2017 to 2022. This surge in talent showcases Toronto’s appeal as a tech hub, attracting developers and programmers from all over the world.

It is important to note that Toronto’s tech talent pool dipped slightly in 2022 to 285,700 tech workers, compared to 289,700 workers in 2021. The dip in employment is partially due to the economic uncertainty faced in 2022, coupled with tech layoffs and flexible work structures that allow tech professionals to work from anywhere. Although there was a decrease in tech employment in 2022, the city maintains its position as the third-largest tech workforce in North America. With Canada’s friendly immigration programs, Toronto’s tech workforce will continue to remain strong.

A notable characteristic to analyze within tech talent is the diverse, young population. Compared to other large tech markets* in North America, Toronto experienced a significant population growth in the 20s and 30s age groups between 2016 and 2021. Individuals in their 20s grew by 11.1 percent, while those in their 30s grew by 14.7 percent. This growth is among the highest across large tech markets*, serving as evidence of the city’s growing tech workforce and innovative potential.

As for diversity, Toronto’s tech smart workforce across all industries is made of 68 percent visible minorities, where Asians make up the majority. Women in tech amounted to 27 percent of the workforce, a steadily growing percentage.

*Large tech talent markets: >50,000 workforce

Strong Tech Talent Growth

Toronto experienced the second-largest tech growth in North America between 2017 and 2022, just behind San Francisco Bay Area. During this period, Toronto added 63,800 tech jobs, a growth of 29 percent over the last five years. In fact, Toronto was recognized as the fastest-growing tech talent market in last year’s edition, showcasing the city’s promise in the industry.

To sustain the city’s tech talent growth, Toronto is growing its tech talent pipeline. Toronto ranks in the top 10 among its U.S. counterparts for tech degree completions, which grew by 41.7 percent between 2017-2021 – a higher growth than the national average.

Tech Industry Dominance

Toronto’s tech talent is primarily concentrated in the tech industry itself, followed closely by the FIRE (Finance, Insurance, and Real Estate) industry. Around 43 percent of the tech talent in Toronto works within the tech industry, while 20 percent is employed within the FIRE industry. The concentrated workforce in the tech industry has fostered a robust innovation ecosystem, supporting Toronto’s rise as a global hub for AI.

Moreover, the large share of tech workers within the FIRE industry complements Toronto’s reputation as the nation’s leader in financial services innovation and a top destination for fintech investments. Toronto is the second-largest financial centre in North America, and the largest in Canada. All five of Canada’s largest banks are headquartered in Toronto, as well as many notable fintech companies such as Wealthsimple and Borrowell.

Tech ‘Jobs’ Market

Toronto has firmly established itself as a thriving tech job market. The city’s strong growth in tech talent, coupled with the presence of leading tech companies and a wide range of job opportunities, has created an ideal environment for tech professionals. Toronto was ranked as the top job market, creating 31,405 more tech jobs than graduates.

On top of supporting the growth in the city’s tech talent pipeline, Toronto-based companies hire large amounts of tech professionals. Recognizing the potential in Toronto, tech leaders such as Snowflake and Oxbotica have invested in the city’s tech ecosystem by establishing a presence here.

To complement Toronto’s tech ecosystem, the Government of Canada has launched a ‘Tech Talent Strategy’, introducing additional immigration programs to support Canada’s status as a leader in global tech talent recruitment and attraction. Among these programs includes a streamlined work permit for H1-B visa holders in the U.S. The program was so successful that it reached its target of 10,000 applicants within just two days – a testament to how attractive Toronto is for jobseekers.

Conclusion

CBRE’s 2023 Scoring Tech Talent Report highlights Toronto’s continued prominence as a leading tech market in North America. Despite dropping two ranks from the previous year’s report, Toronto has sustained its position as a global tech hub through its tech talent growth (second only to San Francisco Bay Area), its large and diverse tech talent pool, and thriving tech ecosystem. Looking forward, Toronto’s position as one of North America’s largest tech hub remains strong and continues to thrive.

Want to tap into the Toronto Region’s tech talent market? Let’s chat!

Talking About Equity, Diversity and Inclusion: Spotlight on Sophia Chea

Sophia Chea — Wed, 28 Dec 2022 00:44:00 +0000

Sophia Chea is an Analyst on Toronto Global’s small but mighty equity Business Insights team. Sophia works to generate the value proposition for the Toronto Region for international companies interested in expanding operations here. She works closely with each company and Toronto Global’s Investment Attraction team, creating customized business cases through data research and analysis.

“For example, if a business is looking to expand here and they want information on the ecosystem, I would be doing custom research to figure out the talent pipeline, average salaries, or any notable opportunities to leverage in the Toronto Region,” said Sophia.

Sophia’s research expands equity over many different industries and many different types of data, but very often companies are looking to get the inside scoop regarding talent. “I also conduct industry research to understand the strengths and weaknesses we have in the Toronto Region,” she said.

“You’re always learning something equity new in this role,” said Sophia. “I love the international aspect. I graduated from a Global Management program, so I learned a lot about the decision-making process for companies to operate in foreign countries and it’s great to be able to see it applied here.”

Equity, Diversity, Inclusion & Culture

“To me, EDI means the ability to work in an inclusive environment so that the colour of your skin, your age, your gender, or any other social identifiers else doesn’t stop you from achieving your goals,” said Sophia.

Sophia values diversity both personally and professionally, especially due to the international aspect of her field. “It brings a lot of different perspectives into a workplace, being able to work with people of diverse cultures, you get to learn about different ways of doing things. Not only does it bring innovation, but productivity as well,” said Sophia.

“For me as a visible minority, it brings me comfort to know that there are people of colour and women – people who are similar to me – working in the same space,” said Sophia.

Sophia’s experience living and studying in abroad has broadened her perspective and heightened her appreciation for diversity. “In undergrad, I lived in Korea for an exchange program and that’s when culture, diversity and inclusion stuck out to me,” she said. “Being in a new place and bringing so many cultures together through the program – not just Canadian students but German, French, Chinese, and so many more – is what drove my passion for this field of work.”

“That experience showed me that learning and understanding different cultures is actually one of the most important skills a person can have,” said Sophia.

Personal Perspectives

Sophia has been in her role for a year and half and has gone through the unique experience of starting work in a remote workplace and transitioning into a hybrid model – working in the office on select days during the week. Sophia found that a key factor in taking care of her mental wellbeing during this experience was to maintain a schedule that is applicable to work from both home and the office.

“I made it a point to distinguish my personal life from my work life,” said Sophia. The simple act of separating her workspace from personal space is very influential toward her mental wellbeing, whether working in the office or not.

Another important step in establishing mental wellness is physical activity. “After 5 p.m. every day I try to do some sort of workout to destress and unwind from the workday,” said Sophia. “It’s a good way to focus on just me.”

“My biggest takeaway from the pandemic overall is that it’s okay to take things slow and that hustle culture is glamourized,” said Sophia. “Before living abroad, I was so into hustle culture, I had to make sure everything I was doing was always productive and I became very anxious. It wasn’t until I lived abroad that I learned to take things slow.”

“When I came back to Canada it was kind of reverse culture shock, because things were all of a sudden happening so quickly again,” said Sophia. “When Covid-19 hit, it put things back into a slower pace for everyone and I’m starting to realize it’s better that way.”

Traditions and Fun Facts

Every year, Sophia looks forward to her family holiday party with relatives from both her mother and father’s sides. “My dad has like, 10 siblings, so it’s a huge get-together,” Sophia said. “My mom and dad’s families are very close, so we all get together at my house for karaoke and games, so a lot is happening in that space. It’s something we did every year growing up, so it’s very nostalgic,” said Sophia.

Sophia speaks two languages and is learning Korean. “I picked it up while I was in Korea and took a few equity classes at Seneca College when I came back,” said Sophia. Her mother tongue is Teochew, a Chinese dialect she learned from her family, and she learned English in school.

What’s Next?

Sophia looks forward to continuing her work toward equity achieving her goals and learning more about internationality while prioritizing her wellbeing. Her favourite mottos are tied between the following two:

“If you don’t go after what you want then you’ll never have it,” and “It’s always a no if you don’t ask.”