April 2025 PEOPLE FIRSTA PORTRAIT OF CANADA’S NONPROFIT WORKFORCEData and Trends Report David Lasby |Principal Researcher People First : A Portrait of Canada’s Nonprofit Workforce © 2025 Imagine Canada Reviewers:Jodene Baker and Emily JensenISBN:978-1-55401-455-2 This report is licensed under a Creative Commons Attribution-Non-Commercial No Derivatives 4.0International License. For uses not covered by this licence, please contact us at info@imaginecanada.ca.All other rights reserved. Ce rapport est également disponible en français:L’humain derrière la mission : portrait de la main-d’œuvre du secteur à but non lucratif au CanadaISBN 978-1-55401-456-9 About Imagine Canada Imagine Canada is a national charitable organization whose cause is social good in Canada. We work tobolster the charities, nonprofits, and social entrepreneurs who build, enrich, and define our nation and thecommunities they support around the globe. Imagine Canada 2 St. Clair Avenue East, suite 300 Toronto, Ontario, Canada M4T 2T5T 416.597.2293 | imaginecanada.ca | Media inquiries: media@imaginecanada.ca Key Takeaways Recently updated data released by Statistics Canada provide key insightsinto the size and key characteristics of the nonprofit workforce and howit compares to the total Canadian workforce.¹ • Collectively nonprofits employ 2.5 million people, making the nonprofitsector the largest employer in Canada. Nonprofit employment is 70%larger than construction, 60% larger than manufacturing and 20%larger than retail trade, the three largest for-profit industries. • Two thirds of nonprofit employees work in the hospitals, universi-ties and colleges that make up the government nonprofit sub-sector.About a quarter work in community nonprofits and one in twelve inbusiness nonprofits. • Compared to other workers, nonprofit employees are more likely tobe women (70% vs. 48% of all employees), to have higher levels of for-mal education (48% have a university degree vs. 34% of all employees)and to be racialized (33% vs. 29%). Nonprofit employees are as likely asother workers to have previously immigrated to Canada (27% of bothgroups). • In spite of generally higher levels of formal education, nonprofit work-ers are paid significantly less than workers in the for-profit and govern-ment sectors. The average annual salary for a nonprofit worker is 13%lower than the average salary for all Canadian employees. The gap inaverage salaries is a whopping 31% for community nonprofit workers. • Most of the nonprofit salary gap is driven by paying women less. Theaverage salary for a woman working for a nonprofit is 18% lower thanthe average Canadian salary while the average salary for men is just3% less. About four fifths of the gap in average salaries for women isdue to lower hourly wages, as opposed to working fewer hours. • Average salaries for racialized nonprofit workers are about 12% lowerthan non-racialized nonprofit workers. While this gap is smaller than inother parts of the economy, it layers on top of the already significantstructural nonprofit salary gap. The net effect is that the average salary for racialized nonprofit employees is about a fifth less than that of thetypical Canadian worker. • While average salaries for nonprofit workers who were born abroadare about the same as the salaries of Canadian-born nonprofit work-ers, this is mainly driven by compensation patterns in governmentnonprofits. Average salaries for internationally-born workers in com-munity nonprofits are about 5% less and business nonprofits 3% lessthan salaries of Canadian-born nonprofit workers. Overall, these data clearly show that the nonprofit workforce has a sig-nificantly different composition than the overall Canadian workforce.They also reflect a sector grappling with a combination of structurallylower wages, amplified by significant internal compensation inequities.Changing this will require a combination of funding changes and leader-ship shifts, supporting decent work and broader adoption of anti-racism/anti-oppression practices. ⚠About this publication This report replaces a previous Imagine Canada report entitledDi-versity is Our Strength: Improving Working Conditions in CanadianNonprofits, which we have withdrawn from publication. While thisreport draws on the same underlying sources as the previous report,Statistics Canada recently made significant methodological changesto how they produce these data. In addition to producing updated date, this new methodology hasalso been to replace the historical data used to produce our previousreport. While most of the updated and revised data are fairly similar,there are significant material differences when looking at key dimen-sions such as immigration status and level of formal education. Given these shifts, we strongly encourage stakeholders to use thisreport instead of the previous one. Introduction To the extent the public thinks about nonprofits and how they carry outthe work they do,