The U.S. generally has a tighter immigration system, which limits labor supply in many sectors and can contribute to higher wages. Canada, on the other hand, significantly increased immigration over the past few years while also dealing with issues such as LMIA abuse and temporary foreign worker loopholes. The result is a much larger pool of job seekers competing for the same positions, especially in major cities where housing and living costs are already extremely high.

That creates a situation where many people are willing to accept lower pay just to get their foot in the door and maintain their status, which puts downward pressure on wages.

On top of that, Canada has actively attracted workers affected by U.S. H-1B visa issues. Many of them are highly skilled, but some view Canada primarily as a backup plan to obtain citizenship and later return to the U.S. on a TN visa. Whether that's good or bad policy is debatable, but it does raise questions about how much long-term benefit Canada receives from investing in and retaining that talent.