Ontario Partners With Cisco Canada to Help Create Up to 1,700 New Jobs

Ontario Partners With Cisco Canada to Help Create Up to 1,700 New Jobs
Posted on December 13, 2013 | Bob Chiarelli | Written on December 13, 2013
Letter type:

Dear Ontarians,

Ontario has announced a major new partnership with Cisco Canada that will help the company create up to 1,700 jobs in Ottawa and Toronto over the next six years. Cisco’s Ottawa Development Centre will be front-and-centre as a result of the agreement, which is the largest job-creating investment ever in the history of the province’s tech sector.

Cisco is investing up to $4 billion in Ontario over the next decade, including up to $2.2 billion in salaries alone. The Ontario government is providing a total grant of up to $220 million to support Cisco’s investment and help the company grow to 5,000 jobs in the next 10 years. As a result, Ontario will become one of the network equipment maker’s global R&D hubs for its next generation technologies.

The Ottawa region’s concentration of technology talent was a major attraction for Cisco, combined with Ontario’s research infrastructure and competitive business climate.

Premier Kathleen Wynne announced the investment from Cisco’s Canadian headquarters in Toronto today with me, Ottawa West-Nepean MPP Bob Chiarelli, videoconferencing in from Cisco’s Ottawa Development Centre in Kanata.

Partnering with business to create jobs is part of the government’s economic plan to invest in people, build modern infrastructure and support a dynamic and innovative business climate across Ontario.


  • The majority of Cisco’s new hires will be in research and development, with a focus on recent graduates and mentoring the next generation of talent in Ontario.
  • In 2011, Ontario announced $25 million in support of a technology innovation project with Cisco valued at $455 million. The investment resulted in 300 new R&D positions in Ottawa and Toronto, and the project’s success laid the groundwork for the much larger investment announced today.
  • Ontario has been consistently proactive in attracting technology investment to the Ottawa region with recent projects including Group IV Semiconductor, SiGe Semiconductor, Huawei, Avaya, Ciena and Ericsson.
  • Ontario’s Information and Communications Technology industry directly employs about 250,000 people, representing almost half of the sector employment in Canada.
  • Ontario ranks third in North America after California and Texas for the number of Information Communications and Technology companies.

About The Author

Bob Chiarelli's picture

A well known figure in Ottawa, Bob Chiarelli is the former Mayor of Ottawa and Chair of the Regional Municipality of Ottawa-Carleton. He was elected to the Legislative Assembly of Ontario in 2010 in a byelection in... More


Ron Benn

At >$115K per job, this is another waste of taxpayer money, albeit less so in size than the fiascos that are Ornge, eHealth, the gas plant cancellations, ...

If the new Cisco employee earns $100K/yr, their income tax load will be ~$40K, 1/3 of which goes to Ontario =~ $13.3K. Add in the $900/yr health tax, and another $800 for sales taxes and Ontario can expect ~$15K/year per employee. After adding $3K/year on the $115K debt (Ontario is operating a major deficit), the payback period is almost 8 years. Of course, if we have another tech bubble (economic cycles being what they are), the payback period will be extended.

In an effort to present a balanced view, for those who are worried that Cisco will meet its quota by poaching employees from existing jobs, the former employer will likely replace that position, so it will be a net add to the provincial employment scene.