The federal minimum wage is going up in April. Here’s what you need to know
The federal minimum wage is set to increase next month.
Earlier this year, the federal government announced it would be bumping up minimum wages for its workers by 65 cents, or about $17.30 per hour, as of April 1.
The raise is part of a promise made by the Justin Trudeau government to increase the federal minimum wage annually to keep up with inflation.
Here’s what you need to know:
Who gets the raise?
The change impacts workers in federally-regulated industries such as international and interprovincial transportation, telecommunications, banking, as well as postal and courier services.
A full list of federally-regulated sectors can be found on the government’s website.
It also applies to interns and workers under the age of 18.
Why 65 cents?
The increase is based on Canada’s Consumer Price Index (CPI) for the previous calendar year.
The annual average CPI for 2023 is about 3.9 per cent.
How does this work with the provincial minimum wage?
This pay is specifically for workers in federally-regulated industries and has no bearing on the minimum wage set by each province and territory.
However, if a provincial government has a higher minimum wage, workers in that province would get that higher salary.
As of March 13, the only province set to increase their minimum wage higher than $1.30 is Yukon.
Will the minimum wage go up in Ontario?
Ontario’s minimum wage changes take place in the fall. In 2023, it was bumped to $16.55 an hour. At the time, this was a full dollar jump from the $15.50 workers were being paid in 2022.
The Doug Ford government has pledged to annual increases in October.
What are the minimum wages in Canada?
Alberta: $15
British Columbia: $16.75
Manitoba: $15.30
New Brunswick: $14.75, set to increase to $15.30 in April 2024
Newfoundland and Labrador: $15, set to increase to $15.60 in April 2024
Northwest Territories: $16.05
Nova Scotia: $15, set to increase to $15.20 in April 2024
Nunavut: $16
Ontario: $16.55
Prince Edward Island: $15, set to increase to $16 in April 2024
Quebec: $15.25
Saskatchewan: $14, set to increase to $15 in October 2024
Yukon: $16.77, set to increase to $17.59 in April 2024
Is the minimum wage enough?
According to a 2023 analysis by the Ontario Living Wage Network, a liveable wage in Ontario would be more than $25 an hour in the Greater Toronto Area.
This is calculated by factoring in costs like food, rent, transportation, clothing and footwear, medical expenses, childcare, internet and cell phone costs.
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