Canadian province increases minimum wage

Canadian province increases minimum wage

British Columbia will make salaries higher as of June 1.

At the beginning of summer, one of Canada's most beautiful provinces will raise the minimum wage by CAD 1.1. Sure, it may not seem like much, but the government is doing its best to ensure that the inflation rate does not exceed the percentage of the wage increase.

In Victoria, the capital of British Columbia, Minister of Labour Harry Baines gave a public speech. The official noted that the measure is created mainly for people who had to deal with coronavirus not at home, but in the workplace: store or pharmacy clerks, catering staff.

For example, wage increases for workers amounted to nearly 7%, while civil servants settled for only a 6.75% increase. Authorities say that more than 150,000 employees will be able to receive higher salaries than before. Some experts support the government measure. They think fair compensation reduces inequality and creates a more inclusive society.

Some critics, however, have greeted the proposal with skepticism. Fighting inflation seems a noble endeavor, but the living wage is still CAD 7 less than what is required for basic needs. In Victoria, for example, workers earn from CAD 24 an hour, almost three times higher than the entire province.

Provincial manager of Living Wage for Families B.C. Anastasia French is demanding that the government balance wages so that people don't have to work two jobs to buy groceries and pay their electricity bills.

Other critics, on the contrary, complain that the government raised salaries too sharply, without even consulting business representatives. In their view, this could lead to unaffordable costs for businesses.

However, Secretary Bains made a huge statement about the main problems of employers: difficulties in attracting and retaining employees. And it is the increase in wages that will motivate an employee to stay in the chosen job.

Many people on low wages spoke positively about the initiative. Marissa Iacobucci, a store worker, notes that for years she and her friends had to work for minimum wage, and now those amounts are increasing at least slightly.

B.C.'s rather low minimum wage has risen to one of the highest in the country in a short period. In 2015, wages started at CAD 10.45, and then leaped – the numbers increased by more than 50% in 5 years.

If you have chosen British Columbia as a province to move to but need professional advice, our immigration consultants are happy to help you.

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