Minimum wage increase in 5 provinces

New baselines range from $10.50 to $11.20 per hour

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Minimum wage earners in all three Prairie provinces as well as in Ontario and Newfoundland are getting a pay hike.

Starting Thursday, Alberta, Saskatchewan and Manitoba are raising the minimum wage employers must pay their workers.

The new minimum wage in Alberta will be $11.20 per hour, up from $10.20, while the liquor server wage goes to $10.70 per hour from $9.20.

The NDP government says it’s a first step toward a $15 minimum wage by 2018.

In Saskatchewan, minimum wage is going up by 30 cents to $10.50 an hour.

Manitoba is also increasing its minimum wage by 30 cents to $11 an hour.

Alberta Wildrose jobs critic Grant Hunter criticized the wage hike, saying it will hurt business owners at a time when the economy is not doing well.

“Wildrose has repeatedly asked the government to consider who they are really going to affect with this hike. We are concerned about those it is intended to help the most: Alberta’s youth, non-profits and our province’s most vulnerable,” Hunter said in a news release.

The Alberta Federation of Labour praised the hike, saying it’s long overdue.

“This increase to the minimum wage won’t make the sky fall. It won’t cause businesses to grind to a halt. What it will do is just one thing: it will make life better for Alberta’s lowest-paid workers,” said Siobhan Vipond, the federation’s acting treasurer.

6 comments on “Minimum wage increase in 5 provinces

  1. I work for minimum wage at $11.00 an hour at a steakhouse here in Toronto. I work 6 says a week, 50 hours a week, 9 hours a day. I do get paid 6 hours a week overtime and since nobody gets to keep tips, their policies are that we all get $60 a week net after taxes weekly bonus pay.

    So at the end of the day, I am getting $520 a week net pay which includes our weekly vacation pay paid. This 25 cents an hour will mean about 1 weeks more pay. I have been working here since 2010 as my cousin got me this job when I was making $375 a week at 20 years old.

    Now these past 5 years, I am very careful with my money and have been able to save and accumulate about $50,000. RRSP’s and TFSA’s are very useful for prudent, responsible, financially people. It was easier than I thought it would be because about $6,500 was RRSP income tax refunds and about another $3,500 was interest of the $50,000 saved in 5 years. So really, I saved out of pocket, $40,000 not $50,000 or about $8,000 a year on average.

    So really,

    I currently pay rent, $900 a month but it was $750 5 years ago. I don’t own a car, I don’t need one, and I think too many people buy stuff and things they don’t really need. I have gone on vacation 1 week at a time 2 times in 5 years and have computers, T.V.’s, internet, cell phone, nice clothes etc., have a few friends we go out too, so I am not living in a cave or being a hermit that some might think.

    The best solution n my opinion for minimum wage and people’s paychecks in general is have it indexed to annual inflation like C.P.P, OAS etc.

    Reply

  2. Some Corrections to my last post, I work 9 days a week Monday to Friday but only 5 hours on Saturday. The best solution in my opinion is too annually increase by indexing it to inflation for minimum wage and others paychecks like they do with C.P.P, OAS etc.

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  3. Sorry, correction again, it is 9 hours a day that I work Monday to Friday but only 5 hours on Saturday. This is how I work 50 hours a week. We all make mistakes when typing and with our thoughts!

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  4. Jackie Doucette, I read about other topics here in MoneySense and there was something about 3.4% or 3.5% compound interest government bonds. If this is the case, your $50,000 would be worth about $213,000 by retirement and make you $163,000 in interest. This is about 262 weeks of working at your job or a little over 5 years.

    This is just something to consider as you are saving on a regular basis and will have other money put aside over the years. I personally bought these 4 years back when they were in the 4.25% to 4.5% range.

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  5. Hey Chris D., that is a neat perspective about how compound interest is equivalent to working weeks or years . I currently work full time but do much better than minimum wage, I make $17.50 an hour as a specialized cook here in a Hotel making $43,000 a year working 45 hours a week, Monday to Saturday.

    My income was $31,000 a year or $12.75 an hour 14 years ago when I started. For the last 4 years I also have benefits, 2% extra vacation pay and $750 a year dental coverage that accumulates for 3 years so $2,250 maximum and then it is lost if not used.

    I am 35 years old and currently have $122,000 in RRSP’s, $43,000 in TFSA’s, $55,000 in staggered maturity GIC’s, $15,000 in 1.75% savings account plus a paid off bungalow worth $325,000 but 13 years ago I bought it years ago for $195,000.

    I just became debt free 3 months ago, no credit cards, no mortgage, car loan etc. of any types. If I were to get 3.5% on all my RRSP’s and TFSA’s, $165,000, by retirement, hopefully at 65 years old, all the compound interest would be equivalent to 361 weeks or about 7 years of work.

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  6. Some information I did not mention, I put down $62,000 as a down payment from savings working hard 3 years saved up living at home until I moved out at 21 and for 5.5 years I did not have a vehicle saving on auto insurance, repairs and maintenance, gas, registration, license fees etc.

    Also, the my first 7 years or working until I reached $36,000 a year, I did not have take any vacations. I have taken 2 vacations in the last 7 years.

    Reply

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