Minimum wage in Canada

Overview of minimum wage in Canada

Overview

The minimum wage in Canada is the lowest hourly wage rate that an employer can legally pay its employees. The minimum wage is set by each province and territory in Canada, and it varies across the country. The purpose of the minimum wage is to ensure a basic standard of living for workers and to reduce poverty and inequality.

History

The concept of a minimum wage in Canada dates back to the early 20th century. The first minimum wage laws were introduced in the 1920s, with the aim of protecting women and children in the workforce. Over the decades, the scope of minimum wage laws expanded to include all workers, regardless of gender or age.

Current Minimum Wage Rates

As of 2023, the minimum wage rates in Canada vary by province and territory. Each jurisdiction reviews and adjusts its minimum wage periodically to reflect changes in the cost of living and economic conditions.

Provincial and Territorial Rates

• Alberta: $15.00 per hour
• British Columbia: $15.65 per hour
• Manitoba: $14.15 per hour
• New Brunswick: $13.75 per hour
• Newfoundland and Labrador: $13.70 per hour
• Northwest Territories: $15.20 per hour
• Nova Scotia: $13.60 per hour
• Nunavut: $16.00 per hour
• Ontario: $15.50 per hour
• Prince Edward Island: $13.70 per hour
• Quebec: $14.25 per hour
• Saskatchewan: $13.00 per hour
• Yukon: $15.70 per hour

Minimum wage rates in Canada

Factors Influencing Minimum Wage

Several factors influence the setting of minimum wage rates in Canada, including:

• Cost of Living: The cost of living varies significantly across different regions in Canada, influencing the minimum wage rates set by each province and territory.
• Economic Conditions: Economic factors such as inflation, unemployment rates, and economic growth are considered when setting minimum wage rates.
• Political Considerations: Political ideologies and government policies play a role in determining minimum wage levels.
• Labor Market Conditions: The demand and supply of labor, as well as the bargaining power of workers, can impact minimum wage decisions.

Impact of Minimum Wage

The impact of minimum wage on the economy and society is a subject of ongoing debate. Proponents argue that a higher minimum wage can reduce poverty and inequality, improve living standards, and stimulate economic growth by increasing consumer spending. Critics, however, contend that raising the minimum wage can lead to job losses, increased costs for businesses, and higher prices for consumers.

Related Pages

• Living wage
• Poverty in Canada
• Income inequality in Canada
• Labor law in Canada