The size of your nest egg is dependent on how much time you give your money to compound. Flickr/Creative Commons

B.C. to increase minimum wage to $15.20/hour in 2021

Premier John Horgan says next increase will come in June

The B.C. government has announced the province’s minimum wage will go up to $15.20 an hour in 2021.

““People making minimum wage need to be able to pay rent and put food on the table. People working full time should not be fighting poverty,” Labour Minister Harry Bains told a news conference Thursday at a JJ Bean coffee shop in North Vancouver.” When Toronto raised its minimum wage to $14 an hour earlier this year, the company – which has a location in Toronto – did the same for its Vancouver staff.

The province’s move comes as a result of work done by the fair wages commission, set up last summer to plot out how to raise the minimum wage to $15 an hour, as part of the NDP’s campaign promises.

The commission’s report, released Thursday, recommended “frontloading” the wage hikes to take advantage of B.C.’s strong economy and low unemployment rate. It means the first increase will be the highest, with smaller raises each time until $15.20 is reached.

B.C.’s minimum wage is currently $11.35 an hour – the third highest in Canada.

The next hike will come in June to at least $12.65 an hour. That makes for an increase of $1.30 this year, and $1.20, $0.75 and $0.60 in the next three years.

Asked about how small businesses will cope, Horgan pointed to other savings the NDP has introduced in recent months.

“We’re moving to remove the PST on electricity for businesses… for those who are paying medical services premiums for their employees – that too has been cut in half,” he said.

“What the commission heard is that they want predictability and a time frame to make decisions, shape their human resource planning [and] their operations planning.”

The Canadian Federation of Independent Businesses doesn’t agree.

Richard Truscott, the vice-president of B.C. and Alberta operations, said government’s role should be to provide training and job growth opportunities for people trying to get by with low-skilled, minimum wage jobs.

“Small businesses typically operate in competitive markets on very thin margins,” Truscott said. “The $15 minimum wage may be great politics, but it is terrible economic policy.”

BC Green Party leader Andrew Weaver had protested about what he had called an “arbitrary” goal of raising the minimum wage to $15 an hour by 2021.

Now with the commission’s report, Weaver he said the plan will help “keep politics out of minimum wage discussions.”

Recommendations for a minimum wage for workers in hospitality, agriculture, resident care and live-in support will come in March. Another report on the discrepancy between the minimum wage and a “liveable wage” is set for later this year.

A liveable wage is considered one that accounts for housing, food, clothing, transportation, recreation, savings and education. The living wage in Metro Vancouver is $20.62 per hour.


@katslepian

katya.slepian@bpdigital.ca

Like us on Facebook and follow us on Twitter.

Just Posted

Shovel Lake wildfire, highway 27 and pipeline

It’s close to one and reached another

Robbery suspect arrested near Burns Lake

RCMP use spike belt to deflate vehicle’s tires

‘Beauty amongst such tragedy:’ B.C. photographer captures nature’s trifecta

David Luggi’s photo from a beach in Fraser Lake shows Shovel Lake wildfire, Big Dipper and an aurora

Four-legged evacuees, Vanderhoof

Local physician opens up her property for 60 dogs and numerous horses

Island swimmer halts journey across Strait of Juan de Fuca after hypothermia sets in

Victoria MS athlete Susan Simmons swam for eight-and-a-half hours in 9 C choppy waters

‘Hard on water:’ Smoke not the only long-range effect of wildfires

The project began more than 10 years ago after southern Alberta’s 2003 Lost Creek fire

B.C. VIEWS: Genuine aboriginal rights can be misused and discredited

Camp Cloud one of long line of protests falsely asserting title

Prime Minister Justin Trudeau to march in Montreal’s Pride parade

Trudeau will end the day in his home riding of Papineau

Vancouver Whitecaps give up late goal in 2-2 draw with New York Red Bulls

Four of Vancouver’s next five games are at home

B.C. man designer behind Canucks’ retro jersey

Jeremie White was 20 years old when he told Canucks assistant GM Brian Burke he had a design

Lions give up late TD in 24-23 loss to Argos

B.C. falls to 3-5, fumbling away last-minute chance in Toronto

Most Read