Albertans who earn minimum wage will get a 25 cent pay increase this fall, when minimum wage increases from $9.95 per hour to $10.20 per hour. Minimum wage for liquor servers will be raised from $9.05 to $9.20 per hour.
At $9.95 per hour, Alberta currently has the lowest minimum wage in Canada, and the distinction of being the only province where wages are under $10.00 per hour. The increase will put the province somewhere in the middle of the pack, with B.C., Manitoba, Nova Scotia, Nunavut, Ontario, Quebec and the Yukon still posting higher minimum wage numbers.
The average number of people earning minimum wage in the province is only 1.5%, lower than the national average of 6.8% and 9.1% in Ontario.
“While Alberta has the lowest percentage of employees earning minimum wage in the country, these individuals form an important part of our workforce.” Kyle Fawcett, Minister of Jobs, Skills, Training and Labour said in a written release.“Many work in the service and retail sectors and are gaining the experience they need to succeed. These changes will give them a modest increase while keeping the viability of their employers in mind as well.”
The province says the wage increases are based on a formula they have been using since 2011 that takes into account Average Weekly Earnings (AWE) in the province, and the Consumer Price Index (CPI). According to the province, the AWE rose 3.3% in Alberta over the past year, while the CPI jumped 1.4%. The average of 2.3% is rounded to translate into a wage increase of 25 cents an hour.
The wage increase will take effect on September 1, 2014.
