Metro Vancouver’s living wage increases to $20.52 per hour

Workers in Metro Vancouver need to be paid $20.52 per hour in order to meet all of their basic needs, according to the latest calculation from Living Wage for Families BC.

The figure factors in the cost of things like rent, transportation, childcare, food, clothing, and telecommunications. This has risen 5.2 per cent from 2019, when it was last calculated. It’s also five dollars more per hour than the province-wide minimum wage.

Lead Organizer Anastasia French says shelter is still the fastest-rising cost, and the most significant expense for workers and families.

“The main thing that’s driving the cost is the cost of housing, which continues to increase at a really rapid rate. What’s really interesting is it could be even higher, but last year there was a rental freeze across B.C. because of the pandemic. So, that paused things slightly but even with that, rent is far and away the biggest cost that families face,” she explains.

RELATED: Vancouver remains most expensive city in Canada for renters: study

The provincial prohibition on rent increases is set to end at the end of 2021, with a maximum allowable increase of 1.5 per cent for 2022.

Provincial policies have helped decrease some costs, not enough to offset others

French says the living wage would have been $2 higher per hour if not for government investments in childcare. The elimination of the annual MSP premium has also given famliies a bit of a break.

But the rising cost of other essentials continues to drive up the amount a worker needs to earn.

“Those savings have been kind of offset by the increased costs for housing and also for telecommunications. Wi-Fi and data and cell phones have gotten more expensive, food has got more expensive and so life for families is more expensive,” French says.

“What we’d now like is to take the momentum that they’ve shown with childcare and move on to housing because that will benefit everyone in B.C. that won’t just benefit families with children. It will benefit single people, elderly people, anyone who’s having to rent.”

Gap between minimum wage, living wage still too large

Saying she wants to “give credit where credit is due,” French notes the increase in the minimum wage in this province has been significant, rising from $11.35 an hour in 2017. However, she also notes that there is no region in the province where the current minimum wage of $15.20 constitutes a living wage. In Nanaimo, where the living wage is lowest, it’s calculated at $16.33.

Raising the minimum wage further is something French hopes the province will consider, particularly given which British Columbians work these jobs.

“We’ve also seen during the pandemic that it’s the lowest-paid workers who are not earning a living wage, who are the ones that are on the frontline keeping us fed and keeping us cared for — working in grocery stores and restaurants in-home healthcare, and these are the people that really deserve to be earning a living wage but often aren’t,” French says.

“There’s a $5 an hour gap between the minimum wage and the living wage in Vancouver which means that people who are earning minimum wage have to work an extra day a week just to be able to make ends meet. That’s the day they’re not spending with their, families, they’re not spending in the community, they’re not focusing on our well being. They’re stressed and having to work multiple jobs and that’s not the society we want to live in.”

Narrowing the gap between the minimum wage and what’s required to meet one’s needs is something French says could offer businesses that are on the fence a nudge.

“There are some employers who won’t pay their staff a living wage, who don’t want to pay their staff a living wage. But for those employers who do want to pay their staff a living wage, actually lowering that gap between the minimum and the living wage makes their life slightly easier. It’s less of an intimidating task when the gap is smaller, it’s something more achievable for them.”

Labour minister says more work to be done despite progress

Minister of Labour Harry Bains says there’s more work to do on this front, but says the NDP government has made strides since being elected in 2017.

One thing that he says is a challenge is accounting for regional differences when setting a minimum wage.

“How do we deal with the discrepancy between the minimum wage and the living wage in every region of the province?” he asks.

“Our attempt is to close the gap as much as we can between the minimum wage and the living wage because our mandate was to make life more affordable to British Columbians, provide services that they depend on improving services that they depend on — and also have an economy that every British Columbian can benefit from, not just a select few at the top.”

THREAD: just got off the phone w/@HarryBainsSN after a report found that the Living Wage in #MetroVancouver is at $20.52. This is up more than $1.00 vs. the last time the numbers were crunched. The Labour Minister acknowledges more work must be done. BG: https://t.co/Nc6fWELvYk

— Ria Renouf (@riarenouf) November 2, 2021

Bains says a report is due back to him from the Fair Wages Commission that specifically addresses how to address the discrepancy between minimum wage and a living wage in this province. That report was delayed due to the COVID-19 pandemic, but Bains says it’s possible it will be complete by the end of the year.

Another thing Bains says needs to be factored in is how best to support businesses, many of which are struggling.

Small business owner says paying workers well is about ‘values and ethics’

Sean Blishen is a small business owner, who launched Kilig Candle Co. in January of 2020.

For her, the decision to pay her employees enough to get by in Vancouver wasn’t difficult.

“I look at it from the perspective of being that person that’s been hired. It’s important for me to pay my workers what I think they’re worth, but also a living wage,” she says, adding she has continued to do this even as the cost of doing business has increased.

“When you put those values and ethics out in front, and you really think about it, it’s worth it to pay people what they’re worth and what they deserve, because they’re the ones that are helping you drive your business, they’re the ones that are helping you make that growth.”

WATCH: on @CityNewsVAN I had the chance to speak to small #BCbiz owner Sean Bilshen of Kilig Candle Co. The #VancouverBC-based entrepreneur strives to pay her employees a living wage but it's been tough to balance all the factors involved to get there. https://t.co/eQOvPvoEcN pic.twitter.com/Dq41OPrTzC

— Ria Renouf ???? (@riarenouf) November 3, 2021

She thinks the government could do something to incentivize employers who pay a living wage with a tax break, while also doing more to support artists and artisans who want to start businesses.

Blishen hopes employers reluctant to pay their workers more than minimum wage will reconsider.

“Put yourself in their shoes. You know where we live, you know how much it costs to live in this beautiful city. So just remember as much as you need to make your money and you need your mental health to be good — so do your workers. When you treat them good, they’ll stay with you.”