B.C. minimum wage increasing to $16.75 per hour

Those making minimum wage in B.C. will be getting a raise in a few weeks.

B.C. Minister of Labour Harry Bains says the base wage will increase to $16.75 per hour from $15.65 per hour on June 1.

The minister says the 6.9 per cent hike is tied to the rate of inflation in 2022.

“Having a minimum wage that keeps up with inflation is a key step to prevent the lowest paid workers from falling behind,” Bains said at a news conference Wednesday.

“These workers and their families feel the impacts of high costs much more than anyone else. We are maintaining our policy of tying the minimum wage to inflation.”

The wage increase will affect about 150,000 people, the province says, many of which are food service staff, grocery store workers, and retail employees. Residential caretakers, live-in home-support workers, and camp leaders will also see wage increases. On Jan. 1, 2024, piece rates for 15 hand-harvested crops will also see a 6.9 per cent increase.

In the leadup to the announcement, business leaders expressed concern over the minimum wage increase, citing already rising costs for daily operations.

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Brenda Bailey, B.C.’s Minister of Jobs, Economic Development and Innovation, says in the big picture, only a small number of British Columbians are earning the base wage.

“Small businesses are the backbone of our economy, and thanks to their work and determination, only 3.5 per cent of B.C. workers were paid at minimum wage last year. Clearly, the vast majority of businesses are seeing the value of paying their staff a fair wage, which is a sign of a strong economy,” she said at the announcement.

Bailey also outlined measures the government has taken to alleviate pressures on businesses, like allowing restaurants to purchase liquor at wholesale prices and capping food delivery service fees.

Living on single wage ‘close to impossible,’ worker says

Marissa Iacobucci, who works at a private liquor store while she studies psychology at university, says the extra $1.10 per hour will go a long way.

“Most of my co-workers live paycheck to paycheck and are struggling to pay for the necessities of living like rent food and transportation,” she said.

“The stress of financial strain has had a negative impact on our mental health. Living on our own debt free on a single wage has become close to impossible. My coworkers and I, along with all low wage workers, deserve a fair wage that we can survive on especially with the rising cost of living.”

The wage jump is higher than what was pitched by restaurant-industry leaders, which pushed for a two per cent raise.

Sam Jones, who is the owner of a Victoria coffee shop, acknowledged that increasing workers’ wages can put a strain on businesses, but says it’s the right thing to do.

“Despite our best efforts to pay our employees fairly, be environmentally responsible, and provide excellent service, we often find ourselves struggling to stay afloat. Meanwhile, larger corporations continue to reap the benefits of cheap labour and artificially keeping prices low, making it difficult for small businesses like ours to compete. The minimum wage increase is not only the right thing to do, but it’s also a step in the right direction, and it is heartening to see that this is just the latest in a series of increases over the last several years,” he said.

Other business leaders aren’t as thrilled by the wage increase. Anita Huberman, CEO of the Surrey Board of Trade, says the bump will be “unsustainable” for businesses.

“Such a significant increase in minimum wage should have been discussed last year with the business community, especially in the face of other unprecedented increases in taxes and fees from other levels of government,” she said.

According to the province, of those making minimum wage in B.C. in 2021, 58 per cent were women, while over 52 per cent were at least 25 years old. Additionally, 42 per cent of people earning the lowest wage worked in businesses with more than 500 employees.

Since 2015, the minimum wage in B.C. has risen by a total of $6.20 per hour.