BC's Minimum Wage Is Now One Of The Highest & Here's How It Compares To Salaries Across Canada
The minimum wage that workers in B.C. have to be paid has just been increased and it's now one of the highest in the entire country.
Even with the boost, what people in the province will earn in a year at minimum wage jobs is nowhere close to average salaries in Canada.
You might be feeling down about all of this but it's not all doom and gloom if you work in B.C.
That's because some employees in other provinces make $14 an hour or less which works out to almost $10,000 less earned each year.
So, if you work a job that pays minimum wage in Canada or you're just curious about it, here's a breakdown of everything you need to know.
That includes what the new minimum wage in B.C. is, what people get paid in every province and territory in the country, and how minimum wage compares to average salaries in Canada.
What is the minimum wage in BC?
The minimum wage in B.C. is now at $16.75 an hour as of June 1, 2023, so if you work a minimum wage job in the province you should be expecting a raise.
This is an increase from $15.65 per hour that came into effect across the province back in 2022.
It works out to a little bit more than a 6% raise in pay which, according to Indeed, is higher than the average raise that workers get.
That's because companies typically offer employees a pay increase of 3 to 5%.
Despite the boost in pay that brings the hourly rate to almost $17, B.C. still doesn't have the highest minimum wage in Canada.
In fact, it's beaten out by just a couple of cents!
What is the minimum wage in provinces and territories across Canada?
Minimum wage varies between provinces and territories in Canada with some being close to $17 an hour while some are as low as $13 an hour.
Yukon has the highest minimum hourly pay rate in the country which is $16.77 per hour, thanks to an increase that took effect on April 1, 2023.
So, the territory beat out B.C.'s new rate by just two cents!
The minimum wage in Nunavut has been at $16 since 2020 which makes it the third-highest hourly pay rate in Canada.
Ontario's minimum wage went up to $15.50 per hour on October 1, 2022. But on October 1, 2023, it will go up to $16.55 per hour.
That works out to an extra $2,200 annually for workers in Ontario who get paid minimum wage and work 40 hours each week.
In Quebec, the minimum wage that employers have to pay workers is $15.25 per hour as of May 1, 2023.
The minimum wage in the Northwest Territories has been at $15.20 an hour since September 1, 2021.
Then, the next highest minimum wage in Canada is $15 per hour in Alberta.
Workers in New Brunswick make at least $14.75 an hour as of April 1, 2023.
The minimum wage is currently $14.50 per hour in Nova Scotia, P.E.I. and Newfoundland but that pay rate will be increased to $15 per hour on October 1, 2023.
In Manitoba, $14.15 an hour is the current minimum wage but it will go up to $15.30 an hour on October 1, 2023.
That will make the province's pay rate higher than what's available in Alberta, the Northwest Territories, New Brunswick, Nova Scotia, P.E.I. and Newfoundland.
Finally, Saskatchewan has the lowest minimum wage in Canada at $13 per hour.
As of October 1, 2023, the hourly pay rate in the province will be boosted to $14 but it will still be the lowest in the entire country.
You might not know this but Canada actually has a federal minimum wage pay rate that sets out the lowest amount federal employees can make.
The federal minimum wage went up from $15.55 per hour to $16.65 per hour in 2023 which is higher than every province and territory except for B.C. and Yukon!
But federal workers who are in a province or territory that has a higher minimum wage than the federal minimum wage must be given the bigger pay rate by their employer.
How does minimum wage compare to average salaries in Canada?
While you might think younger people are the only ones who earn minimum wage in Canada, that's not true.
According to a study by the Fraser Institute from 2021, only 53% of workers in minimum wage jobs in Canada are teenagers and young adults between the ages of 15 and 24.
Then, locally, it's 46% in Alberta, 52% in Ontario, 53% in B.C. and 55% in Nova Scotia.
Also, the study suggested that minimum wage jobs are a stepping stone toward higher-paid careers for a lot of younger workers.
With so many people working in minimum wage jobs as their full-time careers, let's look at how minimum wage compares to average salaries in this country.
Statistics Canada shared data that revealed the average hourly rate for full-time employees in Canada is $35.53 as of April 2023.
That works out to $73,902.40 earned in a year for someone that works 40 hours each week.
With B.C.'s new minimum wage, the $16.75 pay rate would get full-time employees just $34,840 a year for 40-hour work weeks.
That's just a little more than $39,000 lower than the average yearly salary in Canada.
In Yukon, the $16.77 minimum wage that workers get would earn them $34,881.60 a year if they work 40 hours every week.
For federal employees, the $16.65 federal minimum wage works out to $34,632 a year.
Then, on the other end of the spectrum, people in provinces with the lowest minimum wage earn a yearly salary that's more than $40,000 lower than the national average.
Manitoba's $14.15 an-hour minimum wage — which is the second lowest in Canada right now — gets workers a yearly salary of $29,432.
Also, people in Saskatchewan who work a 40-hour week at minimum wage would only make $27,040 a year.
When that pay rate goes up to $14 later in 2023, the yearly income would go up slightly to $29,120 but it will still be the lowest in the entire country.
This article's cover image was used for illustrative purposes only.
