The Federal Minimum Wage Is About To Go Up & Here's Who Will Be Getting An Increase

The federal minimum wage is set to go up on April 1, and no, it's not an April Fool's Day joke.

On Monday, March 14, Employment and Social Development Canada confirmed that the rate will increase from $15.00 an hour to $15.55 per hour as of next month.

However, if you currently work in a province or territory where the general minimum wage is higher than $15.55, you'll still receive that same amount per hour.

The increase in wage will apply to workers, as well as interns, who work in federally-regulated private sectors. This includes employees in banks, postal and courier services and interprovincial air, rail, road and marine transportation.

"There are approximately 18,500 employers in federally regulated industries, including federal Crown corporations, which together employ 955,000 people (about 6% of all employees in Canada)," the government notes.

The federal minimum wage is adjusted annually based on the information from the Consumer Price Index to ensure that it remains in pace with inflation. For 2022, the wage reflects the 3.4% annual average rise of the CPI in 2021.

"For people employed in minimum-wage jobs trying to support themselves and their families, every dollar makes a difference," says the government.

"Whether it be at the grocery store, in their housing payments or simply making ends meet, affected workers benefit when the minimum wage rises."

Those who do not work in federal jobs will be subject to the general minimum wage set by their province or territory, which varies quite a bit depending on where you live.

This article's cover image was used for illustrative purposes only.