Minimum wage to be tied to inflation

Feb 9, 2022 | 4:25 PM

PRINCE GEORGE – The Throne Speech is typically a snapshot of the upcoming budget. This year’s Throne Speech is being criticized as being much of the same old, same old. But one line leaped out and it’s not good for small businesses.

“In the months ahead, your government will take action to tie minimum wage increases to the rate of inflation so B.C. workers do not get left behind,” stated Janet Austin, BC’s Lieutenant Governor.

It is just one more slap in the face for businesses, which are struggling to crawl out of the pandemic.

“What we have seen from this government over the last several years are the continuous stacked costs on the backs of small businesses,” says Kiel Giddens, President of the local Chamber of Commerce. “So that’s meant the Employer Health Tax, it’s meant the paid sick days and now increasing the minimum wage to the rate of inflation? Inflation of course is going up faster than small businesses are able to handle as it is. So that’s a real challenge and there should really be consideration of these small costs because that can’t take it anymore.”

The budget is not until February 22nd, but next week is the release of the first economic outlook since the pandemic, and who knows what small businesses can anticipate in that.

“The government is set to release a new economic plan next week. Let’s hope there are actually actions for small businesses. Because they need to see some real support from government right now.”

Minimum wage is currently $15 .20 per hour. Based on the publication, Trading Economics Canada’s inflation rate accelerated to 4.8% last December from 4.7% in November and October. A 4.8 percent wage increase works out to 73 cents per hour.

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