Minimum wage hike getting mixed reaction

May 29, 2024 | 3:19 PM

PRINCE GEORGE – For the third year in a row, government’s raising the minimum wage.

While Prince George is an industry town, where wages are typically higher, that’s not the tax bracket this move is focussed on.

“It’ll be the people that work in the restaurants, convenience stores, all the lower, entry-level positions,” says Matt Baker, President of the North Central Labour Council.

But for the organization representing small businesses – the Chamber of Commerce – this 65-cent jump per hour can be tough on the business.

“I was talking to the owner of a small Prince George business,” explains Neil Godbout, Executive Director for the Prince George Chamber of Commerce. “And for her, it really comes down to do I spend $100 a week, $5,200 a year hiring somebody to clean the business during off hours? Or does she do it herself and reinvest that $5,200 in buying new equipment and investing in new opportunities to grow her business?”

And Godbout says, ultimately, the additional costs will be borne by the consumer.

“If you’re raising the minimum wage to $17.40 an hour on Saturday, what’s happening to the employees already making $17.40 an hour or $18 an hour, they’re obviously going to want a pay increase, too. And so it has an escalating effect.”

But Baker says, even at $17.40, it doesn’t meet the living wage requirements for a community like Prince George.

“The living wage is set right now at just over $22 an hour in the Prince George area. $17.40 is a good jump like we get. It’s going to is going to help a lot of people. But still, you know, there’s still that gap.”

The government argues the 3.9% increase is to offset the cost of inflation which currently sits at 2.7%.