The minimum wage hike in B.C. went into effect Sunday, raising the amount by 75 cents to $8.75, but it will still be the lowest in the country. That is, until it is raised again to $10.25 in May 2012.
Last month, Premier Christy Clark ended an almost decade-long freeze to B.C.'s minimum wage and put an end to the controversial training wage which paid new workers $6 per hour. Although the government has eliminated the training wage, it has also set a lower increase for alcohol servers. Those workers will see an increase of only 50 cents an hour, with a cap of $9 an hour by next year.
Ian Tostenson, president and CEO of the B.C. Restaurant and Food Services Association, has said that the sharp increases have left many business owners concerned they will have to reduce staff.
Jim Sinclair, president of the B.C. Federation of Labour, has dismissed this argument. He argues that good wages help employers because people with money in their pockets spend it in small businesses.
The B.C. Federation of Labour has called on the government to index future minimum wage increases beyond May 2012 to the cost of living. On Nov. 1, it will rise again to $9.50 and then $10.25 next year.
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