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Winnipeg Free Press - PRINT EDITION

Working on an increase

Province finalizing details on wage hike

By: Larry Kusch

Posted: 02/4/2010 1:00 AM | Comments: 0 (including replies)

Jennifer Howard

THE Manitoba government says it will boost the minimum wage this year, but it's still wrestling with the size and timing of an increase.

A committee of employer and labour representatives was unable to reach a consensus on the issue, submitting a split report to Labour Minister Jennifer Howard a few weeks ago.

Howard said in an interview she's continuing to listen to opinions on the matter, and the province should announce its decision before the end of March.

"The two things that are being considered are how much is the increase, and the timing," she said. "We're getting to a place where hopefully everyone can live with the decision, but I don't think we're quite there yet."

Normally, the government provides several months' notice on rate hikes -- making an announcement in December or January for an increase taking effect in spring. Last year, it raised the rate by 50 cents, but did it in two stages -- 25 cents on May 1 and 25 cents on Oct. 1. The Manitoba minimum wage is now pegged at $9 an hour.

Business has been pushing for little or no increase because of tough economic times, while the Manitoba Federation of Labour has said it would like to see the rate jump to $10 an hour.

Some in the business community have asked the government to delay any rate hike until October.

"One thing that we have heard pretty clearly from business is that if there is going to be an increase, they want sufficient notice to plan accordingly. So I'm taking that seriously," Howard said.

So, it's highly unlikely that the rate will rise on April 1, as it often does, she said.

"The trick to this is finding the right balance -- making sure that we retain our position relative to other provinces. I think everybody agrees that's important for a labour force that's more and more mobile. And we're in a labour shortage," Howard said.

She said the government is also concerned that people earning minimum wage continue to have spending power, as every penny they earn goes back into the economy.

"We have been building the spending power of the minimum wage back up. But, still, you look at the value of the minimum wage in constant dollars from 1988 to now -- it's actually only increased a dollar in that time."

larry.kusch@freepress.mb.ca

Minimum wages across Canada

Province Wage

Alberta $8.80

B.C. $8.00

Manitoba $9.00

N.B $8.25

N.L. $9.50

N.S. $8.60

Ontario $9.50

P.E.I. $8.40

Quebec $9.00

Sask. $9.25

Republished from the Winnipeg Free Press print edition February 4, 2010 A6

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