Alberta minimum wage increase September 1, 2005

Minimum wage will increase to $7.00 an hour September 1, 2005

Edmonton… Alberta’s minimum wage will increase from $5.90 to $7.00 an hour on September 1, 2005. About 45,000 Albertans in entry-level jobs will benefit directly from the wage increase.

“Increasing the minimum wage is one way of ensuring Albertans get a better start in the workforce,” said Human Resources and Employment Minister Mike Cardinal. “Most Albertans, including employers and employees, agree that the minimum wage should be raised.”

More than 1,900 Albertans participated in a public consultation conducted from February 24 until March 29, 2005. Participants were asked whether the minimum wage should be introduced in one step or in stages. A majority of all respondents agreed that the increase should be introduced all at once.

“Government chose September 1, 2005 to introduce the new rate in order to balance the needs of both workers and employers,” Cardinal added. “Minimum wage earners will soon be able to earn a better income, while Alberta businesses will have four months to budget for the increase and make adjustments.”

Within the Employment Standards Code, government sets the minimum wage that employers must pay workers. Higher wages are negotiated between employers and employees, or their unions. Due to Alberta’s vibrant economy and low unemployment rates, most employers already pay more than minimum wage to attract and retain employees. The average hourly wage in Alberta is $18.55 an hour.

Alberta’s minimum wage was last raised in 1998-1999, in three stages, over a 12-month period.

For more information on the minimum wage or other employment standards, visit: www.gov.ab.ca/hre/employmentstandards.

Categories: Compensation