Minimum wage rates on the increase in Nova Scotia and PEI

CHARLOTTETOWN/HALIFAX — Wage rates are going up in Prince Edward Island and Nova Scotia.

Starting May 1, the minimum wage in PEI will jump to $7.75 per hour, up from $7.50. A second increase takes effect on October 1, this time to $8.

In Nova Scotia, employers will be paying $8.10 per hour, a six per cent increase from the current $7.60.

“Increasing the minimum wage annually will help improve the lives of more than 20,000 Nova Scotians,” said Mark Parent, the minister of environment and labour, in a statement. 

On April 1, 2009, the rate in the province will rise to $8.60, followed by increases to $9.20 in April 2010 and to $9.65 in October 2010. After March 2011, the minimum wage will increase annually based on changes to the Consumer Price Index.

“Increasing the minimum wage is a strategic step forward,” said Nova Scotia’s Minister of Community Services Judy Streatch.

The government’s goal is to have minimum wage staff earning more than the low-income cutoff line.

“Tackling poverty is a responsibility we should all share,” Streatch said. “It will provide greater financial stability for many Nova Scotians.”

The move in PEI keeps hourly salaries there in line with the other provinces and territories, nine of which have minimum wages at or above $8.

PEI Labour Minister Carolyn Bertram made the announcement last month following a recommendation from the province’s Employment Standards Board.

“We recognize that changes to minimum wage levels have a direct impact on employees in some industries, particularly younger people, and those who rely on seasonal employment,” Bertram said in a statement.

“We want to continue to work with Islanders to improve these standards.”

Bertram said the staggered increases gives business operators plenty of time to plan ahead for the changes.

“By choosing to implement the increase in two stages, we are providing the business community more time to integrate the salary adjustments into their operational plans,” she said.

“We acknowledge that employers will be required to incorporate this increase into their payroll budget on May 1.”

Prince Edward Island has approximately 270 bars and restaurants employing 5,200 people while the industry in Nova Scotia employs 31,800 at 1,500 restaurants, bars and caterers. Of those, 12,700 are under the age of 25.

Other current minimum wage rates in Atlantic Canada:

• New Brunswick  $7.75
• Newfoundland and Labrador $7.00