Alberta will increase its minimum wage to $9.40 per hour on Sept. 1, up from $8.80 per hour.
A new minimum wage of $9.05 per hour will be introduced for workers who serve alcohol as part of their job. It is lower to recognize that they also earn tips.
In a June 1 news release, the provincial government said the new numbers represent a 6.8 percent increase for general workers and a 2.8 percent increase for liquor servers. The last increase to minimum wage in Alberta was in April 2009.
It is the third lowest minimum wage in the country. British Columbia has the lowest at $8.75 per hour and Prince Edward Island offers $9.30.
Minimum wage in Saskatchewan and Manitoba is $9.50. Ontario has the highest at $10.25.
Alberta government figures indicate that 36.4 percent of minimum wage earners are 15 to 19. The next highest percentage is in the 55 and older group at 12.6 percent.
“While just over one percent of employees earn minimum wage, we want to ensure that the minimum wage rate in Alberta is reasonable,” employment and immigration minister Tom Lukaszuk said in a news release.
“We also want to maintain the important balance between attracting people into entry level positions and helping their employers remain competitive.”
NDP labour critic Rachel Notley said the minimum wage increase trails that of all other provinces. Rising electricity rates and higher school fees, plus the high cost of living, are making things difficult for minimum wage earners, she said.
Liberal employment critic Harry Chase applauded the increase, but questioned the long delay.
Along with the wage announcement came news that a new formula will be used for future minimum wage increases. It will be based on a simple average of changes to Albertans’ annual average weekly earnings and changes to the consumer price index.
Changes, if any, would occur Sept. 1 of each year. Three months notice of change will be given.
