Federal minimum wage set to increase April 1. Who gets the pay bump?
Minimum wage workers in federally regulated sectors will get a bump in their paycheques starting next month.
Canada will be increasing the federal minimum wage by 65 cents on April 1, from $16.65 to $17.30 per hour.
The federal minimum wage has been growing steadily since 2021, when the Liberal government scheduled annual increases to keep up with inflation. At the time, the federal minimum wage was $15.
Increases to the federal minimum wage are based on Canada’s Consumer Price Index for the previous calendar year. In 2023, the CPI rose an annual average of 3.9 per cent.
The federal minimum wage increase only applies to workers in federally-regulated industries.
Federally-regulated industries and workplaces include air transport, banks, postal services and telecommunications such as telephone and cable systems. A full list can be found on the federal government’s website.
Your eligibility also depends on how much you earn compared to each province and territory’s minimum wage.
“If the minimum wage set by the province or territory you are employed in is greater than the federal minimum wage, the provincial or territorial wage rate will apply to you,” Employment and Social Development Canada explains.
The only region set to increase its minimum wage higher than the federal rate this year is Yukon. As of March 13, the territory’s minimum wage will be raised from $16.77 to $17.59 per hour.
Federal interns and workers under the age of 18 will also receive a bump.
For workers registered under and paid according to a provincial apprenticeship act, their employers are exempt from having to apply the federal minimum wage.
Additionally, if a worker accepts room and/or board provided by an employer, the employer can also reduce pay
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