B.C. Labour Minister Harry Bains (Black Press)

Most B.C. minimum wage earners ‘aren’t poor,’ report says

Four out of five live with parents or a higher-wage earner

As B.C. prepares to increase its minimum wage to $12.65 an hour on June 1, a new study suggests that it will do little to reduce poverty.

More than 84 per cent of B.C.’s minimum wage earners don’t live in low-income families, the Fraser Institute found in an analysis of federal low-income statistics that define poverty in Canada.

In 2017, more than 55 per cent of minimum wage earners in B.C. were aged 15 to 24, and 78 per cent of them lived with parents or other relatives.

And more than 22 per cent of the same group had an employed spouse, of which 93.1 per cent earned more than the minimum wage or were self-employed. Only two per cent of minimum wage earners were single parents with young children.

“Contrary to widely held misperceptions, the vast majority of minimum age earners in B.C. aren’t poor, and they are rarely the primary or sole income earner in their household,” said Charles Lammam, director of fiscal studies at the Fraser Institute. “The majority are, in fact, teenagers and young adults living with their parents.”

The June 1 increase from $11.35 to $12.65 an hour is part of the B.C. NDP government’s pledge to raise the minimum wage in steps to $15.20 by 2021. That’s a 34 per cent increase in three years, and it meets a long-standing demand of the B.C. Federation of Labour that the minimum wage reach $15 an hour.

Labour Minister Harry Bains announced in April that the lower minimum wage for liquor servers is also being phased out, with larger increases until it matches the general hourly rate in 2021.

RELATED: Small businesses expect to cut staff

The latest increase comes as the B.C. government is under pressure from business groups about its health care payroll tax. Finance Minister Carole James disputed a Greater Vancouver Board of Trade study that said two thirds of small businesses said they expect to pay the tax. The employer health tax is being phased in starting January 2019.

Just Posted

Council candidate Dave Westley says he ‘loves Mission’

Says Mission is a beautiful place filled with an eclectic and diverse group of beautiful people

Randy Cairns seeking another term as Mission school trustee

Plans to advocate for new capital projects

VIDEO: Tornado reported near Hayward Lake in Mission

Environment Canada investigates, says a ‘possible’ tornado took place

Mark Davies to run for Mission council seat

A strong believer in positivity, government transparency and building personal connections

Carla Janis vying for council seat in Mission

Says we have to be cognizant of environmental stewardship as we grow

64 cats seized from ‘bad situation’ now in BC SPCA care

The surrender is part of an ongoing animal cruelty investigation with BC SPCA Special Constable

‘Furry-tail’ ending for cat family rescued from under B.C. bridge

A special mewment for the kittens, soon to be sent to Chilliwack Animal Safe Haven

Housing slowdown forecast to cool B.C. economy

Conference Board says pipeline, trade uncertainty affecting investment

B.C. hockey product eyes shot at Olympic spot with China

Fletcher is one of 24 who travelled to Shenzhen, China for the first official Olympic dev camp.

Are you feeling lazy? That’s OK – it’s just science

UBC study shows that humans are hardwired to prefer being sloth-like

LETTER: Who do we blame for the tragedy of Marrisa Shen’s death?

The B.C. girl was killed in a Burnaby park last July

Competition tribunal to hear B.C.-based case on airline food starting in October

The competition commissioner argued Vancouver airport authority had exploited its market position

Seek compromise with U.S. on cannabis at border, lawyers urge Ottawa

U.S. Customs and Border Protection agency sent tremors through Canada’s burgeoning cannabis sector

Trudeau says Canada wants to see ‘movement’ before signing revised NAFTA deal

Foreign Affairs Minister Chrystia Freeland is back in Washington in search of a way to bridge divide

Most Read