The Kenney UCP government has announced plans to examine Alberta’s current minimum wage – a move that promises to lead to a heating up of the already controversial issue of what level of compensation workers should receive for the lowest paying jobs.
The former Notley NDP government raised the minimum wage to $15 per hour, making it the highest in Canada.
During the last provincial election, UCP candidates repeatedly said they would examine the new minimum wage and make changes if necessary. Now the UCP government is moving forward with those plans.
Whether the review of the minimum wage structure will lead to more jobs in the long term remains to be seen.
What is known is that failing to reach a compromise between the needs of businesses and the needs workers could have serious economic impacts.
The government has appointed an expert panel to study and publish economic data related to minimum wage changes.
It will also look at whether a wage differential for hospitality industry workers who serve alcohol could lead to high net incomes.
Minister of Labour and Immigration Jason Copping says the new expert panel will provide important input to the government.
“By establishing this panel of expects we are keeping another platform promise and making progress on our common-sense plan to restore jobs and prosperity to our province,” said Copping.
Joseph Marchand is the chairman of the new expert panel.
“The effects of Alberta’s 47 per cent minimum wage increase over the past four years and elimination of the liquor server differential deserve to studied,” said Marchand, an associate professor of economics at the University of Alberta.
Others on the panel include members of the Alberta business community and the vice-president of the Canadian Federation of Independent Business.
Striking a workable balance between the needs of businesses to remain profitable and the needs of workers to receive living wages remains a challenge in Alberta.
Hopefully this new panel will make constructive suggestions the government can use to meet those challenges, including in this region.
Dan Singleton is the Mountain View Gazette editor.
