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Results: 16 - 30 of 95
View Ted Falk Profile
CPC (MB)
View Ted Falk Profile
2021-05-17 17:06
Thank you.
You've probably also heard the adage that a rising tide lifts all boats, and if we're going to increase the bottom end of the wage structure, everything else will increase proportionateley. At the end of the day, there won't be a net benefit because costs are going to rise. This is actually going to fuel inflation. What is your study on that showing you as a result?
David Charter
View David Charter Profile
David Charter
2021-05-17 17:07
I think what you're asking about is spillover effects from this minimum wage, and it is true that it is possible that there could be some spillover effects like wage adjustments for employees who are making $15 or slightly above $15. Employers might do this in order to retain or attract employees. What I would say is that the size of the spillover effect or that impact is somewhat uncertain, and it's kind of difficult to estimate, but it's not likely to impact anyone making more than about $2 over $15 or $2 over that minimum wage rate.
View Julie Dzerowicz Profile
Lib. (ON)
Thank you, Mr. Chair.
Mr. Charter, thank you for your presentation. I have four tiny questions for you. They're so small I'm sure you'll be able to respond very quickly.
You had mentioned there are 26,200 federally regulated employees who would benefit. How many in total do we actually have? How big is the bucket? Could you start off with that?
David Charter
View David Charter Profile
David Charter
2021-05-17 17:08
Certainly. I'm just scrolling down my list. It's roughly 919,900 employees.
View Julie Dzerowicz Profile
Lib. (ON)
Thank you.
In terms of the cost-of-living increase, Ms. Jansen had asked about inflation. Hopefully this never gets to 10%, but the way the legislation is written the increase would go to 10%. How is it different? As members of Parliament, we actually get an automatic cost-of-living adjustment every year as well. Is it written differently, or is it the same?
David Charter
View David Charter Profile
David Charter
2021-05-17 17:09
The way it's written in the amendments, the minimum wage will be set at $15 per hour, and then on April 1 the year after these provisions come into force, the minimum wage will be adjusted. It will be based on the increase in Statistics Canada's consumer price index for that year. Whatever percentage that increase was for the previous year, that will be the rate at which the minimum wage is adjusted upwards.
View Julie Dzerowicz Profile
Lib. (ON)
Do you know if that's the same as how it's written for members of Parliament in our annual increases?
David Charter
View David Charter Profile
David Charter
2021-05-17 17:09
I'm afraid I'm not aware of how the increases for members of Parliament are calculated.
View Julie Dzerowicz Profile
Lib. (ON)
Thank you.
What do you think the impact would be? I actually agree with this $15 minimum wage, which to Mr. Julian's comment was a promise in our Liberal platform and I'm glad that the NDP has followed us along.
What do you think the impact could be on other provinces that might have a minimum wage below $15?
David Charter
View David Charter Profile
David Charter
2021-05-17 17:10
What I can say to that is, of course, that these changes will put in place a federal minimum wage. They're amending part III of the Canada Labour Code, which applies just to the federally regulated private sectors, and the provinces and territories will continue to set their own minimum wage rates. I can't speak to whether the provinces or territories might choose to raise their rate or not, but what I can tell you is that right now the rates in the provinces are between $11.45 and $16 per hour and that this federal rate will be equal to or on par with all jurisdictions with the exception of Nunavut, whose rate is set at $16 per hour.
As I mentioned in my remarks, these provisions include a provision whereby if the provincial or territorial rate is higher, that rate will prevail. There's also a trend in provinces and territories to automatically adjust their minimum wage rates based on indexing formulae. Quite a number of provinces and territories already regularly increase their minimum wage rates based on either the provincial or the federal consumer price index.
David Charter
View David Charter Profile
David Charter
2021-05-17 17:12
As I said, I can't speak to whether provinces and territories will choose to make a change, but this rate is amongst the higher ones in provinces and territories. However, many provinces and territories already have systems in place to regularly increase their minimum wage rates.
View Tamara Jansen Profile
CPC (BC)
I wonder if you looked at the impact this will have on small business—for instance, the local restaurant. Obviously if you're saying, okay, if you're federally regulated, you must get minimum wage, you must have looked at how much that will impact those that are not federally regulated.
David Charter
View David Charter Profile
David Charter
2021-05-17 17:12
In my last response, I just spoke to how it might have an impact on the provinces and territories, which are those that are not federally regulated, but I think I heard you asking how it might impact small business.
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