CBC News reports that the 40‑cent increase keeps the wage aligned with inflation and applies to workers in federally regulated industries such as transport, banking and telecommunications.
Global News reports that the rate also covers air transportation, most federal Crown corporations, ports and telecommunication, among others, and that all employers in federally regulated private sectors must adjust their payrolls accordingly from April 1.
Global News reports that after the change, Yukon’s minimum wage will be $18.51 and Nunavut’s will remain $19.75, while British Columbia’s minimum wage is set to rise to $18.25 in June, all above the federal rate.
As per Employment and Social Development Canada, an employee should be paid at least the federal minimum wage, and if the provincial or territorial minimum wage where the employee usually works is higher, the employer must pay the higher rate.
In its news release, the federal government links the indexation policy to affordability measures, including the Canada Groceries and Essentials Benefit and the Food Security Fund.
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