Labour advocates in Nova Scotia are raising concerns over the widening gap between wages and the cost of living.
Researchers are calling for employers to offer a living wage, as recent data shows more Atlantic Canadians are struggling to hold on to their paycheques.
The province’s minimum wage is currently $16.75 an hour and is set to rise to $17 in the fall.
But the Canadian Centre for Policy Alternatives says that’s still $10.60 short of a living wage.
“People are struggling. They’re really struggling to make ends meet,” said Christine Saulnier, the group’s Nova Scotia director.
“We’ve certainly been calling for a $20 minimum wage for a long time, and we should be there already.”
The research institute pins Nova Scotia’s living wage, which is the amount considered enough to achieve a basic level of economic security, at an hourly rate of $27.60.
But Saulnier points out half of the province’s workers are making below that, despite the rising cost of food, housing and utilities. That’s why she says more employers need to provide competitive pay.
“Those are also the people in your community. Those are the people who are also your clients, who are also wanting to actually pay for the service that you have, right,” she said.
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“We need to be connecting those dots together. And as a business, it’s pretty short-sighted to not do that.”
However, the Canadian Federation of Independent Business (CFIB) says many shop owners across the Maritimes are now paying above the minimum requirement.
“They’re aware of that, and they adjust. They want to keep their staff, they want to keep growing their businesses but also they have limits,” said Frederic Gionet, senior policy analyst for the CFIB in Atlantic Canada.
“Obviously they have financial constraints and that plays a role.”
All the while, Atlantic Canadians are feeling the pressure. A recent RBC poll shows 57 per cent are worried they aren’t saving enough for emergencies.
“Four in 10 have said they’ve dipped into their emergency fund for non-emergency expenses. Atlantic Canada is the highest in the country at that,” said Craig Bannon, national director of financial planning support for RBC.
The Nova Scotia Federation of Labour is calling on the province to establish a committee focused on improving working conditions.
“The gap between the minimum wage and the living wage in Nova Scotia has doubled since 2018, and paycheques aren’t keeping pace with cost-of-living increases,” the federation said in a statement.
In a statement to Global News, the province’s Department of Labour, Skills and Immigration said government’s focus is on “creating the conditions for more Nova Scotians to access good-paying, sustainable jobs.”
“The Province has taken a balanced approach to increasing the minimum wage, which will have risen by 30 per cent since 2021 — from $12.95 to $17 by October 2026,” the statement goes on to say.
“These increases are designed to help workers keep more money in their pockets while providing predictability for employers.”
The department added that aside from raising the minimum wage, it is also investing in affordability initiatives, housing, tax relief, income supports and workforce training programs.
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