The New Brunswick government is holding a public consultation regarding the province’s minimum wage, which is currently $15.90, the third lowest in Canada.
Although the Department of Post-Secondary Education, Training and Labour (PETL) reviews the minimum wage every two years, this will be the first public consultation in 10 years.
Randy Hatfield, executive director of the Human Development Council (HDC), said the current wage level in New Brunswick often does not meet the standard of a living wage.
“I don’t think it was ever crafted to consider initially the importance of addressing basic needs,” said Hatfield. “So to be able to have that opportunity in this round of discussions I think will be very useful.”
One of the questions posed by the government is whether someone working full time at minimum wage in New Brunswick can afford basic necessities, such as food, housing, transportation and other essential expenses.
Hatfield said that although there are workers in New Brunswick making above minimum wage, such as $16 an hour, $18 an hour or $20 an hour, that is still not enough to meet basic necessities.
The HDC calculates a living wage using the national living wage framework annually and it is roughly $24.60 an hour, said Hatfield.
According to the Retail Council of Canada (RCC), the minimum wage in New Brunswick is $15.90, $16.75 in Nova Scotia, $17.00 in Prince Edward Island and $16.35 in Newfoundland and Labrador.
According to the HDC’s 2025 Living Wage in New Brunswick report, the living wage in Fredericton is $26.05 for a family of two adults and two children aged 2 and 7, $24.43 in Moncton and $24.49 in Saint John.
Hatfield acknowledged that raising the provincial minimum wage could create financial pressures for small businesses, non-profits and the care sector. He said any increase should be phased in and predictable, giving employers time to prepare for higher labour costs.
Frédéric Gionet, Canadian Federation of Independent Business (CFIB) director for Atlantic Canada, agreed.
He said the CFIB believes the province should take a more predictable approach to setting the rate.
“Small businesses … don’t have the flexibility that larger companies have to absorb some of these costs,” said Gionet. “So it’s directly passed on to consumers.”
Gionet said higher minimum wages can also affect hiring decisions, particularly when it comes to students and people with little work experience. He said higher labour costs can make employers more cautious about taking on workers who are still gaining experience.
Gionet said a more predictable, formula-based system would give businesses a clearer idea of what their labour costs will look like in the future.
A question posed by the government is whether the minimum wage rates of the other Atlantic provinces should be part of the decision-making process for the minimum wage in New Brunswick.
Gionet said the CFIB asks the premiers to consider coordinating the minimum wage increases and setting wages at the same time to add predictability.
He said many businesses operate in multiple provinces, and ideally there would be one minimum wage across the Atlantic provinces.
The minister of labour, Alyson Townsend, said in a release it is important to the government that minimum wage supports workers while recognizing the realities facing employers.
Consultations will be held with organizations, employers and workers to gather feedback on the minimum wage until Oct. 9.
“Where you stand on any matter depends on where you sit”, said Hatfield. “And if you’re sitting as an employee I think your argument and your stories are compelling, and it’s pretty solid evidence that we need to increase the minimum wage.”
