Nova Scotia’s minimum wage to increase to $16.50 on Oct. 1

In Nova Scotia, the minimum wage is set to increase significantly over the next year. Starting on April 1, the minimum wage will rise from $15.20 to $15.70 per hour, and then to $16.50 on October 1. This $1.30 raise in a year marks the largest minimum wage increase in the province’s history.

Labour Minister Nolan Young emphasized the importance of addressing the impact of inflation on families across Nova Scotia. The Progressive Conservatives, who campaigned on a promise to raise the minimum wage, are fulfilling their pledge in response to the rising cost of living. Premier Tim Houston views this increase as an investment in the dignity of workers.

According to the provincial government, there were 33,700 Nova Scotians earning minimum wage between April and October 2024. Despite these increases, Christine Saulnier, the Nova Scotia director for the Canadian Centre for Policy Alternatives, argues that the minimum wage is still insufficient to meet the criteria for a living wage. The living wage is estimated to be $24 in Cape Breton and $28.30 in Halifax, according to a report by the research institute.

Saulnier advocates for more significant increases in the minimum wage to bridge the gap between the minimum wage and the living wage. She also suggests that the province should implement policies to support low-income workers, such as investing in social housing and reducing the overall cost of living.

However, the restaurant industry in Nova Scotia has expressed concerns about the impact of the minimum wage increase on their operations. Restaurants Canada has called for additional support from the government to offset the wage hike, including a minimum wage subsidy, a decrease in the small business tax rate, and collaboration with Ottawa to extend or make permanent the HST holiday on restaurant meals.

Despite the industry’s concerns, Saulnier believes that businesses should embrace the minimum wage increase as a way to stimulate economic growth by empowering low-income workers to afford the products and services they offer. She emphasizes the importance of connecting the dots between higher wages and increased consumer spending to benefit businesses in the long run.

Overall, the upcoming minimum wage increase in Nova Scotia reflects a broader discussion about economic fairness and the well-being of workers in the province. It highlights the ongoing need for policies that support both workers and businesses to create a more equitable and prosperous society.