The B.C. minimum wage will increase to $16.75 per hour from $15.65 per hour effective June 1, 2023.
An increase in minimum wage only does three things. One is the employer will no longer hire new employees unless a present employee quits and the employer needs a replacement to fill that job. Two is all present employees will have their hours of work reduced. Thirdly, some will end up heading to file a claim for unemployment insurance.
My neighbour works at a fast food outlet. She used to get a free meal each work day. After the last minimum wage increase last year, she had to now pay 50 per cent of the cost for the meal. Her hours of work were reduced, thus her take-home pay was the same even with the wage increase because of less working hours.
The small business owner will now pay more in employer share of CPP and UIC benefits. Vacation pay will increase. Workers compensation amounts will go up. More will be paid for the health employer tax. Some employers who have an employee benefit plan will also see a increase in costs as benefit plans are based on total wages.
The minimum wage increase is going into effect to help the NDP government win the next provincial election which will be called in May 2023 for voting day in June 2023.
Why the election? The NDP website tells it all. The NDP is having fund raising events in all 87 B.C. ridings, with guest cabinet ministers attending the fundraisers. Why spend all this money on travel when the NDP has a 57-seat majority in the legislature.
The NDP has announced all of its spending proposals, the 2023 budget will pass and the announcement of the B.C. Conservative party running candidates in all 87 B.C. electoral ridings which will cause major vote splitting with the B.C. Liberal party, the NDP government must call a provincial election with the odds in their favour.
NDP math is for the small business owner to raise their pricing on items to offset the wage increase. The small business owner math is to cut down on labour expenses and keep the pricing the same with no increases.
Customers in principle agree with higher wages, but on the other hand do not agree paying more for items.
The NDP government has no knowledge of how a small business operates. A real shame, especially when they collect all of the taxpayers’ money.
Unbelievable!
Joe Sawchuk,
Duncan