Millions of working people struggle to cover the cost of housing, food, health care, childcare and other basic necessities for themselves and their families. The best way for the economic future of our province is for Saskatchewan to become a Living Wage province. If all businesses across the province are encouraged and supported to offer their employees a Living Wage, everyone would have the opportunity to achieve enough money to cover their basic needs.
Currently, the minimum wage in Saskatchewan is lower than what is considered to be a living wage for most communities. A living wage is based on the cost of living in a specific community and delivers an income that meets necessary expenditures and allows families and individuals to participate in all aspects of life — be it work, recreation or community activities including education and sport.
A living wage reverses the trend of the declining real value of minimum wage and creates a minimum income threshold that more accurately accounts for the cost of living today. Necessities like food, shelter, childcare and transportation are all included when calculating a living wage. This approach generates a wage, which allows for a family to live a healthy and secure life.
According to some recent Living Wage reports, a Living Wage in Regina would be $16.46 per hour, while a Living Wage in Saskatoon would be $16.77. A limitation of having a minimum wage, over offering a living wage, is that a minimum wage doesn’t increase the incomes of the lowest income group in our community. Right now, when the minimum wage increases, it actually can push inflation costs onto other families in the community.
Based on those employers who have secured their Living Wage certification, these employers have found that implementing a living wage has increased their employee recruitment and retention. A living wage allows families to participate in the social, civic and cultural lives of their communities. They support local business and participate in community events.
Most importantly, raising wages is affordable for businesses — as employers are able to absorb the costs of a wage increases through higher worker productivity and lowered administrative costs. Communities across Canada are responding to the increasingly high levels of low wage poverty. There are businesses who have been innovative enough to embrace becoming a Living Wage employer.
Especially right now, when many families are ‘burning the candle’ at both ends just to ensure they are making enough to make ends meet — it is time for more businesses to be innovative and bold and consider being a Living Wage employer.
