Alberta Liberals say NDP Minimum Wage hike shortchanges the poor and small business

Alberta Liberal Leader David Khan and MLA David Swann release statement on minimum wage hike:

We support boosting the Minimum Wage to $15 an hour as a stop-gap measure. But Alberta Liberals believe more can be done to help combat poverty and to alleviate business concerns.
We believe a Guaranteed Minimum Income is a better solution for Albertans.

A Minimum Income could lift all Albertans out of poverty, reduce crime and decrease emergency room visits. Alberta needs a Minimum Income pilot project. We are asking the NDP to explore this option.

Short term solutions include earned-income tax credits along with increasing the basic personal exemption from individual tax rates.

Khan stated, “Minimum wage policy is not a silver bullet for the problems of the working poor. $17.70 is the living wage for 2018 in Calgary for a family of four, with two parents working full-time, according to anti-poverty groups.

“Despite an almost 50% increase in the Minimum Wage under the NDP government, many vulnerable Albertans are living on the knife’s edge. The next unexpected car repair or medical bill can cause a financial and family crisis. The Calgary Food Bank says previous minimum wage hikes in Alberta have not done anything to reduce food bank usage.

Khan continued, “Some small business and nonprofits say they cannot afford the hike. They have been forced to reduce employees’ shifts or, even worse, lay off their staff.”

“This Government has stubbornly refused to address the legitimate concerns of employers. Steps can be taken to support the minimum wage increase and mitigate its unintended consequences.

“Business has been asking for a minimum wage differential for youth. That has been successfully implemented elsewhere, and reduces the hit to youth employment.”

Swann says, “Vulnerable Albertans are still struggling to survive pay cheque to pay cheque. That places too many families under tremendous pressure and can lead to increased stress, mental health issues and family breakdown. A living wage allows a household to meet basic needs like food, housing, utilities, transportation and clothing.

“The Government could should create a Fair Wage Commission. That proposal is underway in British Columbia. Stakeholders are developing a plan to bridge the gap between the minimum wage and the living wage. It is also addressing the legitimate concerns of the business community.”