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Minimum wage boost considered at forum

The B.C. Fair Wages Commission heard from area residents, labour organizations, student representatives and business groups on the issue of increasing the provincial minimum wage on Tuesday.
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The B.C. Fair Wages Commission heard from area residents, labour organizations, student representatives and business groups on the issue of increasing the provincial minimum wage on Tuesday.

The independent commission was in Prince George to gather input on the issue, which will form part of the commission's report to the provincial government on how to proceed with increasing the minimum wage.

"The wage of $15 an hour isn't close to the living wage in this community or any other in B.C," retired School District 57 employee John McLay said. "I see this as a societal issue. For many of these minimum wage earners, this is their career."

McLay said he saw first-hand the negative impact poverty had on children in schools. One of the schools in the city has among the lowest academic performance in the province, according the Fraser Institute, he said, not because of the quality of the teaching or staff, but because of the challenges the students face living in poverty.

"This report (the commission's report to the province) is not about wages, it's about living conditions," he said.

In his view, the minimum wage should increase $2 per year next year, and $1 per year each year thereafter until the $15 level is reached. After that, it should be reviewed and increased on a regular basis in line with inflation.

CNC student representative Cam Solonas said statistics show 58 per cent of college students and 42 per cent of university students are working while attending school. Despite that, many are being saddled with increasing levels of student debt.

"A student working part time can barely afford to pay their living costs," Solonas said. "Cost of living is increasing... tuition is rising, everything but the minimum wage is increasing on an annual basis. Being a student is stressful enough."

The delegation from CNC also raised the issue of unpaid internships, which use the offer of work experience to lure students to work for free.

Aaron Ekamn, secretary-treasurer of the B.C. Federation of Labour, said it's become clear that market forces aren't sufficient to drive wages up.

"The market alone can not be relied on to safeguard for the economy of B.C.," Ekamn said. "I have a tremendous amount of respect for entrepaneuers... but the political rhetoric which has kind of deified enterpaneurs as gods who walk and spread jobs behind them like rainbows isn't helpful."

Workers create value and drive the economy, he said, and currently 500,000 B.C. workers aren't making enough to get above the poverty line.

Ekamn said the longer the process takes to increase the minimum wage, the longer the negative impacts of poverty will be felt by society.

Unite Here Local 40 president Robert Demand and a local UNBC food services employee said that many full-time, long-term employees in the food service industry are surviving on wages below $15 per hour.

"Full time, low-wage workers make the province run," Demand said. "Last Thursday we heard from people who work at YVR (Vancouver International Airport). The average wage for unionized employees at YVR is $13 an hour. For non-unionized employees its in the $12 (per hour) range."

A couple of years ago, a UNBC study estimated the living wage for a family of four in Prince George with two adults working was $16.90 per hour, Demand said. The long-term food services employee said her wage is just over $14 per hour after more than 20 years at UNBC.

"A real living wage, that basic income, that's what they really need. We really need wages coming in around $18-20 an hour," Demand said. "That way workers can work at one job, save a little bit of money, provide for their family. That's not really unreasonable."

Demand said competition for contracts in the food service industry is tight, and companies win contracts by keeping wages low. In addition, the workers who fulfill those contracts often face layoffs if their company loses a bid.

"We've got hundreds of thousands of workers who are making just above the minimum wage," Demand said. "How do we get these people making enough so they can afford to live in B.C. today, not some time in the future?"

Prince George Chamber of Commerce president Corey Naphtali said the chamber isn't against increasing minimum wages, but the increases need to be gradual and predictable.

"A rapid increase to a $15 minimum wage would really negatively impact small businesses," Naphtali said. "The current minimum wage really strikes a balance, allowing workers and businesses to share in B.C.'s economy."

Naphtali said rapid increases to the minimum wage could caused business owners to cut their employees' hours and take on extra work themselves.

In addition, he said, the market is driving an increase in wages locally as businesses compete for skilled workers.

"Our preference would be to extend the time to reach the $15 minimum. Even over eight years, it's four per cent per year," he said. "This isn't the right tool, to have the government impose a $15 minimum wage."

Limiting minimum wage increases to the rate of inflation would allow business owners more time to plan for the rising labour costs, Naphtali said.

Fair Wages Commission chairperson Marjorie Griffin Cohen said the input at the Prince George session was similar, in theme, to that its been hearing in other communities.

While people on both sides of the issue generally agree that $15 per hour is a good idea, she said, they are divided about the timeframe.

The public feedback received at sessions from across the province will be integrated into the commission's final report, she said, but the commission is also looking at other sources of information.

"We have four economic studies we're looking at," she said. "And we're looking at what's happening in other jurisdictions."

Griffin Cohen said one issue facing the commission is there is little data available on the wages earned by farm workers, live-in camp leaders and other exceptions to the normal minimum wage.

Feedback to the commission can be provided online until Dec. 7 at 4 p.m. by going online to https://engage.gov.bc.ca/fairwagescommission/.