Alberta minimum wage hike happening too fast, says business group

Alberta Finance Minister Joe Ceci is hearing concernsfrom business leaders about the NDP government's plan to increasethe minimum wage.

• Alberta minimum wage to increase by $1 this October

Ceci says the hike was one of the issues raised Monday in ameeting with the Edmonton Chamber of Commerce.

"They had some solutions in terms of supports they might likesmall business to receive to be able to follow through with that,"said Ceci.

Suggestions included a different pay scale for new or youngemployees or help to businesses to defray the cost of hiring summerstudents.

"There are a number of things but ... there was no conclusion oragreement on any of those."

Janet Riopel, president of the Edmonton Chamber of Commerce,agreed that employees deserve a living wage. But she added theminimum wage is only one of many factors the government shouldconsider to help employees and businesses flourish.

"It's a matter of looking at the overall package of goods thatemployers are actually paying, and also their capacity (to pay),"said Riopel, who noted that businesses provide other benefits alongwith a salary.

"We've encouraged government to slow things down a little bit,to consult more fully with small business."

Hike scheduled for October

Riopel said one solution might lie in training initiatives andother programs "that can perhaps bring in minimum wage on a slowerbasis and recognize as you train employees perhaps you don't paythese escalated rates right away."

Premier Rachel Notley's government is scheduled to raise theminimum wage by $1 to $11.20 an hour on Oct. 1. The rate is to go upto $15 an hour by 2018.

When the NDP's first increase takes effect in October, onlyOntario and the Northwest Territories will pay more to those whoearn the least.

Saskatchewan will be the lowest at $10.20 an hour.

Notley's government has said the increase is needed to ensureemployees can meet basic needs. The government also plans to do awaywith its minimum-wage differential, which pays liquor servers $9.20an hour on the assumption they make up the rest in tips. Alberta isone of five provinces with a differential.

Ceci is touring the province looking for input as he crafts abudget for the current 2015-16 fiscal year. The government is tointroduce the budget in late October.

The province has already passed legislation to raise taxes onlarge corporations to 12 per cent from 10 per cent and to boostincome taxes on the top seven per cent of earners.