Province pledges minimum wage review as workers face challenge

Many New Brunswickersworking full-time for minimum wage are likely having a difficult time making ends meet when taking into account the basic cost of living, according to a CBC News review.

The provincial government announced last week it was moving forward with a public consultation process that wouldask citizens about the minimum wage and employment standards.

Minimum wage is $10.65 and the provincial government will be raising it to $11by 2017.

That will be good news for many people who are currently earning minimum wage.

StephenComeauworks at the Saint John Ale House and makes a little over minimum wage, roughly $11 per hour.

Even at that, Comeau said paying the bills can be difficult.

"I have enough to get by," he said.

"But it's just I don't have any extra money to be tossing around too much, you know what I mean?"

In fact, he is moving in with his parents to be able to save a little more so he can go back to school.

"Obviously, Idon't want to be just having an average job for the rest of my life," he said.

ButComeauis one of the lucky ones: he is young and single, without any dependents or many expenses.

CBC compared the Human Development Council's Market Basket Measure, a measure of the bare minimum needed to get by, with what someone working full time on minimum wage would make after taxes.

The numbers are sobering.

Asingle person, such as Comeau, would need toearn roughly $1,500 more just to make ends meet in Saint John.

Single parents fare worse

Making ends meet is even harder for people with children.

In fact, for a single parent with three children, minimum wage provides less than half the money needed for basic survival.

Minimum wage earners will make $16,572 per year after taxes, but in order to care for their children in Saint John, theyneed roughly $36,000.

This is only minimum wage income, however, and doesn't include any government assistance for low income individuals with children.

In Moncton, the situation is roughly the same, but in Fredericton, the number is slightly higher: theyneed roughly $36,000 to care for children.

Dual incomes offer more disposable funds

The only situation where minimum wage lifts peopleabove the Market Basket Measure is if two people both work and they either haveone child or do not have any children.

If they are both making minimum wage, living in any of the three major cities, and have no children, they will make roughly $8,000 per year more than they need to survive.

If theyhave one child, they will make around $2,500 more than you need.

These numbers are similar whether people live in a rural or urban area, but it is slightly more expensive to live in Frederictonthan it is inSaint John or Moncton.

Note on the methodology:

CBC Newsmultiplied minimum hourly wage by an average 35 hours per week, 52 weeks per year, subtracting federal and provincial tax and EI benefits.

The Market Basket Measure (MBM) from 2010 was used to estimate living costand then adjusted according to inflation for 2016.

No government assistance or benefits weretaken into account. Nochildcare costs, health insuranceor emergency spending were added.