New Brunswick

Minimum wage to be tied to inflation starting in 2018

Premier Brian Gallant has confirmed that New Brunswick’s minimum wage will be indexed to the inflation rate starting sometime next year.

Premier Brian Gallant says indexing of wage to inflation rate will likely begin April 1, 2018

A $10 bill and $5 bill are shown
The New Brunswick minimum wage rises to $11 on April 1 and, sometime in 2018, will be indexed to the inflation rate, Premier Brian Gallant says. (Karin Larsen/CBC)

Premier Brian Gallant has confirmed that New Brunswick's minimum wage will be indexed to the inflation rate starting sometime next year.

That means the wage will rise roughly in tandem with the general level of prices for goods and services.

Gallant said it's safe to assume the indexed increase will take place April 1, 2018, given the three Maritime provinces have agreed that any minimum-wage increases should take place on the first day of April in any year.

Gallant made the comments Thursday while announcing the minimum wage will increase to $11, from $10.65, on April 1 of this year.

"We're going to do it as we promised and we'll have more details on exactly what the mechanism is," he said.

"You can be very certain it will happen as we planned. We understand that this is very important for many workers in our province and we understand that this is going to help their quality of life."

The Liberal platform in 2014's election said the wage would increase to $11 "by 2017."

But the date was put off to April 1 after the Maritime provinces agreed to harmonize their dates.

Gallant had planned to announce the hike to $11 in December but the event was cancelled because of a storm. CBC News reported the planned increase Jan. 3.

ABOUT THE AUTHOR

Jacques Poitras

Provincial Affairs reporter

Jacques Poitras has been CBC's provincial affairs reporter in New Brunswick since 2000. He grew up in Moncton and covered Parliament in Ottawa for the New Brunswick Telegraph-Journal. He has reported on every New Brunswick election since 1995 and won awards from the Radio Television Digital News Association, the National Newspaper Awards and Amnesty International. He is also the author of five non-fiction books about New Brunswick politics and history.