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Minimum wage hike draws little reaction from local businesses

Sep 15, 2016 | 11:34 AM

NANAIMO — The first of two scheduled increases in the minimum wage kicks in Thursday.

The general minimum wage is going up 40-cents, including a cost of living bump, to $10.85 per hour and the liquor server minimum wage is rising to $9.60.

Greater Nanaimo Chamber of Commerce CEO Kim Smythe says there has been little reaction from the business owners he’s spoken with.

“Of course it was announced many, many months ago so I think everyone is ready for it and it’s not a massive raise, it is rather manageable,” says Smythe.

The province will also hike the wage by 30-cents, plus a cost of living amount estimated at 10-cents, on September 15 of next year. Future raises in the rate will be tied to the Consumer Price Index, something Smythe says is the most rational way to proceed.

“It makes sense to a business person because there is a business case for this. Tying it into CPI or tying it into some other key metric needs to be the way forward, I think.”

The increases were first announced in May and the province says they better reflect B.C.’s overall economic growth and ensure all workers benefit from the thriving job market.

Parksville and District Chamber of Commerce executive director Kim Burden says most employers in his region are already paying more than the minimum wage because there seems to be a deficit of employment, so there’s a need to offer better wages to attract workers.

Burden says good on the government for announcing the plan and making it predictable for business owners.

*With files from the Canadian Press