Canada | Annual federal minimum wage adjustment

The Canadian government announced an increase to the federal minimum wage, effective April 1.

Key Points:

• Effective April 1, the federal minimum wage will increase to CA$17.75 (about US$12.40) per hour, representing an increase of 2.4%.
• According to the announcement, the increase affects workers in federally regulated private sectors, and should the provincial or territorial minimum wage rate exceed the federal rate, employers must pay the higher of the two.

Additional Information: Increases to the federal minimum wage are based on Canada’s Consumer Price Index for the previous calendar year, as published by Statistics Canada. Employers should take the new minimum wage into account when planning their 2025 budgets.

This alert has been provided by the BAL Global Practice Group.

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