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Wage hike will cost jobs
Alberta’s minimum wage recently increased $1.40 to $13.60 an hour, so a report by the C. D. Howe Institute couldn’t have come at a better time.
The report, authored by University of Alberta economics professor Joseph Marchant, predicts the NDP government’s plan to raise the minimum wage to $15 by October 2018 could result in the loss of 25,000 jobs as employers respond to steeper labor costs. A similar number of workers have already lost their jobs since the policy was implemented, says the report.
Marchant said Alberta should have timed its minimum wage increase with upward movements in energy prices. Instead, they’ve been imposed as employers are being roiled by the recession. The policy, he adds, was initially paired with a tax credit to help create jobs. The tax credit was never fully implemented and was discontinued in April 2016.  Full Story >
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