Strathmore businesses not concerned with minimum wage increase
Justin Seward
Times Reporter
When the calendar year turned over to 2014, Alberta, Ontario, PEI, Quebec and Saskatchewan all increased their minimum wages.
Alberta saw the lowest increase at just 1.8 per cent, going from $9.95 to $10.20 an hour, which will take effect Sept. 1.
Even with the small raise, Alberta still has the lowest minimum wage in Canada compared to the highest minimum wage provinces such as Prince Edward Island, who went from $10.20 to $10.35. Ontario leads with an $11 minimum wage.
With Strathmore being a smaller centre, one would think this would be a setback to local businesses and box stores such as Canadian Tire, and popular dining spots such as Original Joe’s.
However, that is not the case, as many chains now pay employees over minimum wage.
“From just specifically our store, it really has no effect because we are hiring at a wage higher than minimum,” said Randy Orford, Strathmore’s Canadian Tire owner. The type of employees that would come close to that wage would be the students, but more experienced employees would be paid more.
“For us it is not a big issue because it is irrelevant except maybe if you are a server in the bar/restaurant industry where tips are a factor,” Orford said.
He believes that wage increases were more substantial in places like Ontario, where he had owned a store previously, as the earnings went up in increments. It affected how many were employed in the store.
“The labour conditions in Alberta, and certainly in Strathmore, are such that we would not hire at the minimum wage,” said Orford.
According to Orford, entry-level employees are being hired and they are often wanting the job to gain experience. Demand for workers in the employment market may also have an effect.
This new minimum wage increase would have to rise substantially for it to have a true impact on working conditions in Alberta.
From a restaurant perspective, Strathmore Original Joe’s General Manager Blake Chayer hasn’t yet considered changing wages for his employees and business.
“The servers actually make a separate wage. They make a lower wage than the minimum and already know that coming in,” said Chayer. “Obviously we have management in different situations and they are making higher.”
“I think we will go with the flow, whatever the minimum wage will be is what we will pay our servers. It is a business at the end of the day,” said Chayer.“ Under different circumstances the kitchen staff are always paid above minimum wage. I am surprised the minimum wage thing did not happen earlier and being in Alberta, we have a pretty good economy. I did not know we were still the lowest.”
Chayer believes that he is pretty generous with his staff.
“I worked in the kitchen for 10 years before I became manager here and I always try to compensate them as much as I can because I realize it is a stressful underpaid job,” he said.