'Living wage' would be $24.50 in N.B. capital, says anti-poverty group
Rising cost of living is hurting quality of life, say residents
A group that advocates on behalf of people living in poverty says "living wage" requirements have risen again across the province.
The Human Development Council has released its annual report on the pay rates that would be required in order to meet basic needs and maintain a reasonable quality of life in several New Brunswick cities.
The rates are calculated based on the income it would take to cover food, three-bedroom housing, child care, transportation, education and "social inclusion" activities, like extracurriculars and entertainment for a family of four, with children ages two and seven, said Heather Atcheson, a researcher with the Human Development Council, based in Saint John.
Human
Development Council researcher Heather Atcheson says there's 'a huge
gap' between the legislated minimum wage and the wage it would take to
support a dignified quality of life. (Submitted by Heather Atcheson)
Costs are highest in Fredericton, said Atcheson, where a living wage would be $24.50 an hour.
In Saint John, a decent living would require pay of $23.35, according to the council's assessment.
Moncton's latest living wage is calculated to be $22.75.
Bathurst's is $21.65
'A huge gap'
Atcheson noted those living wage rates are a far cry — 47 per cent to 66 per cent — from the current legislated minimum wage of $14.75 an hour.
"There's a huge gap," she said. "People earning minimum wage don't have enough to get by."
As a result many are having to work multiple minimum-wage jobs and make difficult choices such as whether to pay rent or buy food, she said.
CBC News talked to several people on the streets of Fredericton Friday for their thoughts on dealing with the rising cost of living.
'It's just outrageous'
Darlene Munn said she favours raising the minimum wage.
"It's not enough for anybody to live on now," she said.
Munn said she does a lot of cooking and has noticed a big difference in the cost of ingredients.
"It's just outrageous," she said. "Something has to give somewhere."
While prices are going up a lot, pay rates are not, said Munn.
Munn said rising costs are "definitely" having an impact on quality of life.
"Where you used to be able to once in a while get out and enjoy yourself, now you can't," she said. "You've got to budget everything."
Munn said "you just can't get out and enjoy yourself for a visit with family and friends if they're even a little bit of distance away because the cost of gas is unreal and the basic cost of everything is just gone up."
She said she would like government representatives to show more compassion.
"It seems like we're the only ones that are suffering.… The government seems to be doing OK with themselves.… They need to consider the people more."
Derick
Storey says he’s in favour of raising minimum wage. He says even his
union job doesn’t pay the assessed living wage rate for Fredericton, and
a large portion of his paycheque gets eaten up by taxes and the
transportation costs of getting to work. (Pat Richard/CBC)
'Everything goes up'
Asked his opinion on whether the minimum wage should be raised, Ivan LeBlanc said "yes and no."
While that may help people afford current prices, it would ultimately drive prices up even further, he said.
LeBlanc said he and his wife are retired and therefore on fixed incomes.
They're "doing OK," he said but have noticed a "big difference" in the cost of living.
"Every day you go to the store and everything goes up," he said.
In his mind, the ideal solution would be "a freeze on everything."
Carol
Griffin says she feels stores are gouging customers. She says she and
her husband have decent pensions and were able to pay off large bills
before inflation rates spiked, but many people are trying to live on
less than $15,000 a year and she feels that’s not right. She supports a
higher minimum wage. (Pat Richard/CBC)
Lisa Mitchell said she is entirely in favour of a higher minimum wage.
"People are working very hard in the jobs that they have. And when they're not fairly compensated for what they're doing, I think that's a huge problem," she said.
Mitchell said she makes a good salary, but has noticed an impact of rising costs in the last year.
"I have to be careful about the amount of money I'm spending on groceries, how far I go in my car in terms of like saving on gas money. I'm also being very cautious about overspending when I don't have expendable income."
Business
owner Phil Levesque says raising the minimum wage would not be a simple
fix as businesses are also facing higher prices for their supplies, and
many would not survive if forced to pay living wage rates. But he says
the pay gap between CEOs and entry-level workers can’t keep growing
forever. (Pat Richard/CBC)
The university instructor said she knows students who are more seriously affected.
"My support would be towards those young people who are just entering the workforce and making sure that we are taking care of them," said Mitchell.
Atcheson, of the Human Development Council, said she hopes the gap between real wages and living wages can gradually be bridged by raising the minimum wage.
She acknowledged that not every employer would be able to afford to pay living wages.
But she said doing so results in certain payoffs beyond the employee's improved circumstances.
Research shows workers are more productive, take fewer sick days and contribute to the local economy, she said.
With files from Information Morning Saint John