P.E.I. minimum wage increases should be even higher: Federation of Labour
'We can't have everybody working for nothing that they can't make an existence and live'
Increases in P.E.I.'s minimum wage planned for next year are good, and should be even higher says P.E.I. Federation of Labour president Carl Pursey.
Some of them live in million-dollar houses and they are saying they can't afford to pay any more money.— Carl Pursey, PEI Federation of Labour
The Island's minimum wage will increase from $10.50 to $10.75 an hour on June 1st next year, and to $11.00 on Oct. 1.
"We can't have everybody working for nothing that they can't make an existence and live," said Pursey.
READ MORE ON THIS STORY:
- Minimum wage debate rages on in P.E.I.
- P.E.I. minimum wage moving to $11
- Minimum wage increases bad for business: Chamber of Commerce
- P.E.I. minimum wage increases irk restaurant industry
Pursey disagrees with the position of business and industry groups who have come out against the increases.
"A lot of them are just trying to keep the wages down. Some of them live in million-dollar houses and they are saying they can't afford to pay any more money," said Pursey.
Some have expressed concern that it could force some businesses to close, reduce hours or staffing levels, but Pursey said he doesn't buy that.
He said if the minimum wage was increased to 14 or 15 dollars an hour, it would be a boost to the economy.
"Fellas making $10 an hour aren't going to restaurants, they are not buying new cars or anything else. But if they made more money, they will spend it as fast as they make it," Pursey argued.
And more opposition to the minimum wage increases came today from the Retail Council of Canada.
The council has written the premier expressing concern about what it calls "P.E.I.'s troubling practice in recent years of introducing multiple minimum wage increases in a calendar year."
It says raising the minimum wage does little to improve the financial situation of low-income earners.
It says if the P.E.I. government wants to effect positive change in the lives of lower-income earners, it should consider raising basic personal and spousal exemptions before a person pays income tax.