Higgs suggests two-tiered minimum wage
Last Updated: Thursday, January 20, 2011 | 7:20 PM AT
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New Brunswick Finance Minister Blaine Higgs floated the idea of an age-based minimum wage this week at a public meeting in St. Stephen. (CBC)New Brunswick Finance Minister Blaine Higgs is floating the idea of a two-tiered minimum wage.
Blaine Higgs brought up the idea during a pre-budget public meeting in St. Stephen on Wednesday night but he has received little positive feedback from businesses or workers.
The base hourly rate in New Brunswick is $9, and there are plans to increase it to $10 by September.
Higgs suggested keeping the wage at $9 an hour for workers under 18 years old but going ahead with the increase for workers over 18.
Reid Manore, who operates a Tim Hortons shop in Fredericton, said Thursday that about a third of his workers start out at the minimum wage. Creating an age-based minimum wage would save him some money, he told CBC News, but he doesn't think the saving is worth it.
"I think it would be unfair to have a 17-year-old student working alongside a 19-year old employee and not be paid a similar amount, if they're doing the same job," he said.
"I would say we need equality for everyone."
Susie Proulx-Daigle, the president of the New Brunswick Union of Public and Private Employees, also disagreed with Higgs's suggestion.
"I think it would create division and I don't think that would be healthy for the province," she said. "I really think that if we're going look at increasing the minimum wage, it should be for everyone."
The Fredericton Chamber of Commerce agreed. It supports a lower wage for workers who get tips or are being trained but not for workers under age 18.
"It would save small businesses some money, but not a significant amount," CEO Susan Holt said in an interview. "The number of workers under the age of 18 makes up a small portion of payroll for most of our businesses."
She added that many younger workers have part-time jobs, which further decreases the possible savings to business.
"While saving a dollar on their wage helps, the impact, we think, is minimal," she said.
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