Minimum Wage Increases – 2019
Last year, we wrote to you regarding the planned increases to the minimum wage in British Columbia, and the impact these increased wages would have on Strata Corporations.
Clients all over the lower mainland have had to increase budgetary line items (and strata fee contributions) to account for the increase in minimum wage. Those in and close to Vancouver have been particularly hard hit, as the actual cost of living in and around the downtown core has skyrocketed well past typical inflation markers and employers are scrambling to retain good employees by increasing wages even beyond the statutory minimums.
Needless to say, Strata Corporations will have to absorb this increase when considering budget planning for the coming years- and further increases are expected until 2021. We recommend taking this into account when planning your budgets, as many of the services you utilize are directly tied to minimum wage, and moreover, we’re seeing all wages rise even for skilled labourers making well above minimum wage. We are living in an unprecedented “labour crunch”- even with the slowdown in new construction, costs are increasing and prudent Strata Corporations will plan accordingly.