The Liberal government will be giving federal workers a wage boost on the same day the carbon tax is set to hike.
Approximately 30,000 employees at federally-regulated workplaces are poised to see their minimum wage increase from $16.65 to $17.30 per hour, starting April 1, 2024. Affected workplaces include airports, banks, post offices as well as most Crown corporations.
“If the feds are going to do this then they better find savings by ending the bonuses at failing Crown corporations,” Canadian Taxpayers Federation federal director Franco Terrazzano told True North.
The government claims that the 3.9% increase is a direct response to the rising cost of living, closely mirroring the increase in Canada’s annual average Consumer Price Index for the year 2023.
Meanwhile, Canadians brace for the impact of higher costs at the gas pumps, coinciding with the federal government’s decision to increase the carbon tax.
The tax hike, also set to take effect on April 1, raises the cost for greenhouse gas emissions from $40 per tonne to $50 per tonne, marking a significant step in the government’s ambitious climate change strategy.
This move, however, is expected to further drive up prices, not only for fuel itself but also consumer products that require fuel to ship them to points of sale.
With the hike, the federal minimum wage will be higher than those currently in place in every province and territory in Canada, except for Nunavut, where it’s $19 per hour.
Ontario’s minimum wage is currently $16.55; British Columbia’s is $16.75; and Quebec’s is $15.25.
Prime Minister Justin Trudeau has vastly expanded the size of the government since he was first elected in 2015.
Data analyzed by the Canadian Taxpayers Federation show that the public sector saw an increase of 100,000 new employees over the span of Trudeau’s time in office.
Additionally in the last two years, taxpayers have had to pay 31% more in costs associated with federal workers.
