Quebec minimum wage to rise
(Jan. 16/08) Quebec’s minimum wage rises 50 cents an hour on May 1, 2008, marking the province’s largest one-time minimum wage hike since 1975. The minimum wage for tipped employees will jump to $7.75/hour while the rate for employees who do not earn gratutities will rise to $8.50/hour.
In the past three years, employers have seen the province’s overall minimum wage grow by 7.4%. At the same time, real foodservice sales have grown only 2.3%, leaving operators with little financial flexibility to absorb the latest wage increase, which comes in at more than 6%.
CRFA’s Council of Chain Restaurants: Quebec (CCRQ) argued that because of the labour-intensive nature of foodservice, dramatic increases in labour costs threaten the viability of many restaurants, leaving operators with little choice but to cut hours and jobs. CCRQ is pleased, however, that the government opted to retain the wage differential, recognizing the greater earning potential of tipped employees.