Minimum wage

A buyer meets minimum wage when reading payroll in a labour-heavy business, because the legal floor affects what staff can be paid. Rates change, so this entry states none; read the current rate from the government that governs the employer.

Who sets it

Under the Canada Labour Code, an employer shall pay each employee a wage at a minimum hourly rate that is not less than the rate determined under section 178.1, subject to subsections 178(2) to (5); under section 178(2), if the generally applicable minimum hourly rate of the province where the employee is usually employed is higher, the employer pays at least that higher rate. Ontario’s Ministry of Labour guide says most employees are eligible, whether full-time, part-time or casual and however they are paid, and that some jobs are exempt. British Columbia’s Employment Standards Branch says some employees in specific industries have different minimum wages. Alberta’s government lists minimum wage among its own employment standards laws; check the rules of the province that applies.

What to check

• Which law governs the employer, federal or provincial?
• Whether any employee falls in an exempt group or has a special rate
• Whether pay by commission, piece rate or salary meets the floor; Ontario’s guide says compliance is determined on a pay period basis

See how to check employment records in due diligence and the employment standards act.