The CEO of the Moose Jaw & District Chamber of Commerce says the recent increase to Saskatchewan's minimum wage is going to have an impact on local businesses.  

The province increased the minimum wage from $11.81 per hour to $13 as of October 1.

Rob Clark believes the change was necessary for minimum wage workers, however, it could mean increased salary costs for other employees as well. 

"Minimum wage should be increased,” he said. “For the businesses, if you have half a dozen employees over the course of a year, that can be quite an impact to your budget. It's sort of a slippery slope there for businesses. They have to also, probably, the ones that have actually been loyal to the different businesses or the organizations they're working for, they've probably separated themselves from minimum wage because of their loyalty and some seniority. Now the businesses also have to pick up that gap."  

Clark notes businesses may be forced to lay off employees to cover the increased cost.  

"There's some other budget cuts they would be making. That could even be through an FTE [full-time equivalent] or a part-time person, or else they just put it onto the consumer. Right now, the way things are going up in gas and interest and everything else, it's actually not a very good time to be happening for any of those businesses, whether it's the food industry or any type of retail, it's not really a good time to be adding more cost to consumers."  

Back in May, the Government of Saskatchewan announced a plan to have the minimum wage increased to $15 per hour by 2024. The plan includes increases to $14 on October 1, 2023, and $15 on October 1, 2024.