Blog: Facts on the Living Wage
Blog: Facts on the Living Wage
As an employer, you may have heard about the Living Wage, and the dollar amount it is set at for BC.
While the Langley Chamber does not advocate for the living wage, and speaks out against rising labour costs and the pressure they put on business, the living wage does garner significant media attention and may be raised by your employees so we are sharing this post to help explain what the living wage is, what it isn’t, and how employers can use it.
What is a living wage?
A ‘living wage’ is the hourly amount that someone needs to earn to meet their basic expenses, including food, clothing, housing, childcare, and transportation.
In BC, it is calculated based on the projected expenses for a ‘sample’ family with two parents working full time (35 hours a week), with two children (ages 4 and 7), one car and a bus pass.
Please note, the living wage is not an official designation by government, but rather a measure developed by the non-profit advocacy group Living Wage for Families BC.
How much is BC’s living wage today?
As you might expect, the living wage is different in different communities across the province, ranging from $20.81 to $28.09. In Metro Vancouver, including Langley, the 2024 living wage was recently calculated at $27.05 per hour.
What is included in the living wage?
Importantly, the living wage calculation is comprised of the hourly wage earned plus employer-paid benefits such as:
- Health and dental plans
- Additional paid time off (anything above mandatory 10 days vacation and stat holidays)
- Phone or internet reimbursements
How is this useful? Why should I care?
The Langley Chamber does not advocate for the living wage, but understands that the Living Wage may be brought to your attention through the media, through its use by your competitors, or through your employees who bring it up -- and we want our members to be informed.
The Living Wage can be useful in regards to employee retention, as it may impact how current and future employees evaluate compensation. Knowing the living wage and how your employee compensation compares can be helpful information in both recruitment and hiring, as well as managing current staff.
In addition, by using the Online Calculator to incorporate benefits and perks already provided, you may determine that you are already paying a living wage, allowing you to explain that with your employees and leverage it in recruitment efforts.