Minimum Wage to Increase to $16.70 in the Northwest Territories
On July 10, 2024, the Government of the Northwest Territories announced that, effective September 1, 2024, the minimum wage in the Northwest Territories will increase from $16.05 per hour to $16.70 per hour.
Since 2022, the Government of the Northwest Territories has used a formula-driven approach to calculate and adjust the minimum wage based on the percentage change in the Consumer Price Index (CPI) and the average hourly wage for the previous year.
All employers are required to pay their employees at an hourly rate equal to or greater than the prescribed minimum wage. This means that any employee currently earning less than $16.70 must have their hourly rate increased to at least $16.70 starting September 1, 2024. If your employees are already earning $16.70 per hour or more, no action is required.
Employers who fail to comply with the obligation to pay their employees an hourly equal to or greater than the minimum wage expose themselves to complaints before the Employment Standards Office or may be found guilty of an offense under the Employment Standards Act and subject to a fine.
For any questions on this subject or to discuss any labour or employment issues with one of our lawyers, please contact the Yellowknife office.