GNWT announces increase to minimum wage, releases survey results

Press Release

July 10, 2024

The Government of the Northwest Territories (GNWT) has announced the 2024 adjustment to minimum wage in the Northwest Territories (NWT). Effective September 1, 2024, the minimum wage will increase from $16.05 per hour to $16.70 per hour. This increase reflects the GNWT’s commitment to ensuring that wages keep pace with the rising cost of living, using a formula based on the percentage change in the Consumer Price Index (CPI) and the average hourly wage for 2023.

In 2022, the GNWT changed the way it calculates and adjusts the minimum wage in the territory. This formula-driven approach ensures moderate and predictable increases to the minimum wage rate, providing stability and certainty to the territory’s business community while helping residents manage the rising cost of living.

In January 2024, the GNWT conducted a public survey to gather feedback on the minimum wage. They survey saw robust participation, including nearly 200 employees and more than 30 employers providing their insights. A What We Heard Report summarizes the feedback received during engagement.

Survey results indicate broad support for annual minimum wage adjustments based on statistical indicators, with many respondents emphasizing the importance of aligning the wage rate with the cost of living. However, most surveyed employees felt that the increase to the minimum wage rate in 2023 using the new formula was too low. Surveyed employers were divided on how they felt about the 2023 adjustment.

Some jurisdictions in Canada adjust their minimum wage rate based on the Consumer Price Index alone. By using this new formula, the NWT’s minimum wage increase in 2024 is larger than it would have been if it was adjusted based on Yellowknife’s Consumer Price Index for 2023 alone.

Quote

“This is the second year that the Northwest Territories has adjusted the minimum wage using a new calculation that results in predictable annual increases. This improved method helps those earning minimum wage keep up with the cost of living in the territory while supporting businesses in attracting and retaining employees.”

-Caitlin Cleveland, Minister of Education, Culture and Employment

Related Links

• NWT Minimum Wage
• Have Your Say: Minimum Wage Annual Survey
• What We Heard Report: Annual Minimum Wage Survey

Quick Facts

• The September 1, 2024 adjustment represents a 4% increase to the minimum wage rate in the Northwest Territories.
• The Consumer Price Index is an indicator of changes in prices experienced by consumers. For 2023, the CPI for Yellowknife was 3.3%.
• The last increase to the NWT’s minimum wage occurred on September 1, 2023 and represented an increase of 5.6%, from $15.20 per hour to $16.05 per hour.
• The minimum wage rate is adjusted annually using a formula based on the percentage change in the Consumer Price Index for Yellowknife and the percentage change in the average hourly wage in the NWT for the preceding calendar year.

For media requests, please contact:

Briony Grabke
Manager, Public Affairs and Communications
Department of Education, Culture and Employment
Government of the Northwest Territories
briony_grabke@gov.nt.ca
867-767-9352 Ext. 71073

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