The federal minimum wage is set to increase by 40 cents next week as part of an annual adjustment to keep pace with inflation. Starting April 1, the minimum wage will be raised from $17.75 to $18.15 per hour, according to an official announcement made by the government on Tuesday.
This adjustment is based on Canada’s annual average consumer price index from the previous year, which stood at 2.1 percent in 2025. The new wage is then rounded up to the nearest five-cent increment as per the standard practice.
The federal minimum wage was first introduced by former Prime Minister Justin Trudeau’s government in 2021 and applies to employees working in federally regulated sectors such as transportation, banking, and telecommunications.
It is important to note that most workers in Canada are governed by their respective provincial or territorial minimum wage rates, which vary across the country. These rates range from a high of $19.75 in Nunavut to a low of $15 in Alberta.