Minimum wage essay

Canada adopted the document Fairness at Work: Federal Labour Standards for the 21st Century to guide its contemporary labor practices. The Canadian Constitution mandates the ten provinces and three territories with duties to enact and enforce labour legislations including setting minimum wage (Colvin, 2018)1. Generally, Canadian workers earn higher wages according to the global standards. Minimum wage helps employees and their families to live comfortably thus enabling them to counter inflation and high cost of living. Higher minimum wage is used to fight poverty hence positioning the country into a path of prosperity. The Code acknowledges the importance of setting minimum wage as a tool of enhancing human development. Eradication of Poverty Labour unions believe that minimum wage is essential in ensuring that workers are not paid poorly.

The government ensures that all factors have been taken into considering when enacting minimum wage rates. Thus, minimum wage is used to fight poverty and inflation (MaCurdy, 2015)4. Most Canadians are living above poverty line because of the restrictions that have been imposed by the minimum wage regulations. These institutions claim that it is the workers who suffer the most when firms hike prices or close down. Therefore, higher minimum wage does not help workers. Conclusion Minimum wage is one of the recommended basic labor practices. It ensures that workers enjoy fair employment terms. Higher wages help employees and their families to live above poverty line as well as fighting inflation. Routledge. Fortin, N. M. , & Lemieux, T. Changes in wage inequality in Canada: An interprovincial perspective.