Effective January 1, 2009, the minimum wage will increase by 50 cents to $8.50 per hour. This increase marks an important step in the Provincial Government meeting its commitment to achieve a minimum wage of $10 per hour by 2010.

"This change is a progressive move forward in addressing the changing labour environment in Newfoundland and Labrador," said the Honourable Susan Sullivan, Minister of Human Resources, Labour and Employment. "The manner in which we achieve a $10 minimum wage will assist employers in planning for and adjusting to the increase over the next two years."

In early 2008, the Provincial Government hosted extensive consultations on the minimum wage. Following its consideration of the views of employers and workers, Government announced its plan to increase the minimum wage through a schedule of four 50-cent increments beginning on January 1, 2009. This increase will be followed by a further 50 cent increase on each of July 1, 2009, January 1, 2010, and July 1, 2010.

"Our government recognizes that the people of this province are concerned about the global economic downturn," said Minister Sullivan. "The importance of increasing earned incomes in the province is one of our goals with the Poverty Reduction Strategy. We also recognize that working in partnership with business and labour is important in meeting the needs of people and working to grow Newfoundland and Labrador."

For more information on the minimum wage or other labour relations matters, visit www.hrle.gov.nl.ca/lra or call 729-2715.

Media contact:

Ronalda Walsh
Director of Communications
Human Resources, Labour and Employment
729-0753, 699-7903
ronaldawalsh@gov.nl.ca