20 Nov Living Wage on the Sunshine Coast jumps to $26.42 per hour

A spike in the region’s cost of living has led the Sunshine Coast’s living wage to rise to $26.42 per hour in 2024, a 3.16 per cent increase from last year’s rate of $25.61, the 2024 Living Wage Update report shows.

The living wage, calculated by the Sunshine Coast Foundation, Canadian Centre for Policy Alternatives (BC Office), and Living Wage BC, is the hourly rate that each of two parents working full-time must earn to support a family of four based on the actual costs of living in a particular community.

Other communities across the province have seen significant living wage increases as well, including Kamloops (up 13.3 per cent), Fraser Valley (up 12.4 per cent), Comox Valley (up 10.6 per cent), Salt Spring Island (up 7.8 per cent), Squamish (up 6.5 per cent) and Powell River (up 5.7 per cent).

The financial relief provided by government measures, such as affordable childcare programs and increases in income-tested benefits, was intended to help offset rising costs, but is outpaced by the rising cost of essentials, like rent, food, and transportation.

“Rent has been the most expensive item in the living wage family budget since the calculation was first produced, and this year is no exception,” says Iglika Ivanova, Canadian Centre for Policy Alternatives, BC Office senior economist and the report’s lead author.

At $2,826 per month, shelter remains the most expensive essential for the Sunshine Coast living wage family. However, the increase of 3.7 per cent—an additional $100 per month—didn’t represent the biggest change over 2023’s living wage. At 7.6%—an additional $41 per month—transportation costs had the biggest jump between 2023 and 2024. This was caused by the cost of ferries, which were included in the Sunshine Coast’s living wage calculation for the first time.

“Despite a reduction from historic inflation levels, the cost of living in BC is still rising swiftly,” says Erin Storey, Executive Director of the Sunshine Coast Foundation. “It’s clear that daily life on the Sunshine Coast is becoming more costly, with an increasing number of families relying on local charities for essential needs and these organizations are finding it challenging to keep up with the growing demand for their services.”

Positioned between Powell River ($26.49 per hour) and Salt Spring Island ($26.25 per hour), the Sunshine Coast’s living wage of $26.42 per hour is the ninth highest in the province. This is down from 2023, where it came in as the fifth highest. Of the 25 communities that participated in the 2024 Living Wage Update, the highest living wage was reported in Whistler ($28.09 per hour), followed by Clayoquot Sound ($27.42 per hour), and Metro Vancouver ($27.05 per hour).

The living wage is distinct from the minimum wage, currently $17.40 per hour in BC, which is the legal minimum an employer must pay their workers set by the BC government. The living wage always surpasses the minimum wage, and there is now a $9 gap between the minimum wage and the living wage on the Sunshine Coast.

“Hundreds of thousands of BC workers earn less than the living wage and face impossible choices like buy groceries or heat the house, keep up with bills or pay the rent on time.” says Anastasia French, Provincial Manager of Living Wage BC. “Racialized workers and women are disproportionately affected by low wages in a region where the cost of living keeps climbing.”

Over 450 certified living wage employers across the province, including 13 on the Sunshine Coast have stepped up to pay both direct and contract employees wages sufficient to support families

The Sunshine Coast’s living wage calculation is based on the needs of two-parent families with young children, but it is also meant to support all workers so that young adults are not discouraged from having children because of low wages and older workers have extra income as they age.

The living wage affords a decent, but modest, standard of living without the extras many take for granted. It does not cover credit card, loan or other debt payments, savings for retirement or for children’s future education or the costs of caring for a disabled, seriously ill or elderly family member.

For a full list of participating living wage communities and living wage employers in BC, visit: www.livingwagebc.ca