No fool's gold here

To some Newfoundlanders and Labradorians, April first may seem like the day they hit the jackpot, and that's no joke.

The Provincial government announced last week that the minimum wage for provincially regulated workplaces would be increasing from $7.50 per hour to $8 as of April 1.

In case you're waiting for the "April Fools" to come after it, don't worry, it didn't. In fact this week's increase is just the latest in a series of financial gains over the past few years for those who work for minimum wage in this province. In 2005, the minimum wage was $6 per hour for Newfoundland and Labrador.

The aim of the William's government is to have the minimum wage for the province of Newfoundland and Labrador at $10 per hour by the year 2010.

This latest increase maintains a minimum wage that the provincial government says is comparable to other jurisdictions within Atlantic Canada.

Ironically though, the money is obviously better out west as you don't have to look far to see help wanted signs posted. The recent 33 per cent increase in the minimum wage still can't attract people to the province's work force.

What effect will these increases have on local businesses trying to remain competitive? The money to up these salaries has to come from somewhere. This leaves many local entrepreneurs with little choice but to increase prices in order to make the additional revenue to pay their staff.

In fact, the minimum wage increases aren't stopping yet so employers also have to plan for at least another $2 increase for minimum wage earners over the next two years. Also those employers who pay above minimum wage but aren't paying out $10 per hour will also have to consider government's plan for 2010.

Costs are steadily increasing on everything from groceries to automobiles and homes. If people are going to stay in the province, they have to be able to afford to live. Working out west with your family back on the rock is a way of life some have become accustomed to, but it isn't for everyone. There are those who do not want to leave their family behind for weeks on end, or for various reasons, simply can't. Just because these people choose not to move away or to commute for work doesn't mean they shouldn't be able to enjoy some reasonable standard of living.

Hopefully this latest increase in the minimum wage will be absorbable by entrepreneurs and will give those workers a financial boost they need and deserve.