BC’s Minimum Wage Increase Will Lead to Labour Cuts, Higher Prices, Small Businesses Warn

Vancouver restauranteurs raise concerns over unintended consequences, with consumers bearing the brunt of rising costs

Workers prepare drinks in The Chickadee Room, the sister cocktail bar of Juke Fried Chicken, in the Chinatown neighbourhood of Vancouver. Photo courtesy of Juke

VANCOUVER—As labour groups praise the B.C. government for pushing the minimum wage up from $15.20 to $15.65 an hour, small businesses say the move will lead to unintended consequences, including cuts to their workforce and further price jumps for consumers amid rising inflation.

“It’s been very difficult, especially in an environment where the margins are slim to begin with,” Matti Rikkinen, owner of Robba Da Matti restaurants in Vancouver, said in a phone interview.