The general minimum wage in New Brunswick increased from $13.75 per hour to $14.75 per hour on the 1st of April 2023. The minimum wage window is raised by the authorities every year, which is a piece of good news for the employees who work on an hourly basis and earn the minimum wage. This article will help you to get complete information regarding New Brunswick’s minimum wage including history, tax rates, deductions, rules and exceptions, and increases.
History of New Brunswick on Minimum Wage
The minimum wage in New Brunswick rose from 1 April 2023 to $14.75 hourly. Since 2016, the minimum wage increasing constantly every year in the first week of April. The record of the last seven minimum wages has been shown below through which you can understand the range up to which authorities used to increase the wages.
- 1 April 2023: $14.75
- 1 October 2022: $13.75
- 1 April 2022: $12.75
- 1 April 2021: $11.75
- 1 April 2020: $11.70
- 1 April 2019: $11.50
- 1 April 2018: $11.25
New Brunswick on Minimum Wage: Rules and Exceptions
All employers at every location are anticipated to pay at least the minimum wage to their employees on an hourly basis. This encompasses employees working on salaries, workers who receive tips, as well as the piece workers, i.e., the workers who are paid according to the quantity produced by them.
Additionally, certain employees do not fall under the regular minimum wage rules, but a special minimum wage rate has been framed for such employees including staff at residential summer camps, counselors, and government employees in construction work. The main reason behind not considering them under the minimum wage category is that these workers do not have any fixed working hours. It is obvious to understand that as per their duty, their working hours fluctuate. So, these employees can be considered as some exceptions to the province’s regulations.
Sometimes employers need their workers to work overtime, but it is important and fair to pay them overtime wage rates to compensate for the extra efforts made by them. Payments that are paid on an overtime basis are always more than the regular payment and, in this case, the minimum overtime pay is 1.5 times the regular minimum wage. As minimum wage rates have been increased on 1 April 2023, it makes overtime wage $22.13 on an hourly basis.
Minimum Reporting Wage
When an employer requests an employee to come to work, they are obligated to compensate the employee with either:
- Payment for a minimum of 3 hours at the minimum wage rate or the minimum overtime rate, depending on which is higher.
- Compensation for all the hours worked at the employee’s standard wage.
Employees who have intermittent and continuous shifts lasting at least 3 hours consecutively are eligible for the minimum reporting wage.
As per the regulations made by the federal government of New Brunswick, the employees are not obliged to work on eight public holidays and those holidays are paid. Employers cannot deduct any amount for these holidays. In case, employees have to work on holidays then they are eligible to be paid 1.5 times more amount than their regular minimum wage.
To be eligible for holiday pay, the employees must:
- Have approved to effort on the public day.
- Have been working for the employer for a minimum of 90 days prior to the holiday.
- Have completed their regular shifts pre- or post-holiday.
Employees who get qualified and ready to work on the off days are eligible to get paid with regular pay in addition to 1.5 times their regular minimum wage on an hourly basis.
If an employee is qualified to work on off days but does not choose to do so, they must be paid with the regular wage for that day.
Tax Rate in New Brunswick on Minimum Wage
In 2023, the personal credit amounts, New Brunswick tax brackets, and federal amounts rose by 6.3 percent, which represents an index factor of 1.063. Personal income rate fluctuates based on the tax bracket.
Tax Slab and Tax Rates on Personal Income in New Brunswick
|Tax Bracket||New Brunswick Tax Rates|
|Over $47,715 up to $95,431||14.00%|
|Over $95,431 up to $176,756||16.00%|
Federal Tax Slab and Tax Rates
In addition to New Brunswick tax rates, federal taxes also have to be paid. Refer to the tabular representation given below:
|Tax Bracket||Federal Tax Rates|
|Over $53,359 up to $106,717||20.50%|
|Over $106,717 up to $165,430||26%|
|Over $165,430 up to $235,675||29%|
New Brunswick Minimum Wage Deductions
These are some payroll deductions that are applicable if you are enrolled in the New Brunswick employment list:
- Worker’s compensation
- Canada Pension Plan
- Federal & Provincial Income Tax
- Employment Insurance
New Brunswick Minimum Wage Increase
In all provinces, New Brunswick included, the minimum wage undergoes an annual review and adjustment based on the Consumer Price Index.
As of April 1, 2023, both the standard and student minimum wage in New Brunswick saw an increase of $1, bringing it to $14.75 per hour.
Minimum Wage in Canada
The table given below mentions the current minimum wage of several provinces all over Canada.
|Province||Minimum Wage Rate|
|Alberta||$15.00 for general workers; $13.00 for students under 18 (less than 28 hrs/week when school is in session)|
|British Columbia||$16.75 for general workers; $16.75 for liquor servers|
|Ontario||$16.55 for general workers; $15.60 for students under 18 (less than 28 hrs/week)|
|Prince Edward Island||$15.00|
|Newfoundland & Labrador||$15.00|
FAQs Related to New Brunswick Minimum Wage
From 1 April 2023, the minimum wage in New Brunswick rose to $14.75 per hour.
Saskatchewan is the province with the lowest minimum wage i.e., $14.00 on an hourly basis.