Minimum Wage in Alberta 2025: What You Need to Know

Last Updated on May 12, 2025

In a province known for oil sands, wide-open skies, and fierce debates about resource development, another hot-button issue is quietly simmering in households and workplaces across Alberta — the minimum wage.

Whether you’re a student trying to pay rent in Calgary, a single parent balancing bills in Edmonton, or an employer navigating payroll in Red Deer, the minimum wage touches lives in real ways. In 2025, Alberta continues to hold steady with a minimum wage that hasn’t changed since 2018. And while many other provinces have moved forward, Alberta’s minimum wage has stayed put — raising questions about affordability, equity, and economic strategy.

Let’s unpack the full picture — from where Alberta’s minimum wage stands today to how it compares nationally, who it affects most, and where things might be headed.

Alberta’s Minimum Wage in 2025: A Breakdown

The general minimum wage in Alberta for 2025 remains $15.00 per hour, a figure that has not changed since 2018. This applies to most adult workers, but some exceptions exist. Students under 18 who work part-time can legally earn $13.00 per hour for the first 28 hours of work per week. Other roles, such as commission-based salespersons and live-in domestic workers, are covered under different wage structures — weekly or monthly minimums. While Alberta was once ahead of the curve with its early adoption of a $15 wage, the lack of increases in recent years means that it now lags behind many other jurisdictions in Canada. Critics argue that without periodic updates, the wage no longer reflects current economic realities.

A Look Back: How We Got Here

The journey to Alberta’s current wage structure was driven by political will and public advocacy. Between 2015 and 2018, the provincial government under the NDP rolled out a progressive plan to raise the minimum wage from $11.20 to $15.00 per hour. This bold move garnered attention across Canada and put Alberta at the forefront of wage policy. However, since the final increase in 2018, there has been no further adjustment to reflect inflation or cost-of-living changes. This stagnation, paired with rising living expenses, means the purchasing power of minimum wage earners has significantly declined, putting pressure on low-income workers.

Inflation vs. Minimum Wage: The Shrinking Paycheque

Over the years, inflation has steadily eaten away at the value of Alberta’s minimum wage. While workers may still receive $15 per hour in nominal terms, what that amount can actually buy has diminished considerably. When adjusted for inflation, today’s minimum wage is worth about $12.20 in 2018 dollars. This erosion of real income means workers can afford less — from groceries and rent to transportation and utilities. The gap between stagnant wages and rising costs illustrates the importance of adjusting wages regularly to protect the financial stability of low-income earners.

What is a Living Wage in Alberta?

A living wage represents the income a worker needs to meet basic necessities and maintain a modest standard of living without relying on public assistance. Unlike the legislated minimum wage, living wage figures are calculated based on real costs — including rent, transportation, food, clothing, and childcare. In Alberta, the living wage is substantially higher than the minimum wage. As of 2024, Calgary’s living wage was $23.70/hour, while Edmonton’s was $22.25/hour. This discrepancy highlights the reality that even full-time minimum wage workers may struggle to meet essential needs in Alberta’s urban centres.

Comparing Alberta to the Rest of Canada

Alberta’s static minimum wage now places it behind several other provinces and territories. Jurisdictions like British Columbia and Yukon have implemented regular increases indexed to inflation, keeping their wages above $17/hour.

This shift leaves Alberta less competitive, especially when combined with high living costs in cities like Calgary and Edmonton. For workers, it raises questions about where they can afford to live and work. For businesses, it could mean difficulty attracting and retaining talent, especially younger or mobile workers who have more options across the country.

Here’s how it compares across Canada in 2025:

Who’s Affected the Most?

Minimum wage earners are not a monolithic group — they include a wide range of people, often from vulnerable or marginalized communities. Young workers, particularly those in retail or hospitality, make up a significant portion. Women, recent immigrants, and racialized individuals are also overrepresented among minimum wage earners. These groups may face systemic barriers to higher-paying opportunities and are more likely to work part-time or temporary jobs without benefits. As a result, they are disproportionately affected by stagnant wages, making wage policy a matter of equity and social inclusion.

The Business Perspective: Challenges and Trade-offs

Employers, especially small business owners, often express concern over mandated wage increases. Rising payroll costs can squeeze margins, particularly in industries with high labor intensity like food service or retail. Some fear they’ll have to reduce staff hours, increase prices, or even shut down. On the other hand, a growing number of business owners argue that paying workers fairly is a long-term investment. Higher wages can lead to improved morale, lower turnover, and better customer service — all of which contribute to a healthier business. The challenge lies in finding a balance between fair compensation and business sustainability.

Economic Impact: Are We Losing Jobs or Gaining Stability?

The economic impact of raising minimum wages is hotly debated. While some studies predict job losses — particularly among youth and entry-level workers — others show that moderate increases have minimal impact on employment levels. In Alberta, there was a brief slowdown in youth employment following the 2018 wage hike, but broader economic indicators remained positive. Advocates argue that higher wages reduce poverty, stimulate consumer spending, and decrease reliance on government programs. Ultimately, the effects depend on the pace of increases and the broader economic context in which they occur.

The Political Landscape: Will Alberta Raise the Minimum Wage?

Minimum wage policy is deeply intertwined with political ideology. The Alberta NDP has historically pushed for higher wages and inflation indexing, arguing that no full-time worker should live below the poverty line. Meanwhile, the UCP has taken a more conservative approach, prioritizing economic growth and job creation. As of 2025, there are no confirmed plans to increase the minimum wage, but advocacy groups and opposition parties continue to pressure the government. With a provincial election looming, the minimum wage could once again become a central campaign issue.

What Needs to Happen Next?

To ensure wage policy keeps pace with reality, Alberta needs a multi-pronged strategy. First, the province should consider indexing minimum wage to inflation — a measure already adopted in other regions to ensure consistent and fair adjustments. Second, revisiting special exemptions like lower student wages could address concerns about fairness. Finally, providing transitional supports for small businesses, such as tax credits or grants, can ease the financial impact of wage increases. A well-planned approach can create a more equitable economy without sacrificing competitiveness.

More FAQs About Minimum Wage in Alberta

Here are answers to common queries about minimum wage in Alberta:

Conclusion: Is Alberta Falling Behind?

Alberta was once the national leader in minimum wage, setting a bold precedent with its $15/hour policy in 2018. But by 2025, that leadership has faded. As inflation drives up costs and other provinces take action, Alberta risks falling behind not just in wage standards, but in the quality of life for its most vulnerable workers. Addressing the minimum wage issue will require political courage, economic planning, and a recognition that fair wages benefit everyone — from workers to businesses to communities. The question isn’t whether Alberta can afford to raise the minimum wage — it’s whether it can afford not to.