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Minimum wage in NWT set to increase by a quarter

New bottom-tier income to come into force Sept. 1 with new wage becoming $16.95 per hour
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Minimum wage in the Northwest Territories is set to increase by a quarter on Sept. 1. NNSL file photo

Northerners working for the minimum wage are set to get a government mandated raise this September as the GNWT has announced an increase to the minimum wage.

As of Sept. 1, the minimum wage will rise 25 cents from $16.70 to $16.95.

"This increase is based on the percentage changes in the Consumer Price Index (CPI) and the average hourly wage for 2024," stated Education, Culture and Employment communications manager Agata Gutkowska. "In 2022, the Government of the Northwest Territories (GNWT) changed the way it calculates and adjusts the minimum wage.

"The new method has ensured moderate and predictable increases to the minimum wage rate, which helps provide stability and certainty for the territorySA国际影视传媒檚 business community while helping residents of the NWT keep up with the cost of living."

Gutkowska said a public survey was conducted online from Jan. 30 to Feb. 27 to gather feedback. A total of 210 employees, 29 employers, and 11 others completed the survey. The report states only a third of businesses agree with the new formula and more than 70 per cent of businesses who pay people minimum wage disagree with it entirely.

Almost the same number of minimum wage employees said they agree with the new formula.

Gutkowska also noted the increase was much smaller than last year's increase of 65 cents per hour because the rate of inflation in Yellowknife had dropped from 3.3 per cent in 2024 to 1.9 per cent in 2025.

Before taxes, a minimum wage earner who works a full time job can expect to earn $678 per week or $2,712 per month. Canada Mortgage Housing Corporation lists the average rent in Yellowknife at $1,974 per month, meaning after covering the costs of shelter a person making minimum wage would have $738 left over to cover all other expenses, including income taxes.



About the Author: Eric Bowling, Local Journalism Initiative

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