In its submission to the Select Standing Committee on Finance and Government Services for the 2027 B.C. Budget consultation, Living Wage BC urged the provincial government to adopt practical, evidence-based steps to reduce working poverty, strengthen public services and advance equity.
In Living Wage BC’s 2027 B.C. Budget consultation submission, Managing Director Navdeep Chhina outlines three steps the provincial government can take to reduce working poverty, improve workforce stability and strengthen public services.
In its submission to the Select Standing Committee on Finance and Government Services as part of the 2027 B.C. Budget consultation, Living Wage BC set out three practical steps the provincial government can take now to reduce working poverty and move closer to a province where work provides the foundation for a decent life.
In a province where the government projected moderate economic growth in 2025, hundreds of thousands of people are working full-time and still being priced out of basic life. That should be unacceptable. A living wage is the hourly rate a person needs to cover essentials like rent, groceries, child care and transportation without being pushed into constant financial strain. It reflects what it actually costs to live in a community — and for far too many people in B.C., that threshold remains out of reach.
New Statistics Canada data obtained by BC Policy Solutions and Living Wage BC shows that more than 775,000 people working in B.C. — roughly one in three — earn less than the living wage in their communities. In Metro Vancouver, the 2025 living wage is $27.85 an hour, while B.C.’s minimum wage as of June 1, 2026 is $18.25. That gap is not abstract. It shows up in impossible daily choices between rent and food, heat and medicine, or childcare and transportation. It also reflects deep inequities: women and people from racialized communities are disproportionately represented in low-wage work, including nearly half of racialized women in Metro Vancouver earning less than the local living wage.
Living Wage BC’s recommendations to the B.C. government
1. Commit to becoming a Living Wage Employer
The B.C. government has an opportunity to lead by example by committing to become a certified Living Wage Employer. More than 500 employers across the province have already made that commitment, showing that paying a living wage is both achievable and beneficial. A provincial commitment would help ensure that direct employees and contracted staff are paid at least the local living wage, including many people in low-paid roles that keep public services running.
This does not need to happen all at once. A strong first step in Budget 2027 would be funding a scoping study to map the costs, logistics and phased implementation of a living wage policy across ministries, Crown corporations and service contracts. That approach would allow government to move forward carefully, budget responsibly over time and target the greatest wage gaps first. It is a fiscally prudent way to reduce working poverty while strengthening public services.
Paying a living wage is not only about fairness. It is also a smart workforce strategy. Living Wage BC has found that 97% of certified employers report positive outcomes from raising wages, including improved recruitment, lower turnover and higher morale. For government, those gains can translate into more stable staffing, lower training costs and better service delivery for people across the province.
2. Pilot living wages in poverty reduction programs
A second practical step would be to launch a living wage pilot in selected programs funded through the Ministry of Social Development and Poverty Reduction. Many people working in community social services and anti-poverty programs are themselves paid less than a living wage, especially when services are delivered through contracted providers. That contradiction should concern all of us.
A targeted pilot would allow government to test what happens when frontline staff in one or two key programs are paid a living wage. It could measure retention, recruitment, service quality and workforce stability, generating real evidence for future budget decisions. This is how responsible organizations make change: they start with a focused pilot, learn from the results and expand what works.
3. Build living wage standards into contracts and funding
The Province can also take action through procurement and funding. When public dollars pay for cleaning, food services, care work, security or other contracted services, those dollars should not subsidize poverty wages. Embedding living wage requirements into new contracts and funding agreements would help ensure that the people delivering public services can afford to live in the communities they serve.
This matters for equity as well as service quality. Many of the lowest-paid contracted roles are disproportionately held by women, immigrants and people from racialized communities. Raising wages in these sectors can reduce wage gaps, improve continuity in public services and create more stable working conditions. Other B.C. jurisdictions, including New Westminster, have shown that living wage commitments can be sustained over time and integrated into operations.
B.C. can’t afford to ignore working poverty
Living Wage BC’s recommendations to the B.C. government are straightforward: begin with a scoping study, pilot living wages in key poverty reduction programs and embed fair wage standards into contracts and funding. Presented by Managing Director Navdeep Chhina to the Select Standing Committee on Finance and Government Services as part of the 2027 B.C. Budget consultation, these proposals would make a provincial living wage policy tangible, practical and achievable — while reducing working poverty, improving workforce stability and strengthening public services.
“Working poverty is not inevitable. It is the result of policy choices, procurement choices and funding choices that can be changed,” says Tiffany Ottahal, Director, Solidarity Economy at Vancity Community Foundation. “A living wage policy is a practical way for government to align public dollars with public values — supporting economic security, reducing inequities and strengthening the services communities rely on.”
If B.C. is serious about reducing poverty, supporting families and building stronger communities, it cannot leave wages out of the conversation. Work should provide the foundation for a decent life — not trap people in constant instability. A living wage must be part of the solution, and the Province has the tools to act.
Further reading:
Are you a business interested in becoming a Living Wage Employer. To become one, visit our Employers' Page to find out more information on the application process.
Questions?
Please feel free to get in touch.
236-885-7583
[email protected]