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On April 1, 2026, the federal minimum wage will increase from $17.75 per hour to $18.15 per hour.
This change will only apply to federally regulated public and private sector employers, such as those engaged in interprovincial transportation or telecommunications, banks, First Nation band councils and those engaged in certain activities of Indigenous self-government, among others.
The federal minimum wage is adjusted annually on April 1. The yearly adjustment is based on Canada’s annual average Consumer Price Index of the previous calendar year. CPI rose 2.1% in 2025.
Employers with employees who receive the current federal minimum wage will need to ensure payroll processes are updated effective April 1, 2026. If the applicable provincial or territorial minimum wage rate where the employer’s operations are located exceeds $18.15 per hour, federally regulated employers are required to pay the higher amount of the two rates. The Yukon and Nunavut will have higher minimum wage rates at $18.51 (as of April 1, 2026) and $19.75 respectively. British Columbia’s minimum wage will increase on June 1, 2026, to $18.25.
For guidance on how this change pertains to your organization – or on any other labour and employment related matters – contact a member of our Labour and Employment practice group. We help employers to respond quickly and effectively to workforce challenges, providing proactive, practical and innovative advice on all labour and employment matters.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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