Minimum wage is a hot topic in many countries, including Canada. It’s the lowest amount an employer can legally pay their workers per hour. While Canada has a reputation for being a worker-friendly country, you might be surprised to learn that several nations actually have higher minimum wages.
In this list, I’ll share 15 countries with higher minimum wages than Canada.
Luxembourg
Luxembourg tops the list with one of the highest minimum wages in the world, at €14.86. The country’s high standard of living and strong economy contribute to this impressive figure. Luxembourg’s minimum wage is regularly adjusted to keep up with inflation and economic changes. Workers in Luxembourg enjoy not only high wages but also excellent social benefits and job security.
Australia
Australia is known for its high minimum wage of $23.23 an hour, which is set at a national level. The country reviews and adjusts its minimum wage annually to keep pace with living costs. Australian workers also benefit from additional allowances and penalty rates for working outside normal hours. The high minimum wage in Australia is often cited as a factor in the country’s high standard of living.
New Zealand
New Zealand has made significant strides in recent years to increase its minimum wage, currently $23.15 per hour for adult workers. The country plans to continue raising the minimum wage incrementally. New Zealand’s approach to minimum wage is part of a broader strategy to reduce income inequality. The country also has strong labor laws that complement its minimum wage policy.
Netherlands
The Netherlands has a unique system where the minimum wage varies based on the employee’s age. The country’s minimum wage is reviewed and adjusted twice a year to account for changes in average wages. Dutch workers also benefit from strong social security systems and labor protections. The Netherlands’ approach aims to balance fair wages with maintaining employment opportunities for younger workers.
Ireland
Ireland has been steadily increasing its minimum wage over the past few years (currently up to €12.70 per hour). The country’s minimum wage policy is part of a broader strategy to combat in-work poverty. Irish workers also benefit from additional protections such as guaranteed minimum working hours. The government regularly consults with workers, employers, and independent experts when setting the minimum wage.
Belgium
Belgium’s minimum wage system is complex, with rates varying by industry and worker’s age. The country has a strong tradition of collective bargaining that often results in wages higher than the legal minimum. Belgian workers also enjoy extensive social benefits and job protections. The country’s approach to minimum wage is part of a broader social dialogue between workers, employers, and the government.
France
France has a long history of workers’ rights, which is reflected in its minimum wage policy of €11.65/hour. The country’s minimum wage is automatically reviewed yearly and adjusted based on inflation. French workers also benefit from a 35-hour work week and extensive paid leave. The minimum wage in France is a key tool in fighting poverty and ensuring social cohesion.
Germany
Germany introduced a national minimum wage in 2015, and it has been steadily increasing since then. The German system includes a commission of employers and employees who recommend minimum wage adjustments. Workers in Germany also benefit from strong union representation and collective bargaining agreements.
United Kingdom
The UK has different minimum wage rates based on the worker’s age, with the highest rate being the national living wage (£11.44 hourly). The country has committed to significant increases in the minimum wage in recent years. UK workers also benefit from additional protections such as paid holidays and sick leave. The government’s goal is to end low pay while balancing the needs of workers and businesses.
Japan
Japan’s minimum wage system is unique, with rates set at the prefectural (regional) level. The country has been increasing its minimum wage to boost domestic consumption. Japanese workers often receive additional benefits such as housing allowances and semi-annual bonuses. The minimum wage in Japan is part of a broader economic strategy to stimulate growth and combat deflation.
South Korea
South Korea has been aggressively raising its minimum wage in recent years. The country’s goal is to boost income and domestic consumption to drive economic growth. Korean workers also benefit from a culture of company loyalty and long-term employment. The rapid increase in minimum wage has been controversial, with debates about its impact on small businesses and employment rates.
Spain
Spain has made significant increases to its minimum wage in recent years. The country’s goal is to reduce inequality and boost consumer spending. Spanish workers also benefit from strong labor protections and generous paid leave policies. The minimum wage increases are part of broader social and economic reforms in Spain.
Israel
Israel’s minimum wage has steadily increased over the past decade. The country’s strong economy and high cost of living contribute to the relatively high minimum wage. Israeli workers also benefit from mandatory pension contributions from employers.
Slovenia
Slovenia has one of the highest minimum wages among Eastern European countries. The country regularly adjusts its minimum wage based on inflation and economic growth. Slovenian workers also benefit from strong social protections and collective bargaining rights.
United States
While the federal minimum wage in the U.S. is lower than Canada’s, many states and cities have set higher rates. Some of these local minimum wages exceed Canada’s national rate. The U.S. has ongoing debates about raising the federal minimum wage. Workers in high-wage areas like California and New York often earn more than the Canadian minimum wage.
Here’s The Minimum Wage For Each Province in Canada
Here’s The Minimum Wage For Each Province in Canada
12 Canadian Landmarks You Didn’t Know Were on the US Border
