Reactions are mixed among restaurant and pub owners about whether the minimum wage increase will affect business.
The industry has been hit with several other changes in the past year with the introduction of the HST, changes to drinking and driving laws, and the economic downturn.
B.C.’s minimum wage is increasing to $8.75 May 1, $9.50 Nov. 1 and $10.25 on May 1, 2012. Restaurant and bar servers who serve alcohol will receive a lower wage that will increase to $8.50 May 1, $8.75 Nov. 1 and $9 on May 1, 2012.
Barry Ladell, publican of the Longwood Brew Pub, said the increases won’t affect his bottom line – all the entry-level workers at his pub already make more than the increased minimum wages.
“Someone who cares about their employees will look to keep them. This day and age you have to pay someone enough money to have a lifestyle,” he said. “No one can survive on minimum wage.”
Scott Cooper, owner of the Modern Cafe, agrees.
“We’ll be just fine,” said Cooper. “The impact will be minimal for us.”
Restaurants have had eight months to adjust to the HST and are now through the worst of the impacts, he said, adding the issue having the most impact on business is the drinking and driving laws.
“Some people are scared to have a glass of wine with dinner,” he said.
Larry Lim, owner of the Blue Ginger Restaurant, said the combination of the economy, HST and drinking and driving laws are hurting the industry and increases to the minimum wage will add to the negative effect on his business.
“This is definitely another squeeze on our already tight budget,” he said.
Lim said the changes could mean making some internal adjustments, such as using staff who already make more than minimum wage more often and becoming more hands-on in the business himself.
