Medicine Hat College business instructor Dillon Batsel. (Photo Courtesy Ross Lavigne)

By Gates Guarin

Housing and utilities played a large role in lower living wage for city

Nov 16, 2022 | 4:23 PM

MEDICINE HAT, AB – If there is one thing Hatters can take out of a new report conducted by the Alberta Living Wage Network, it’s affordability.

Of the 15 cities where living wage was calculated in Alberta, Medicine Hat sits at $17.50, lower than big cities like Calgary and Edmonton, but also lower than comparable cities, like Drumheller and Grande Prairie.

Coun. Alison Van Dyke believes the city’s affordable housing market played a part in the final number.

“We know housing is significantly less expensive in Medicine Hat, our utility pricing is lower than in other communities, and of course, those are two very large ones. But I think in general, things are more affordable in the city here,” Van Dyke says.

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She adds council is continuing to push for affordability, with a motion put forward for utility relief for low-income earners which could come in the new year.

“We’re trying to create a community that people want to live in as a city council, and I know other organizations and institutions in the city are doing the same,” Van Dyke adds.

The Alberta Living Wage Network took into account household type, government supports and taxes when calculating living wages across the province. Ryan Lacanilao, co-ordinator with the Alberta Living Wage Network, says instituting a living wage will benefit governments, businesses and the individual.

“If you want to help the local economy to be more vibrant and sustainable, to help all businesses and to make it a better community to live, that means paying a living wage. That means people being able to make ends meet.” Lacanilao says.

But Dillon Batsel, business instructor with Medicine Hat College, is skeptical. He was shocked to see the wage for Medicine Hat as low as it was and says while housing and utilities may have played a big role, he is unsure of the true value.

“There would lie maybe a small advantage, but it did seem like … there was a fairly large advantage, and I’m not really sure where that was coming from.”

Batsel says with the way inflation has affected the economy, the numbers just aren’t a real reflection of a household’s current situation.

“Right now, if we were to say raise minimum wage just hypothetically to over $20, you would see prices spiral and basically all necessity goods that we need and that we’re purchasing every day,” Batsel says.

“It’s a tough situation to deal with, and if the government is going to subsidize wages, yes I don’t argue that that would be a good thing to see, but it would just lead to more inflation, more heartache and the people that were getting these raises might not even end up better off because they’ll be paying higher prices for the things they need themselves,” he adds.

While the current outlook is not black and white, Van Dyke says seeing the calculations is important from a community standpoint.

“I think it’s good for people to have an understanding what the living wage is in the city, both from a worker perspective and from an employer perspective because we all have a common goal of seeing our community thrive.”