Shareholders of Canada’s largest grocer, Loblaw Companies, rejected a proposal that it look at the feasibility of paying employees a living wage that would vary across the country.
The idea was that the wage would be determined by calculating the local cost of expenses like food, housing, transportation and child care. For example, the Canadian Centre for Policy Alternatives calculates a living wage in Vancouver in the province of British Columbia to be $20.91. If two adults each earned that they could support themselves and two children. The current minimum wage set by the government in that province is $11.35 and will increase to $12.65 on June 1.
Head of Loblaw, Galen Weston told shareholders the question of fair wages is an important public policy issue best considered by public institutions. (Nathan Denette/The Canadian Press)
Not enough flexibility, say directors
Loblaw’s board of directors recommended rejection of the proposal saying it would not give the company the flexibility it needs and that it would take enormous time and resources. Some of the chain’s employees already have wages fixed by local collective agreements. A majority of shareholders rejected the proposal. Loblaw employs almost 200,000 people in its groceries and pharmacies across Canada.
With files from Canadian Press
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