Federal Minimum Wage Increases to $18.15 on April 1, 2026
Summary
The Government of Canada has announced that the federal minimum wage will increase to $18.15 per hour effective April 1, 2026. This represents a 2.1% increase indexed to Canada's Consumer Price Index for 2025, and a cumulative 21% increase since the standalone federal minimum wage was introduced in 2021. Federally regulated private sector employers are required to adjust payrolls to ensure compliance with the new rate.
What changed
The federal minimum wage increased from $17.75 to $18.15 per hour effective April 1, 2026, reflecting a 2.1% adjustment based on Canada's Consumer Price Index for 2025, rounded up to the nearest $0.05. The annual indexing mechanism ensures the wage floor rises with inflation, representing a cumulative 21% increase since 2021.
Federally regulated private sector employers must update payroll systems to comply with the new rate by April 1, 2026. Employers should monitor provincial and territorial minimum wage rates, as they must pay the higher rate when provincial/territorial wages exceed the federal floor.
What to do next
- Verify current employee hourly rates against new $18.15 minimum
- Adjust payroll systems to implement new minimum wage by April 1, 2026
- Apply higher provincial/territorial minimum wage if it exceeds federal rate
Archived snapshot
Apr 16, 2026GovPing captured this document from the original source. If the source has since changed or been removed, this is the text as it existed at that time.
GATINEAU, QC, March 24, 2026 /CNW/ - In a rapidly changing world, we are focusing on what we can control: building a stronger, more resilient Canada. This calls for decisive action to protect jobs, strengthen local economies and ensure workers can adapt to changing economic realities.
Today, the Government of Canada announced that, starting April 1, 2026, the federal minimum wage will rise to $18.15 per hour. This represents a total cumulative increase of 21% since the introduction of the standalone federal minimum wage in 2021. This measure has supported thousands of workers in minimum-wage jobs across the federally regulated private sector. Regularly updating the minimum wage protects the wage floor workers rely on and strengthens the standard for fair pay.
By indexing the federal minimum wage to inflation, the government is providing greater certainty and security to more Canadians. The increase complements other new measures aimed at bringing down the cost of groceries and other essentials, such as the Canada Groceries and Essentials Benefit and the Food Security Fund. These and other measures will help make life more affordable while building a strong economy that benefits all Canadians.
Quotes
"Ensuring the federal minimum wage rises with inflation is a floor that protects workers, especially those in the lowest paid jobs in federally regulated sectors. Keeping the minimum wage up to date helps maintain a reliable baseline that strengthens earnings and keeps workplace standards strong for all workers."
– The Honourable Patty Hajdu, Minister of Jobs and Families and Minister responsible for the Federal Economic Development Agency for Northern Ontario
Quick facts
- The federal minimum wage is adjusted annually on April 1 based on Canada's annual average Consumer Price Index of the previous calendar year, which rose 2.1% in 2025, and rounded up to the nearest $0.05.
Employers in federally regulated private sectors are required to adjust their payrolls to ensure their employees are paid at least $18.15 per hour starting April 1, 2026. Should the provincial or territorial minimum wage rate exceed the federal rate, federally regulated employers must pay their employees the higher of the two.
Associated linksMinister Hajdu highlights new Canada Groceries and Essentials Benefit
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SOURCE Employment and Social Development Canada
Contacts: For media enquiries, please contact: Jennifer Kozelj, Senior Communications Advisor and Press Secretary, Office of the Minister of Jobs and Families and Minister responsible for the Federal Economic Development Agency for Northern Ontario, [email protected]; Media Relations Office, Employment and Social Development Canada, 819-994-5559, [email protected]
Organization Profile
Employment and Social Development Canada
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