Minimum Wage in Hotel And Restaurant Businesses

Paper Summary:

This paper discusses the effects and implications of paying minimum wage to employees within hotel and restaurant businesses in British Columbia. It looks at some of the notable trends that have been observed on the effect of minimum wage in Canada. The paper also discusses the increasing pressure for the government to raise the current minimum wage level.

From the Paper:

"An interesting trend currently recognizable in BC and other Canadian provinces is the globalization of the hotel industry. For example, many British Columbian hotels are owned by transnational chains. These chains typically pay Canadian workers such as housekeepers, laundry workers and dishwashers a minimum wage, not enough for full time workers "to keep a family of three above the poverty line" (deGroot-Maggetti). Minimum wage workers, often new immigrants, typically have little chance of promotion within the industry (ibid). No wonder the hospitality industry is marked by a "high turnover" (ibid). The low-cost/low-added value approach of Canadian hotels and restaurants to their employees is responsible for maintaining an industry of low-skill/low-wage workers who become quickly dissatisfied with their jobs. With a raise in the minimum wage, at least there would be an incentive for such workers to remain in the industry longer."

Sample of Sources Used:

• "BC's Lowest Paid Workers Deserve a Raise - Scrap the Training Wage, Increase Minimum Wage to $10 Per Hour". British Columbia Federation of Labour. November 1, 2006. Date accessed: February 17, 2007. Available: http://www.bcfed.com/node/605.
• deGroot-Maggetti, Greg. "Child and Family Poverty." Citizens for Public Justice. Date accessed: February 17, 2007. Available: http://cpj.ca/economyofcare/Child_and_Family_Poverty/index.html?ap=1&x=90836.
• Green, David A. & Paarsch, Harry J. "The Effect of the Minimum Wage on the Distribution of Teenage Wages." October 1996. Date accessed: February 17, 2007. Available: www.econ.ubc.ca/dp9702gr.pdf.
• "Minimum Wage Fact Sheet." Minister of Labour and Citizens' Services. May 2003. Date accessed: February 16, 2007. Available: http://www.labour.gov.bc.ca/esb/facshts/min-wage.htm.
• "The Government of Canada Invests in British Columbia's Hospitality Industry Ahead of 2010". Western Economic Diversification Canada. May 26, 2005. Date accessed: February 17, 2007. Available: http://www.wd.gc.ca/mediacentre/2005/may26-01a_e.asp.

More papers on Minimum Wage in Hotel And Restaurant Businesses:

• Analytical Essay # 131885 : "Minimum Wage in British Columbia"
• Persuasive Essay # 137083 : "Raising The Minimum Wage in Canada"
• Essay # 48685 : "Minimum Wage in America"

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