$100,000 a year is no longer a living wage for a family in Calgary: report
A family of four — two parents, two children — living in Calgary on a combined $100,000 per year once sounded comfortable. However, this is no longer the case, according to a recent report.
The report highlights the rising cost of living in Calgary, which has made it increasingly difficult for families to make ends meet. The city’s living wage calculation is one of the highest in the province, with only Fort McMurray ($24.50), Jasper ($24.90), St. Albert ($23.80), and Canmore ($38.80) posting higher numbers. The lowest living wage in Alberta for the year is Medicine Hat at $17.35.
85% of people earning $20 per hour are adults
According to the report, 85% of people earning $20 per hour are adults, and 36% of those people have children. This means that a significant portion of the population is struggling to make ends meet, despite having a relatively high income.
Rising housing costs are a major concern
The cost of housing in Calgary is no longer as advantageous when compared to other Canadian jurisdictions. Between increasingly poor housing stock driving up prices, rents reaching new heights, and high interest rates, basic expenses have drastically risen for people who were once capable of paying their bills.
About 300 families at risk of ‘absolute homelessness’
According to Reid, about 300 Calgary families are currently at risk of "absolute homelessness" — meaning they can’t even access a shelter as winter nears. This is a staggering number and highlights the severity of the housing crisis in the city.
Wage growth is heating up in Alberta
Despite the rising cost of living, wage growth is heating up in Alberta. According to the Business Council of Alberta’s fall report, year-over-year wage growth is at 5.7%, outpacing the province’s inflation rate (3.7%) and greater than national wage growth (five percent).
Federal investments in housing will be critical
Reid emphasized that federal investments in housing will be critical in addressing the housing crisis in Calgary. She also noted that additions to the city’s Basic Needs Fund and provincial affordability programs will be needed if the current trajectory continues.
Conclusion
The report highlights the challenges faced by families living in Calgary, particularly when it comes to making ends meet. With rising costs of living, wage growth not keeping pace with inflation, and a severe housing crisis, it is clear that something needs to be done to address these issues. Federal investments in housing and affordability programs will be crucial in helping families navigate this challenging landscape.
Statistics:
- 85% of people earning $20 per hour are adults
- 36% of those people have children
- Calgary has one of the highest living wage calculations in the province
- Only Fort McMurray ($24.50), Jasper ($24.90), St. Albert ($23.80), and Canmore ($38.80) posted higher numbers
- The lowest living wage in Alberta for the year is Medicine Hat at $17.35
- Wage growth in Alberta was higher than the national figure, according to third-quarter data
- Wages for women have now caught up to those for men
Sources:
- Report by the Business Council of Alberta
- Statistics from the Conference Board of Canada
- Interview with Reid
