Nearly half of New Brunswick workers earn less than a living wage, according to the Human Development Council’s latest report.
The council’s 2025 living wages report states that the living wage is $24.77 per hour for a reference family of two adults working full-time and two children aged 2 and 7.
The report explains that a living wage is a calculated benchmark based on real household costs and taxes.
It is meant to show what families need to avoid poverty and live with dignity, not a mandated wage set by the government or employers.
Rates across the province
The report calculates Fredericton’s living wage at $26.05 an hour, Saint John at $24.49, and Moncton at $24.43.
The minimum wage in New Brunswick is $15.65, leaving roughly a $9 gap between what many workers earn and what the council says is needed to meet basic needs.
What’s driving the increase
The council says shelter costs rose the most in the past year. The report cites a 7.9 per cent year‑over‑year increase in rent in New Brunswick, outpacing the national rate.
It says shelter, food and child care together account for more than half of the family budget.
According to the report, monthly shelter costs for the reference family are $1,843 province‑wide.
That includes rent, insurance, utilities and internet. Food is $1,443 a month.
In Fredericton, shelter totals $2,087 a month. In Moncton it is $1,922. In Saint John it is $1,893.
Budget breakdown
The report says shelter makes up 26 per cent of the family budget and food 20 per cent. Child care is 16 per cent.
Transportation and household expenses are 10 per cent each. Social inclusion is 7 per cent.
The report notes the budget does not include debt payments, retirement savings, homeownership costs or disability‑related expenses.
For child care, the council draws on Statistics Canada data and independent surveys.
It says recent investments have reduced toddler fees, but coverage remains limited and many families cannot access $10‑a‑day care.
The report uses average costs across licensed and unlicensed, home‑ and centre‑based care to reflect what families typically pay.
Taxes, transfers and recent changes
The council says several policy changes offered modest relief. The Canadian Dental Care Plan eliminated the need for private dental coverage for the reference family.
The report also notes reduced child care fees, lower part‑time tuition rates at New Brunswick Community College, and a slight decrease in the federal tax rate for the lowest income bracket.
The report says reference families received the Canada Child Benefit and the Canada Carbon Rebate until April 2025, when the rebate ended.
It says families in Moncton and Saint John qualified for the New Brunswick Harmonized Sales Tax Credit, but families in Fredericton and in the provincial average did not.
The council says none of the reference families qualified for the New Brunswick Child Tax Benefit, the New Brunswick Working Income Supplement or the federal GST credit because their incomes were above the thresholds.
Who earns low wages
Using Labour Force Survey data, the council estimates 45 per cent of workers earned less than the provincial living wage in 2024.
The report says most low‑wage workers are adults in permanent, full‑time jobs, often with large employers. It notes that women and marginalized groups are disproportionately represented in low‑wage work.
The Human Development Council is calling on employers to pay a living wage. It also says government should raise the minimum wage, expand affordable housing, increase access to low‑cost child care and index transfers to inflation.
The report says paying a living wage reduces poverty and financial stress, and is linked to lower absenteeism and turnover.
It says employers may see gains in productivity, morale, recruitment and retention. The council also says living wages support child development, social inclusion and stronger local economies.
Municipal policies elsewhere
The report points to municipalities that have adopted living wage policies.
It notes New Westminster, B.C., became the first municipal living wage employer in 2011, and says Halifax Regional Municipality approved a living wage policy for most contract workers in 2020.
The council says it is time for New Brunswick municipalities to take similar action.
The Human Development Council says living wages in New Brunswick are at their highest levels since calculations began in 2018.
It warns that without stronger public supports, the living wage will keep rising as families face higher rents and other costs.
The council says raising the minimum wage and investing in housing and child care are critical to easing pressure on households.
