Here's how much Canada's federal minimum wage is increasing this year

Many Canadians are about to get a pay bump as the federal minimum wage increase for 2026 is set to kick in.

On Tuesday, the Government of Canada announced that it will raise the federal minimum wage to $18.15 per hour starting on April 1, 2026. That's a 40-cent bump from the current wage of $17.75.

According to Employment and Social Development Canada (ESDC), this represents a total cumulative increase of 21 per cent since the introduction of the standalone federal minimum wage in 2021.

📣 On April 1, the federal #MinimumWage is going up to $18.15 per hour.

📅 Employers: Adjust your payrolls by April 1st.

➡️ https://t.co/JWSQkU2fQM pic.twitter.com/AZgAIVXIp6

— Employment and Social Development Canada (@ESDC_GC) March 24, 2026

The hourly amount is adjusted annually in April to keep pace with inflation. It's based on Canada's annual average Consumer Price Index of the previous calendar year, which rose 2.1 per cent in 2025, and rounded to the nearest five cents.

"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," stated Patty Hajdu, Minister of Jobs and Families.

This wage applies to employees and interns working in the federally regulated private sector. This includes businesses like banks, telecommunications companies, and interprovincial air, marine, rail and road transportation.

Last year, the hourly pay rose by 45 cents from $17.30 to $17.75.

Ottawa says employers in federally regulated private sectors are required to adjust their payrolls to ensure workers are paid at least $18.15 an hour starting on April 1.

If your provincial or territorial minimum wage is more than the federal rate, federally regulated employers must pay the higher amount of the two.

British Columbia also announced an increase in its general minimum wage this year. Starting on June 1, 2026, workers in B.C. can expect a 40-cent boost in their hourly pay.