WHAT IS THE MINIMUM WAGE IN ALBERTA IN 2025?

Knowing the minimum wage is of key importance for employees and employers alike. Employees want to know it to determine if a job is worth applying for, if they are being underpaid, and if their employer will have to increase their pay. This is true whether the employee is a student who just started working, an experienced employee with years of service under their belt, or someone approaching retirement.

Employers likewise need to know the minimum wage so that they appropriately compensate all employees for their work and so they do not run afoul of employment standards legislation. Employers also need to know the date that the minimum wage changes, so that they can be ready to increase the pay rate of eligible employees.

What is the minimum wage?

The minimum wage is the lowest hourly wage that an employer can legally pay their employee. Employers are free to pay their employees more, but the law requires that employees cannot be paid less than the minimum. The minimum wage applies whether an employee is part- or full-time, paid an hour rate, commission, incentive, flat rate, or a salary. However, some industries and professions are exempt from the minimum wage provisions. All of these categories are further discussed below.

The minimum wage entitlements and exemptions in Alberta are set out in the Employment Standards Code, RSA 2000, c E-9 (the “ESC”) and its regulations. If your employer refuses to pay you at the minimum wage, you should contact us immediately.

What is the minimum wage in Alberta in 2025?

General Minimum Wage Rate

In October 2018, the general minimum wage which applies to most employees in Alberta increased to $15.00 per hour.

Students

The minimum wage for students under the age of 18, who work 28 hours per week or less when school is in session is $13.00 per hour. Students must be paid the general minimum wage of $15.00 per hour for any hours exceeding 28 hours in one week. Students are also entitled to overtime pay.

Domestic Employees

The minimum wage rate for domestic employees who live in their employer’s home is $2,848.00 per month. Employers are required to pay the full monthly minimum wage, regardless of hours worked. Employers are only allowed to pro-rate the minimum monthly wage when the employee agrees to work for only a portion of a month, and employers are only allowed to deduct $4.41 per night of lodging and $3.35 per meal consumed.

For domestic employees who don’t live in their employer’s home, the minimum wage rate is $15.00 per hour. Employers are only allowed to deduct $3.35 per meal consumed.

The ESC’s overtime compensation and restrictions on maximum hours of work do not apply to domestic employees.

Weekly Minimum Wage

Employees in some professions are entitled to a weekly minimum wage of $598.00 per week instead of the general minimum wage. The professions who are entitled to the weekly minimum wage include, but are not limited to,  architects, accountants, chiropractors, dentists, engineers, geoscientists, lawyers, optometrists, psychologists, veterinarians, and information systems professionals.

How is the minimum wage in Alberta in 2025 calculated for a class of employees?

Unlike other provinces, such as British Columbia or Ontario, Alberta’s minimum wage does not increase with inflation. Alberta’s general minimum wage has remained at $15.00 per hour since October 2018.

Is the minimum wage in Alberta in 2025 still applicable to those who are paid on an incentive or commission basis?

Unless exempt under the ESC, for employees whose pay is based entirely or partly on an incentive or commission basis, the employee’s pay must amount to at least the minimum wage for each hour worked.

Employers must calculate, based on each pay period (to a maximum of one month), the average hourly wage of the employee. If the calculated hourly wage is below the minimum wage, it must be topped up to at least the minimum wage for all hours worked. If the calculated hourly wage is above the minimum wage, the employee is to be paid their incentive or commission pay.

Who is exempt from the statutory minimum wage provisions under the ESC?

Pursuant to Alta Reg 14/1997, the following classes of employees are exempt from the minimum wage under the ESC:

  • Real estate brokers;
  • Securities salespersons;
  • Insurance salespersons paid entirely by commission;
  • Students in a work experience program approved by the Alberta government;
  • Students in an off-campus education program provided under the Education Act;
  • Extras in a film or video production;
  • Counsellors or instructors at a non-profit educational or recreational camp for children, handicapped individuals, or religious groups; and
  • Employees not covered by the ESC.

For more information on minimum wage or minimum employment standards in Alberta, please contact our firm.

At Levitt LLP, we specialize in guiding employees through their rights and entitlements under the Alberta Employment Standards Code. Our experienced team is committed to helping you understand any questions that you may have about employee compensation. Contact us for a consultation and take the first step toward protecting your rights and entitlements.

Please note that this article is only to be used as general information and it does not constitute legal advice. We encourage employees and employers to contact Levitt LLP directly to understand provincial employment standards better and seek legal advice to their questions.