Canada's Minimum Wage Went Up October 1: New Rates by Province and What to Change in Payroll

Minimum wage went up in five provinces on October 1, 2026: Ontario, Prince Edward Island, Nova Scotia, Manitoba, and Saskatchewan. Nunavut and the Northwest Territories went up a month earlier, on September 1. If you have hourly staff at or near minimum wage in any of these places, your next pay run needs to reflect the new rate. Here are the current numbers and what to check.

What changed on October 1

These are the general minimum wage rates. They apply to hours worked on or after October 1, 2026.

And on September 1, 2026:

• Nunavut: $19.75 to $20.17, still the highest rate in Canada.
• Northwest Territories: $16.95 to $17.20.

Most of these increases come from inflation formulas, so they were small and predictable. Manitoba, Saskatchewan, Nunavut, and the NWT all tie their rate to the consumer price index or local wage growth. PEI sets its rate by regulation instead, and Nova Scotia announced two steps for 2026 (April 1 and October 1).

Minimum wage in every province and territory

Here's where every jurisdiction stands as of October 1, 2026, highest to lowest.

Alberta hasn't changed its general rate since 2018 and is now the lowest in the country.

Special rates to know about

A few provinces have separate rates for certain workers. The ones most small employers run into:

• Ontario students: $16.90 for students under 18 who work 28 hours a week or less while school is in session, or who work during a school break or summer holidays.
• Ontario homeworkers: $19.70 for people doing paid work from their own home.
• Quebec tipped employees: $13.30 for employees who usually receive tips, such as restaurant servers and bartenders. Tips still belong to the employee.
• Alberta students: $13.00 for students under 18, with limits on how many hours a week qualify during the school year.

Some provinces also have special rules for farm workers, live-in caregivers, and wilderness guides. If you employ anyone in those roles, check your province's rules directly.

Federally regulated employers

The federal minimum wage is $18.15 as of April 1, 2026. It only applies to federally regulated industries like banking, telecommunications, broadcasting, and transportation that crosses provincial borders. Most small businesses are provincially regulated and follow their province's rate instead.

If you are federally regulated, the rule is simple: pay whichever is higher, the federal rate or the rate in the province or territory where the employee works. Right now, that means Nunavut's $20.17 beats the federal rate. Everywhere else, $18.15 is the floor.

What to check in payroll

A minimum wage increase isn't just an hourly rate change. A few other things move with it.

Pay periods that cross October 1

The new rate applies to hours worked on or after the effective date, not to the whole pay period. If your pay period started in September and ended in October, split the hours.

For example, an Ontario employee on a biweekly schedule from September 26 to October 9 who worked 24 hours before October 1 and 56 hours after:

• 24 hours at $17.60 = $422.40
• 56 hours at $17.95 = $1,005.20
• Gross pay: $1,427.60

Paying the whole period at the new rate is fine too. You just can't pay the whole period at the old one.

Overtime goes up with it

Overtime is calculated from the employee's regular rate, so a minimum wage employee's overtime rate rises automatically. In Ontario, overtime at 1.5 times $17.95 is $26.93 an hour. If you have a hard-coded overtime rate anywhere, update it.

Salaried employees still count

Minimum wage applies to salaried employees too. Divide their pay by the hours they actually worked. An Ontario employee paid $680 a week for 40 hours earns $17.00 an hour, which is now below minimum. If they work longer weeks, the effective rate drops even further. Check anyone on a modest salary, especially if their hours vary.

Vacation and public holiday pay

Vacation pay and public holiday pay are calculated from wages earned, so they increase on their own once the hourly rate is updated. Nothing extra to do, as long as the base rate is right.

How to update it in PayCub

Update the hourly rate on each affected employee's profile before your next pay run. PayCub calculates CPP, EI, and income tax on the new gross pay automatically, so there's nothing else to change on the deduction side. If a pay period crosses October 1, double-check that the hours worked from October 1 onward are paid at the new rate before you approve the run.

What's coming next

• Prince Edward Island has already scheduled another increase to $17.60 on April 1, 2027.
• The federal rate adjusts every April 1, based on the previous year's inflation. Expect the 2027 rate to be announced early in the year.
• Yukon, New Brunswick, and Newfoundland and Labrador also typically adjust on April 1. Quebec usually adjusts on May 1, and B.C. on June 1.

We'll post updates here as new rates are announced.

References

• Government of Canada, minimum wage database (all provinces and territories)
• Ontario, your guide to the Employment Standards Act: minimum wage
• Prince Edward Island, minimum wage set to increase
• Manitoba, minimum wage fact sheet
• Northwest Territories, minimum wage set to increase Sept 1, 2026
• Nunavut, minimum wage increases September 1

Rates are current as of October 1, 2026. This post is general information, not legal advice. Special rates and exemptions vary by province, so check with your provincial employment standards office if you're unsure.

Learn more

New to running payroll? Start with our guide on how to run payroll in Canada. Questions about updating an employee's rate in PayCub? Email [email protected].