Canada's most authoritative and exciting grocery b2b publication
Industry NewsDespite slowing inflation, prices still rising faster than wages: Canadian Labour Congress

Despite slowing inflation, prices still rising faster than wages: Canadian Labour Congress


Improving inflation numbers are a hopeful sign, but there’s still an affordability crisis facing workers and their families according to Bea Bruske, president of the Canadian Labour Congress.

Improved Consumer Price Index (CPI) numbers showed prices still rising at 7.6 per cent in July, well ahead of average wage growth. Groceries were up 9.9 per cent—the largest rise since 1981.


“Despite inflation finally slowing from the 40-year record increases we have seen this year, workers are seeing their purchasing power going backwards with every paycheque,” said Bruske. “To make matters worse, when expanded access to Employment Insurance expires in just six weeks workers could face trouble qualifying for benefits.”

With EI measures set to expire in September, Bruske said government action is needed to make sure thousands of workers aren’t left behind. For some workers hired during the pandemic, returning to older EI rules could mean they soon don’t qualify at all.

“Unemployed workers will face a 66 per cent jump in hours required to qualify for EI, much tougher restrictions on who can get benefits, and clawbacks of their severance and vacation pay,” explained Bruske. “It’s the wrong time for the government to abandon people losing their jobs. We are urging the government to extend temporary measures until the EI program can be permanently improved, as the government has promised to do.”

Bruske added that it is critical workers are not made to pay for an affordability crisis that she says “they did not create.”

Follow us:

Recent Issues

Related Articles