According to a new report from the Alberta Living Wage Network (ALWN), jobs in Drayton Valley need to pay at least $19.85 per hour for workers to earn a “living wage.”
This figure is based on an analysis of local living costs, accounting for average expenses in Drayton Valley, while subtracting any benefits and subsidies typically available to residents. The living wage calculation also reflects costs for various household types, including individuals, lone parents, and families of four.
A living wage, as defined by the ALWN, is the hourly rate a worker needs to earn to cover basic expenses and maintain a modest standard of living, once government transfers are factored in and taxes are subtracted. The report assumes that each adult in a household is working full-time, and includes savings for unexpected costs, child care, continuing education, and a modest amount for community participation.
At $19.85/hour, Drayton Valley’s living wage sits in the middle of the scale for Alberta communities. For comparison, other municipalities in the report have both higher and lower living wage rates:
- Rocky Mountain House: $23.75/hour
- Red Deer: $18.90/hour
- Lethbridge: $20/hour
- Medicine Hat: $17.55/hour (the lowest in the province)
Drayton Valley’s living wage is slightly higher than some other communities, like Red Deer and Medicine Hat, but lower than Rocky Mountain House, where the required wage is higher.
Transportation costs are a significant factor in living wage calculations. As a smaller community without large-scale public transit, Drayton Valley sees higher transportation expenses compared to cities with more robust transit systems. For example, the average annual transportation cost for a family of four in Drayton Valley is approximately $11,846, while families in Red Deer spend closer to $6,578.
In contrast, housing costs in Drayton Valley are more affordable than in Edmonton and Calgary. The average annual cost of housing for a family of four in Drayton Valley is $18,038, compared to $22,071 in Edmonton, $25,785 in Calgary, and $20,542 in Red Deer.
The report also reveals a noticeable disparity in living wage levels between Alberta’s larger cities. Edmonton has a living wage of $20.85/hour, while Calgary’s living wage is significantly higher at $24.45/hour, due to its higher overall cost of living.
The living wage in Drayton Valley represents the amount needed to support a basic standard of living for local workers. However, as with other smaller communities, the lack of public transit and other factors like higher transportation costs place additional financial pressure on families.
For more details, you can read the full report here.
Source: Alberta Living Wage Network
(Alberta Living Wage Network)
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