2 0 2 3 RENTAL WAGES
In New Brunswick
TA B L E O F C
Introduction
Methodology
Rental Wages in NB
Provincial Data
Sub -provincial Data
Minimum Wage Hours
Rental Wages in 2018 vs. 2023
Conclusion
References
I N T R O D U C T I O N
A r e n t a l w a g e r e f e r s t o t h e m i n i m u m h o u r l y w a g e
r e q u i r e d f o r i n d i v i d u a l s t o a f f o r d a d e q u a t e h o u s i n g
w i t h o u t s p e n d i n g m o r e t h a n 3 0 % o f t h e i r i n c o m e
o n r e n t Tr a d i t i o n a l m e t h o d s o f m e a s u r i n g h o u s i n g
a f f o r d a b i l i t y f o c u s p r i m a r i l y o n t h e p e r c e n t a g e o f
i n c o m e a l l o c a t e d t o h o u s i n g [ 1 ] H o w e v e r, r e n t a l
w a g e c a l c u l a t i o n s p r e s e n t h o u s i n g c o s t s i n r e l a t i o n
t o a c t u a l h o u r l y w a g e s , o f f e r i n g a c l e a r e r
p e r s p e c t i v e o n i n c o m e i n a d e q u a c y T h i s m e t h o d
h e l p s e m p h a s i z e t h e g a p b e t w e e n w a g e s a n d t h e
c o s t o f h o u s i n g , e s p e c i a l l y f o r m a r g i n a l i z e d
p o p u l a t i o n s A s h o u s i n g a f f o r d a b i l i t y b e c o m e s a
p r e s s i n g i s s u e i n N e w B r u n s w i c k , t h e r e n t a l w a g e
i s a t o o l i n u n d e r s t a n d i n g i n c o m e i n a d e q u a c i e s
S t a t i s t i c s C a n a d a d e f i n e s a f f o r d a b l e h o u s i n g a s
s p e n d i n g n o m o r e t h a n 3 0 % o f o n e ’ s i n c o m e o n
r e n t [ 2 ]
Fo r i n s t a n c e , a h o u s e h o l d w i t h a n a n n u a l i n c o m e o f
$ 3 3 , 3 3 3 s h o u l d i d e a l l y s p e n d n o m o r e t h a n
$ 1 0 , 0 0 0 o n h o u s i n g T h e c h a l l e n g e w i t h t h i s
a p p r o a c h i s t h a t i t d o e s n o t r e v e a l w h e t h e r w a g e s , e s p e c i a l l y m i n i m u m w a g e s , a r e s u f f i c i e n t t o m e e t
h o u s i n g c o s t s T h e r e n t a l w a g e b r i d g e s t h i s g a p b y
c a l c u l a t i n g h o w m u c h i n d i v i d u a l s w o u l d n e e d t o
e a r n p e r h o u r t o m e e t h o u s i n g e x p e n s e s w i t h i n
t h e i r c o m m u n i t y
I n 2 0 2 3 , N e w B r u n s w i c k ’ s r e n t a l w a g e w a s
c a l c u l a t e d a t $ 1 7 9 6 f o r a o n e - b e d r o o m a p a r t m e n t
a n d $ 2 2 5 0 f o r a t w o - b e d r o o m ( F i g u r e 1 ) D e s p i t e
r e c e n t i n c r e a s e s t o t h e m i n i m u m w a g e , w h i c h
s t o o d a t $ 1 4 7 5 i n 2 0 2 3 , i t r e m a i n s i n s u f f i c i e n t t o
a f f o r d e i t h e r a o n e o r t w o - b e d r o o m a p a r t m e n t
M E T H O D O L O G Y
T h i s r e p o r t ' s m e t h o d o l o g y i s d e r i v e d f r o m t h e
C a n a d i a n Ce n t r e f o r Po l i c y A l t e r n a t i v e s ' r e n t a l
w a g e c a l c u l a t i o n m o d e l [ 3 ] R e n t a l w a g e s a r e
c a l c u l a t e d i n t w o k e y s t e p s :
D e t e r m i n i n g R e q u i r e d A n n u a l I n c o m e : T h e
a v e r a g e r e n t f o r a c o m m u n i t y i s u s e d t o
c a l c u l a t e t h e a n n u a l b e f o r e - t a x i n c o m e n e e d e d
f o r r e n t t o a c c o u n t f o r o n l y 3 0 % o f t h e i n c o m e
Co n v e r t i n g A n n u a l I n c o m e t o H o u r l y Wa g e : T h e
t o t a l b e f o r e - t a x i n c o m e i s t h e n d i v i d e d b y 2 , 0 8 0
( t h e a s s u m e d n u m b e r o f h o u r s w o r k e d a n n u a l l y
b a s e d o n a 4 0 - h o u r w o r k w e e k a n d 5 2 w e e k s o f
t h e y e a r )
Fo r e x a m p l e , a m o n t h l y r e n t o f $ 1 , 0 0 0 ( $ 1 2 , 0 0 0
a n n u a l l y ) w o u l d r e q u i r e a n a n n u a l i n c o m e o f
$ 4 0 , 0 0 0 $ 1 2 , 0 0 0 o f r e n t p e r y e a r i s 3 0 % o f
$ 4 0 , 0 0 0 D i v i d i n g $ 4 0 , 0 0 0 b y 2 , 0 8 0 y i e l d s a r e n t a l
w a g e o f $ 1 9 2 3 p e r h o u r
T h e d a t a f o r a v e r a g e r e n t s w a s s o u r c e d f r o m t h e
O c t o b e r 2 0 2 3 C a n a d i a n M o r t g a g e a n d H o u s i n g
Co r p o r a t i o n ( C M H C ) R e n t a l M a r k e t S u r v e y. [ 4 ] S i n c e
t h i s d a t a d o e s n o t d i s t i n g u i s h b e t w e e n v a c a n t a n d
n o n -v a c a n t u n i t s a n d o ft e n e x c l u d e s u t i l i t i e s , t h e
r e n t a l w a g e s p r o v i d e d m a y b e u n d e r e s t i m a t i o n s . [ 5 ]
T h e r e p o r t u s e s t h e 2 0 2 3 m i n i m u m w a g e o f
$ 1 4 . 7 5 , a s i t c o r r e s p o n d s w i t h t h e m o s t r e c e n t
r e n t a l w a g e d a t a f r o m O c t o b e r 2 0 2 3 [ 6 ]
t h
p r o v i n c e ’ s m i n i m u m w a g e o f $ 1 4 7 5 w a s s t i l l $ 3 2 1
l o w e r t h a n t h e o n e - b e d r o o m r e n t a l w a g e a n d
$ 7 7 5 l o w e r t h a n t h e t w o - b e d r o o m w a g e
T h i s w a g e g a p b e c o m e s m o r e c o n c e r n i n g f o r
s i n g l e - i n c o m e h o u s e h o l d s , s u c h a s s i n g l e p a r e n t s , w h o m a y r e q u i r e t w o - b e d r o o m a p a r t m e n t s . S u c h
i n d i v i d u a l s w o u l d n e e d t o e a r n a n a d d i t i o n a l $ 7 . 7 5
p e r h o u r t o a f f o r d h o u s i n g .
R e n t a l w a g e s v a r y s i g n i f i c a n t l y w i t h i n N e w
B r u n s w i c k ( F i g u r e 2 ) . Fo r e x a m p l e , D i e p p e h a d t h e
h i g h e s t o n e - b e d r o o m r e n t a l w a g e a t $ 2 2 . 0 4 , w h i l e
E d m u n d s t o n h a d t h e l o w e s t a t $ 1 1 3 8 Tw o -
b e d r o o m w a g e s r a n g e d f r o m $ 2 4 9 8 i n D i e p p e t o
$ 1 4 6 9 i n C a m p b e l l t o n
A m o n g t h e l a r g e r u r b a n c e n t e r s , F r e d e r i c t o n h a d
t h e h i g h e s t r e n t a l w a g e s , f o l l o w e d b y M o n c t o n a n d
S a i n t J o h n R u r a l a r e a s , p a r t i c u l a r l y i n t h e n o r t h ,
h a d r e n t a l w a g e s b e l o w t h e m i n i m u m w a g e
Figure 2: 2023 Sub-Provincial New Brunswick Rental Wages
Dieppe C
Fredericton C
Fredericton CMA
Riverview TV
Moncton CMA
Moncton C
Saint John C
Saint John CMA
Rothesay TV
Campbellton C
Campbellton CA
Bathurst CA
Miramichi CA
Miramichi C
Edmundston CA
Edmundston C
Source: 1. CMHC Rental Market Survey 2023 2. Dictionary, Census of Population, 2021
CMA = Census Metropolitan Area
A Census Metropolitan Area (CMA) is formed by one or more municipalities surrounding a population center like a city A CMA has a total population of at least 100,000 residents; 50,000 or more must live in the center
CA = Census Agglomeration
Similar to a CMA but smaller It only has to have more than 10,000 residents in the center
3: 1 Bedroom Rental Wages for Communities in the Greater Saint John Area
4: 1 Bedroom Rental Wages for Comm
CMHC Rental Market Survey 2023
Figure
Source: CMHC Rental Market Survey 2023
Figure
Source:
Figure 5: 1 Bedroom Rental Wages for Communities in the Greater Fredericton Area
F i g u r e 5 h i g h l i g h t s t h e d i f f e r e n c e s i n r e n t a l w a g e s
b e t w e e n t h e n o r t h a n d t h e s o u t h I n t h e
n o r t h e a s t e r n a n d n o r t h w e s t e r n n e i g h b o u r h o o d s
r e n t a l w a g e s w e r e $ 1 7 2 9 a n d $ 1 7 9 6 p e r h o u r I n
c o n t r a s t , t h e s o u t h w e s t e r n a n d s o u t h e a s t e r n
n e i g h b o u r h o o d s h a d r e n t a l w a g e s o f $ 2 0 9 4 a n d
$ 2 2 1 0 p e r h o u r
I n t h e G r e a t e r S a i n t J o h n a r e a , t h e c i t y ' s N o r t h E n d
h a d t h e h i g h e s t r e n t a l w a g e f o r a o n e - b e d r o o m
a p a r t m e n t o f $ 1 9 9 6 p e r h o u r ( F i g u r e 3 ) I n d i a n
To w n h a d t h e l o w e s t a t $ 1 4 7 1 p e r h o u r, m a k i n g i t
t h e o n l y n e i g h b o r h o o d w h e r e t h e o n e - b e d r o o m
r e n t a l w a g e f e l l b e l o w t h e m i n i m u m w a g e N o
n e i g h b o r h o o d s i n M o n c t o n o r F r e d e r i c t o n h a d
r e n t a l w a g e s b e l o w t h e m i n i m u m w a g e
Source: CMHC Rental Market Survey 2023
M I N I M U M WA G E H O U R S
A n a l y z i n g h o w m a n y h o u r s m i n i m u m w a g e w o r k e r s
n e e d t o w o r k t o a f f o r d r e n t p r o v i d e s a n o t h e r
m e a s u r e o f a f f o r d a b i l i t y A f u l l - t i m e w o r k e r
e a r n i n g m i n i m u m w a g e w o u l d n e e d t o w o r k 4 8 7
h o u r s p e r w e e k t o a f f o r d a o n e - b e d r o o m a p a r t m e n t
a n d 6 1 h o u r s f o r a t w o - b e d r o o m a p a r t m e n t ( F i g u r e
6 ) R e n t i s u n a f f o r d a b l e i f a p e r s o n n e e d s t o w o r k
m o r e t h a n 4 0 h o u r s p e r w e e k .
T h e m o s t u n a f f o r d a b l e a r e a s i n N e w B r u n s w i c k ,
s u c h a s D i e p p e a n d F r e d e r i c t o n , r e q u i r e
s i g n i f i c a n t l y m o r e t h a n 4 0 h o u r s o f w o r k p e r w e e k
t o a f f o r d r e n t I n c o n t r a s t , a r e a s l i k e E d m u n d s t o n
a n d C a m p b e l l t o n h a v e m o r e a f f o r d a b l e o p t i o n s , w i t h f e w e r h o u r s r e q u i r e d t o a f f o r d r e n t
Figure 6: Number of Hours of Work Required Per Week at Minimum Wage to Afford Housing (spend less than 30% of income on rent ) in October 2023
Dieppe C
Fredericton C
Fredericton CMA
Riverview TV
Moncton CMA
Moncton C
Saint John C
Saint John CMA
Rothesay TV
Campbellton C
Campbellton CA
Bathurst CA
Miramichi CA
Miramichi C
Edmundston CA
Edmundston C
Source: CMHC Rental Market Survey 2023
Figure 7: 2018 vs 2023 Number of Hours of Work Required Per Week at Minimum Wage to Afford a OneBedroom Apartment (spend less than 30% of income on rent )
New Brunswick
Dieppe C
Fredericton C
Fredericton CMA
Riverview TV
Moncton CMA
Moncton C
Saint John C
Saint John CMA
Source: CMHC Rental Market Survey 2023
Figure 8: 2018 vs. 2023 Number of Hours of Work Required Per Week at Minimum Wage to Afford a TwoBedroom Apartment (spend less than 30% of income on
New Brunswick
Dieppe C
Fredericton C
Fredericton CMA
Riverview TV
Moncton CMA
Moncton C
Saint John C
Saint John CMA
Campbellton C
Source: CMHC Rental Market Survey 2023
B r u n s w i c k
( F i g u r e 8 ) Tw o - b e d r o o m a p a r t m e n t s i n c r e a s e d b y
6 2 h o u r s p e r w e e k
N o t a b l y, D i e p p e s a w t h e l a r g e s t r i s e i n r e q u i r e d w o r k h o u r s , w h i l e s o m e n o r t h e r n c o m m u n i t i e s
e x p e r i e n c e d d e c r e a s e s i n t h e n u m b e r o f w o r k h o u r s r e q u i r e d f o r o n e - b e d r o o m r e n t a l s H o u s i n g i n N e w
B r u n s w i c k i s b e c o m i n g l e s s a n d l e s s a f f o r d a b l e f o r
l o w-w a g e w o r k e r s
C O N C L U S I O N
T h e d a t a h i g h l i g h t s t h a t w h i l e m i n i m u m w a g e s i n
N e w B r u n s w i c k h a v e i n c r e a s e d , h o u s i n g
a f f o r d a b i l i t y i s a g r o w i n g c h a l l e n g e f o r l o w- i n c o m e
w o r k e r s T h e r e n t a l w a g e f o r b o t h o n e - a n d t w o -
b e d r o o m a p a r t m e n t s f a r e x c e e d s t h e m i n i m u m
w a g e , f o r c i n g m a n y i n d i v i d u a l s t o w o r k m u l t i p l e
j o b s o r m o r e h o u r s t o a f f o r d b a s i c h o u s i n g
T h e m i n i m u m w a g e i s i n d e x e d t o t h e Co n s u m e r
P r i c e I n d e x ( C P I ) , e n s u r i n g w a g e i n c r e a s e s k e e p
p a c e w i t h i n f l a t i o n [ 7 ] H o w e v e r, t h e r i s e i n r e n t a l
c o s t s f a r e x c e e d s t h e o v e r a l l r a t e o f i n f l a t i o n
T h e C P I f o r a l l i t e m s w e n t u p b y 2 8 % i n N e w
B r u n s w i c k f r o m O c t o b e r 2 0 2 2 t o O c t o b e r 2 0 2 3 [ 8 ]
T h e C P I f o r r e n t r o s e b y 9 0 % [ 9 ] T h i s d i s p a r i t y
e x a c e r b a t e s h o u s i n g p r e c a r i t y f o r m i n i m u m w a g e
w o r k e r s , t h r e a t e n i n g t h e i r a b i l i t y t o m e e t o t h e r
e s s e n t i a l n e e d s
To a d d r e s s t h i s g r o w i n g c r i s i s , p o l i c y m a k e r s m u s t
c o n s i d e r w a g e i n c r e a s e s t h a t a r e m o r e c l o s e l y
a l i g n e d w i t h r i s i n g h o u s i n g c o s t s , e n s u r i n g t h a t a l l
r e s i d e n t s h a v e a c c e s s t o a f f o r d a b l e a n d s e c u r e
h o u s i n g T h i s r e p o r t u n d e r s c o r e s t h e c r i t i c a l n e e d
f o r p o l i c i e s t h a t s u p p o r t t h e h o u s i n g a f f o r d a b i l i t y
o f N e w B r u n s w i c k ’ s m o s t v u l n e r a b l e p o p u l a t i o n s
Pa g e 1 1
E F E R E N C E S
1 S t a t i s t i c s C a n a d a ( 2 0 2 2 ) H o u s e h o l d s t h a t s p e n t 3 0 % o r m o r e o f i n c o m e o n s h e l t e r c o s t s , C a n a d a , 2 0 1 1
t o 2 0 2 1 h t t p s : //w w w 1 2 s t a t c a n g c c a /c e n s u s - r e c e n s e m e n t / 2 0 2 1 /a s - s a / f o g s - s p g /a l t e r n a t i v e c f m ?
t o p i c = 7 & l a n g = E & d g u i d = 2 0 2 1 A 0 0 0 0 1 1 1 2 4 & o b j e c t I d = 4 a
2 S t a t i s t i c s C a n a d a ( 2 0 2 4 ) H o u s i n g A f f o r d a b i l i t y i n C a n a d a , 2 0 2 2 h t t p s : //w w w 1 5 0 s t a t c a n g c c a /n 1 /d a i l y-
q u o t i d i e n / 2 4 0 9 1 0 /d q 2 4 0 9 1 0 b - e n g h t m
3 M a c d o n a l d , D , & Tr a n j a n , R ( 2 0 2 3 ) C a n ’ t a f f o r d t h e r e n t R e n t a l w a g e s i n C a n a d a 2 0 2 2 C a n a d i a n Ce n t r e
f o r Po l i c y A l t e r n a t i v e s h t t p s : //p o l i c y a l t e r n a t i v e s c a /p u b l i c a t i o n s /r e p o r t s /c a n t - a f f o r d - r e n t
4 C a n a d i a n M o r t g a g e a n d H o u s i n g Co r p o r a t i o n R e n t a l m a r k e t d a t a ( 2 0 2 0 ) h t t p s : //w w w c m h c -
s c h l g c c a /p r o f e s s i o n a l s / h o u s i n g - m a r k e t s - d a t a - a n d - r e s e a r c h / h o u s i n g - d a t a /d a t a - t a b l e s /r e n t a l - m a r k e t
5 C a n a d a M o r t g a g e a n d H o u s i n g Co r p o r a t i o n ( 2 0 2 4 ) R e n t a l M a r k e t R e p o r t h t t p s : //a s s e t s c m h c -
s c h l g c c a /s i t e s /c m h c /p r o f e s s i o n a l / h o u s i n g - m a r k e t s - d a t a - a n d - r e s e a r c h /m a r k e t - r e p o r t s /r e n t a l - m a r k e t -
r e p o r t /r e n t a l - m a r k e t - r e p o r t - 2 0 2 3 - e n p d f
6 G o v e r n m e n t o f C a n a d a ( 2 0 2 4 ) G e n e r a l h o u r l y m i n i m u m w a g e r a t e s i n C a n a d a s i n c e 1 9 6 5
h t t p s : //m i n w a g e - s a l a i r e m i n s e r v i c e c a n a d a c a /e n /s i n c e 1 9 6 5 h t m l
7 . Po s t -S e c o n d a r y E d u c a t i o n , Tr a i n i n g a n d L a b o u r. ( 2 0 2 4 ) . M i n i m u m w a g e i n c r e a s e s t o $ 1 5 . 3 0 p e r h o u r .
G o v e r n m e n t o f N e w B r u n s w i c k . h t t p s : //w w w 2 .g n b.c a /c o n t e n t /g n b /e n /d e p a r t m e n t s /p o s t -
s e c o n d a r y e d u c a t i o n t r a i n i n g a n d l a b o u r /n e w s /n e w s r e l e a s e . 2 0 2 4 . 0 4 . 0 1 3 9 . h t m l
8 . S t a t i s t i c s C a n a d a . Ta b l e 1 8 - 1 0 - 0 0 0 4 - 0 1 Co n s u m e r P r i c e I n d e x , m o n t h l y, n o t s e a s o n a l l y a d j u s t e d
9 . I b i d .
g e 1 2
Prepared by Liam Fisher, Heather Atcheson, and the Human Development Council, a social planning council that coordinates and promotes social development in New Brunswick Copies of the report are available from: