There was some startling news this morning as the Yukon Anti-Poverty Coalition released its annual “Living Wage in Whitehorse 2022” report today.

In it, the coalition defined the living wage as the “hourly rate at which the basic needs of a household made up of two adults working full-time and two children can be met after accounting for government transfers and deductions.”

In the news release that accompanied the report, the coalition noted there’s a reduction of more than $2 an hour from the same figure in 2021.

Kendall Hammond, the author of the report, told the Star this morning the figure last year was nearly $21 an hour.

The only reason for the unexpected decrease, he said, was because of some new government programs and transfers, particularly for child care.

“Thanks to increases in government transfers, especially to households with children, the living wage in Whitehorse in 2022 is equal to $18.28 per hour for each adult, which is a decrease from 2021,” Hammond said.

“The findings in the report show significant reductions in expenses such as child care, through benefits such as the Yukon Early Learning and Child Care Funding Program, which subsidizes up to $700 per month per child for licensed early learning and child care.”

His figures show that is approximately $10,000 a year in savings for the designated family of two adults and two children. That’s the demographic the programs are aimed at.

“That’s quite significant,” he said.

People outside that category don’t receive the same positive benefits, Hammond said.

He also qualified the report’s usefulness by explaining the figures used in compiling it were from the end of 2021, before the massive crush of inflation hit high gear.

It’s not quite as relevant as it might be otherwise, Hammond said.

While not a technical blip, circumstances have already changed quite considerably from the data baseline the report used.

“As inflation reaches highs that haven’t been seen in nearly half a century, particularly affecting amenities such as shelter, food, clothing, and transportation, further direct measures are necessary to ensure everyone can access these necessities of life,” he said.

“Individuals living on their own, lone parent families or those without children are unable to access many of these tax credits and benefits.

“Inflation and the rising cost of living will have a significantly steeper impact on them.”

Hammond said he expects the scenario to be much different next year at the rates the costs for shelter, food and transportation are skyrocketing.

“It’s a function of these times,” he said. “We expect to see a sharp increase in the living wage calculation for 2023 given the increased costs of shelter, food and transportation this year.

“We will continue to work collaboratively with our community partners and governments to implement the recommendations outlined in this report,” added Kristina Craig, the the coalition’s executive director.

“This report clearly demonstrates that direct cash transfers are one of the most effective tools at the government’s disposal to combat inflation and reduce poverty.

“Action really needs to be taken now to ensure more people do not fall through the cracks as the cost of living increases.”