Rising costs make 'living with dignity' difficult for those with lower income
Over the past year, the rise in the cost of living has been most brutal for those with lower income, according to a new report.
The income needed to "live with dignity" has risen faster than inflation, according to a study by the Institut de recherche et d'informations socioéconomiques (IRIS).
"People living in poverty or on the edge of poverty have less room to manoeuvre," said researcher Eve-Lyne Couturier. "It's harder to arbitrate between different categories of expenditure, and the most important expenses, notably housing and food, are categories that are very sensitive to inflation."
In 2015, IRIS developed the "sustainable income" bracket as an alternative indicator to the poverty line.
This includes basic needs and the expenses required to "live with dignity," such as vacations, cultural outings and saving for emergencies.
IRIS measured the indicator in seven Quebec municipalities for three household profiles: a single person, a single-parent family and a family of four.
IRIS estimates that the sustainable income threshold has risen by between 6.2 per cent and 19.3 per cent over the past year.
To live with dignity, a single person would need between $30,738 (Trois-Rivières) and $43,609 (Sept-Îles).
The necessary income for a family of four is between $72,788 (Trois-Rivières) and $86,585 (Sept-Îles).
A family in Sherbrooke, for example, needs an income of $78,563 in 2024 to reach the sustainable income threshold.
This represents an increase of 15.3 per cent in one year.
A single person in Quebec City needs $35,395, up 13.8 per cent on last year.
IRIS has also revised its methodology, as it does every five years, to ensure that its data is "as reliable as possible."
For groceries, IRIS took price readings in all seven regions.
Previously, price readings were taken in Montreal and adjusted for the other regions using other data.
"The 2024 data is much more representative of the cost of groceries," she explains.
The IRIS report also shows that minimum wage is insufficient to lift people out of poverty, Couturier points out.
In Montreal, a single person working a minimum wage job for 35 hours a week only reaches 68 per cent of their sustainable income.
According to IRIS, this person would need to earn $27 an hour to reach a sustainable income.
The minimum wage will increase by 50 cents to $15.75 on May 1.
A 65-year-old senior who receives $16,000 from the Quebec Pension Plan (QPP) in addition to the Guaranteed Income Supplement (GIS) and Old Age Security (OAS) pension, but who has no retirement savings, meets only 75 per cent of the minimum viable income.
"We can see that getting out of poverty is very demanding for people who are retired or working for low wages," emphasized the researcher.
-- This report by The Canadian Press was first published in French on April 29, 2024.
CTVNews.ca Top Stories
'Most of the city is evacuating': Gridlock on Alberta highway after evacuation order in Fort McMurray
Four Fort McMurray neighbourhoods were ordered to evacuate on Tuesday as a wildfire gets closer to the city.
Sask. police seize 1.5M pieces of evidence, lay 60 more charges in child exploitation case
Saskatchewan RCMP have revealed that a historic sexual assault investigation has led to the discovery of alleged crimes against children dating back to 2005.
'Inappropriate' behaviour shuts down Dublin to New York City portal
Less than a week after two public sculptures featuring a livestream between Dublin, Ireland, and New York City debuted, 'inappropriate behaviour' in real-time interactions between people in the two cities has prompted a temporary shutdown.
Bouchard scores late to lift Oilers over Canucks, tie series
After a final frame that saw the visiting Vancouver Canucks claw their way back and tie the game late, a point shot by Oilers defenceman Evan Bouchard with 38 seconds left (until what seemed like certain overtime) iced the 3-2 victory for Edmonton to knot the series.
Chiefs kicker Harrison Butker rails against Pride month, working women in commencement speech
Kansas City Chiefs kicker Harrison Butker railed against Pride month, working women, President Biden's leadership during the COVID-19 pandemic and abortion during a commencement address at Benedictine College last weekend.
King Charles III unveils his first official portrait since his coronation
King Charles III has unveiled the first portrait of the monarch completed since he assumed the throne, a vivid image that depicts him in the bright red uniform of the Welsh Guards against a background of similar hues.
Full List Are these Canada's best restaurants? Annual top 100 list revealed
The annual list of Canada's top restaurants in the country was just released and here are the places that made the 2024 cut.
Alberta announces the 4 health agencies that will replace AHS later this year
The province has released more information on its plan to break up Alberta Health Services and replace it with four sector-based health agencies.
Biden administration moving ahead on US$1 billion arms package for Israel, AP sources say
The Biden administration has told key lawmakers it is sending a new package of more than US$1 billion in arms and ammunition to Israel, two congressional aides said Tuesday.