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Wage Hike

Thursday, 30 January 2014 10:15

Ontario's minimum wage is going up to $11/hr, but is it enough?

UPDATE: It is confirmed, the minimum wage is going up to $11/hr, effective June 1st, 2014.

If you're making minimum wage, expect a raise in the near future.

Several reports are indicating the province is close to announcing a move to take the minimum wage to $11 an hour from $10.25.  The announcement could come as soon as this week after the wage has been frozen in place since 2010.  The rate of $11 per hour is being calculated as a retroactive increase, factoring in a 6.7% increase in prices over the last 4-years.

There may also be regular increases in the future that will be tied to the rate of inflation, with businesses getting four months notice of an pending increase.

Broderick Carey with the Oxford Regional Labour Council has been among those in the province calling for a $14 per hour minimum wage.

While he's in favour of the proposal to tie the minimum wage to inflation, he says that shouldn't be without bringing it to $14 first.  "To raise everybody out of poverty.  To do anything less is really legislating people to live in poverty."

Carey also believes a $14 an hour minimum wage would make for a healthier economy.  "It won't cost the government a dime, and it will really stimulate the economy to the tune of $5-Billion.  People that are living at the poverty line, or just above, are not travelling around the world.  They are actually spending that money in their community, which will help create jobs."

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