14 Feb Has minimum wage increased in Ontario?
Living in Ontario is becoming exponentially more expensive during a time where staying employed has become much more difficult. Because of COVID-19, many businesses have failed, countless employees have lost their jobs, and most are primarily focused on staying healthy. With two years of experiencing a lifestyle being severely affected by this reality, Ontario has started to make several changes to benefit employment relationships across the province.
If you are an employee who works for minimum wage, beginning in 2022, you will now be owed more compensation from your employer. Minimum wage has now increased for all employees being paid the minimum, including bartenders or servers, employees under 18 years, those who work from home, and guides for hunting/fishing.
How much have wages increased?
The general minimum wage increase improved from $14.35 to $15.00.
For employees who serve alcohol, their wages increased from $12.55 to $15.00. Employees who are paid minimum while working from home are now paid $16.50 instead of $15.80. And further, guides who specialize in fishing, hunting, or wilderness expertise are now owed $75.00 rather than $71.75, or $150.05 rather than $143.55 if they work more than five hours a day.
Why increase minimum wage?
Minimum wage increases have taken effect primarily to balance out inflation. In Ontario, the cost of living continues to rise, and previous wages being offered have been deemed no longer acceptable by the Ontario Government.
According to the Ontario Living Wage Network (OLWN), which evaluates how much money people in Ontario need to earn to live a simple lifestyle, individuals need to make $22.08 per hour to afford living in Ontario. This evaluation considers expenses like food, housing, clothing, medical expenses, childcare etc. Minimum wage is still $7.00 short of this amount.
Further, because of the pandemic, many businesses have been struggling to hire employees. With this new raise, Ontario is hoping it will provide more incentive for people to apply to jobs and work during times of uncertainty.
If you reasonably believe you are owed more compensation, please contact KCY at LAW by filling in an online consultation request or contact us by phone at 905-639-0999 to book your consultation today.
