Ontario Premier Doug Ford is keeping his campaign promise to freeze former premier Kathleen Wynne’s plan to raise the minimum wage to $15 an hour by 2019.
The decision was announced on Sept. 26 by Ontario Minister of Labour Laurie Scott that the minimum wage will remain at $14 an hour instead of the proposed $15.
It’s unclear if the government will keep the current minimum wage as is or if it would eventually go up, but Scott said they’re currently doing consultations.
Shawn Dhaliwal, a second-year education student at York University, works a minimum wage job. He said while a wage increase “would be desirable,” he understands the consequences.
“The extra dollar isn’t worth the economic consequence, so I can see why Doug Ford is trying to stop [the increase], he said. “It’s not a big deal because it’s not like we’re jumping three, four dollars again, but businesses will have the incentive to raise their products’ [prices].”
The promise the former Liberal government made was part of the Fair Workplaces, Better Jobs Act passed last year, including the minimum wage hike, a section that would block employers from forcing workers to wear high heels, and sets out that casual, part-time, temporary and seasonal workers get paid the same as full-timers when they are “substantially” doing the same job.
On Jan. 1 this year, Wynne kept her promise to raise minimum wage from $11.60 an hour to $14, sparking complaints among businesses, with some franchise owners raising prices and cutting employee benefits.
According to Scott, “the increase of 20 per cent was a lot for businesses to absorb,” and by halting the wage increase. it will “give businesses the chance to catch up.”
Luke Taylor, Carleton University Students’ Association’s (CUSA) vice-president (finance), said in an email that nothing would change for CUSA-owned businesses.
“We value our employees and have committed to paying them the minimum wage that was agreed upon in the collective agreement. Regardless of a wage freeze, all CUSA employees will still be paid the wages that were promised under this agreement,” he said. “Minimum wage increases will always affect business, but there are many strategies that can be adopted to protect student jobs while providing value.”
With the wage staying at $14 an hour, Dhaliwal said students just need to save and spend money wisely.
“I feel like they can [live off $14 an hour]. It just depends how you spend your money. Students do not have a lot of financial assets, so saving and being proactive matters.”
Smai Batson, a first-year biology student at Carleton, said by keeping the wage at $14 an hour, workers don’t have to worry about unemployment. She said they can rather feel satisfied with their current position.
“Personally, I’m okay with $14—as long as I’m making money,” she said.
With the majority of on-campus jobs being paid minimum wage, students are likely to be affected, but “safe,” Taylor said. He said CUSA will provide students with the resources they need for employment.
“Whether the wage goes up or down, we will always do our best to give students the access to jobs,” he said. “Our businesses provide the opportunity for convenient and accessible employment in an environment that is conducive to the student lifestyle.”
—With files from Daniel Meecham
