Minimum wage increase caught businesses off-guard: Chamber

·3 min read

On Thursday, the Ontario Government introduced legislation that would increase the Province’s minimum wage from $14.35 to $15 effective January 1.

It was an about-face from the current government, which cancelled a similar move by the previous government when they came to power in 2018, but while the move was welcomed by employees, the decision caught some employers by surprise, according to the Aurora Chamber of Commerce.

“While the Chamber understands the importance of an increase in the minimum wage, especially in looking at the cost of living in the GTA, we are concerned that we, like businesses, were caught off-guard by the announcement this week and there has been minimal consultation with the business community,” said Sandra Ferri, President & CEO of the Aurora Chamber of Commerce. “For that reason, the Chamber is going to be reaching out to our members to hear what they are saying so we can provide feedback on their behalf back to the government.

“We’re coming out of this pandemic and we’re wondering about timing and whether it is the right time.”

From the Province’s perspective, the timing is right – and this is due to the pandemic.

“Ontario’s workers have been the unsung heroes of this pandemic, as they’ve stocked shelves, kept our supply chain moving and helped so many of us enjoy a meal among family and friends at a local restaurant,” said Premier Doug Ford in a statement. “When we asked labour leaders what their priorities were, increasing the minimum wage was at the top of the list. As the cost of living continues to go up, our government is proud to be working for workers, putting more money into their pockets by increasing the minimum wage.”

Speaking to The Auroran earlier this week, Deputy Premier and Newmarket-Aurora MPP Christine Elliott said the issue of minimum wage had been “discussed for a number of years.”

“We believe it is the right time to bring it forward now because people are finding the cost of everything now – from food to utilities – everything is becoming more expensive and we want to make sure people can stay in their own community and find jobs. Many employers have already increased their wages to their staff and so we don’t expect this is going to provide a significant issue for employers. The bigger issue by far seems to be the need for workers generally.

“We want to support our workers and we know they need an increase in the minimum wage to $15 per hour, that costs are going up for everything, but it seems appropriate at this point to increase the minimum wage. We know employers everywhere are looking for workers, that we have this mismatch of employers looking for people and young people looking for jobs and perhaps not having some of the skills they need in order to get those jobs, so we’re going to be investing over $90 million over the next three years in the skilled trades strategy to make sure we have people trained to the kinds of work out there.

“I have heard from a number of employers in Newmarket and Aurora who are anxious to find young people who have those trades and they are willing to bear some of the training costs, in order to continue their businesses at the same level and then be able to expand them. This is a piece that speaks to the needs of both employers and workers.”

Brock Weir, Local Journalism Initiative Reporter, The Auroran

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