Minimum wage in Ontario increased to $17.20

Ontario's minimum wage rose to $17.20 hourly on Oct. 1, a 3.9 per cent increase from the previous $16.55.  

After the following change, the minimum wage in Ontario has become the second highest in Canada, after British Columbia which has only 20 cents more as an hourly pay rate.  

However, according to the Ontario Living Wage Network, many places in Ontario need a minimum of $20 for workers to sustain themselves, with places like the GTA requiring up to $25.05 per hour. 

Many workers appreciate that the minimum wage has increased, yet, they express it will not benefit them much.

They say this added income will barely pay for groceries and rent, let alone cause any relief in hard times.

"It's a good step, but rent and everything is going up, so I still barely can save anything," said Laveskey Sharma, a retail worker. "Groceries and rent used to take away most of my salary but I am still hoping that I can save at least something now."

Even with the raise, some say they will struggle to keep up as rent and inflation rise more rapidly than wages. Workers mentioned that unless wages come more frequently or if housing support is available, it is far from being reasonable.

"Even with the raise, rent and food prices are going up way faster," said Rajdeep Gerwal, who works at a furniture store. "My landlord has increased the rent two times already in just one year, how am I supposed to save anything?" 

The hike can be seen as an advancement of the provincial government’s Working for Workers Four Act, 2024, which aims to protect millions of workers in Ontario. Apart from an increased minimum wage, the Act ensures employers will no longer be able to deduct the wages of restaurant, hospitality, and service workers in cases of dine-and-dash.  

The move comes in union with the decision that Canadian work experience will no longer be required in job postings to ensure that people with experience from outside Canada can also benefit from entering job designations that they earlier were unqualified for.

"With so much experience that I had abroad, I still have to work in low-paying jobs just because that work had no value in front of the recruiter," said Ivy Siddique, a hotel receptionist. "Now, I can plan on doing something better, something I like."

The Employment Standards Act states the minimum wage rates are changed based on the annual inflation rate. If the wages are to be changed, it is notified on or before April 1 and is implemented on Oct. 1.