Minimum Wage Increase Announced by Government
The Ontario government has announced an increase to the minimum wage in Ontario as of October 1, 2022. The panned increases are as follows:
- General Minimum Wage: $15.50 up from $15.00 per hour
- Student Minimum Wage: $14.60 up from $14.10 per hour
- Homeworker Minimum Wage: $17.05 up from $16.50 per hour
Day rates for hunting, fishing, and wilderness guides will be increased to $77.60 per day when working less than five consecutive hours in a day and $155.25 per day when working five or more consecutive hours in a day.
In addition, the Ontario government has suggested that future increases to the minimum wage will occur each October and tied to inflation.
Effects of the Ontario 2022 Provincial Election
The proposed increase will take effect following the Ontario Provincial Election which will be held by June 2, 2022 at the latest. The increase in October is predicated on the Ontario Progressive Conservative Party winning sufficient seats to form government. Other parties have promised, if they were to form government, different increases to the minimum wage.
The Ontario New Democratic Party is promising to increase the minimum wage to $16.00 per hour by October 2022 if it forms government, and a gradual increase of $1.00 per year to reach a $20.00 per hour minimum wage by October 1, 2026.
Meanwhile, the Ontario Liberal Party is promising a $16.00 per hour minimum wage by 2023 if they are elected to government. The Liberal Party has coupled this promise with a requirement that employers provide 10 paid sick days per year to their employees.
The current polls suggest that the Ontario PC Party is on a path to a comfortable reelection meaning that the scheduled increase in October 2022 will likely take effect. However, as the election writ has not been drawn up as of the writing of this post, and given general electoral uncertainty, employers should prepare for an increase to the minimum wage regardless of the outcome.
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