Toronto – The Ontario government has unveiled plans to increase the minimum wage from $16.55 per hour to $17.20, effective October 1, 2024. The decision, based on the Ontario Consumer Price Index (CPI), reflects a 3.9% annualized wage increase and positions Ontario’s minimum wage as the second highest in Canada.
David Piccini, Ontario’s Minister of Labour, Immigration, Training, and Skills Development, highlighted the government’s aim to support nearly one million workers in earning higher wages for themselves and their families. “We are providing businesses with certainty and predictability by announcing this annual wage increase six months in advance, while also helping families offset the rising cost of living,” Minister Piccini stated.
The wage increase announcement comes amidst ongoing discussions regarding the financial challenges faced by workers and their families, particularly in light of increasing living costs. By providing advance notice of the wage adjustment, the government aims to offer businesses clarity while addressing concerns related to household finances.
According to estimates, workers earning the general minimum wage and working 40 hours per week could see an annual pay increase of up to $1,355 as a result of this adjustment. In 2023, approximately 935,600 workers were earning at or below the $17.20 per hour threshold.
The minimum wage increase initiative is part of the government’s broader efforts to enhance protections for workers across various sectors. It complements the Working for Workers Four Act, 2024, which introduces several measures aimed at safeguarding workers’ rights. Among these provisions, the Act strengthens wage protections for workers in industries such as restaurants, hospitality, and services by clarifying employer obligations in specific situations.
The government’s decision to increase the minimum wage and implement additional worker protections reflects its commitment to supporting the well-being of Ontario’s workforce. For more information on the minimum wage increase and related legislation, stakeholders are encouraged to visit the Ontario government’s official website.
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