Ontario pay hikes underway

By Lawrence Drown

Minimum wage earners in Ontario received their first pay raise earlier this month as part of Premier Kathleen Wynne’s three-year plan to increase the minimum wage to $15 per hour by 2019.

In 2004, workers earned $6.85 per hour. That wage has been increased 11 times since then, and now stands at $11.60 per hour.

The Ontario Liberal Party’s plan targets young people in an attempt to create a fair market. An employee from Wanda’s Dessert restaurant, Jessica Boidillo, said it will personally be of great benefit to her.

“Any increase in payment is good, 20 cents is not that much but it helped me because I am a student too,” said Boidillo. “I think this will be a positive sign for everyone, especially for students and young people who work. However, I think other expenses will increase too.”

It is estimated that the 30 per cent increase will cause the cost of living to rise with it. However, many people are not concerned that the increase will have a negative effect on their lives.

Doner Kebab House owner Guven Celikkaya said he doesn’t care about the change as his family business will not be affected negatively.

“For small business owners, it won’t affect much, you pay one or two employees another 20 bucks a day,” said Celikkaya.

An employee from Perfect Threading and Beauty Salon, Dani Akther, said the pay rise is not beneficial in any way.

“I don’t think this is a negative [impact]”, said Akther. “However, what I earn extra will be spent anyway due to higher prices.”

An instructor at the Ted Rogers Institute of Management and Business, Brent Barr, said inflation is to be expected, as well as unemployment and underemployment.

“I believe this was a completely political move,” said Barr. “Raising the minimum wage in steps over the next few years gives young people, who will receive a higher wage, incentive to vote for that party, but economists have predicted thousands of job losses.

“When minimum wage starts to jump in 2018 and 2019, the cost of living will increase as labor costs of small business increase and people will be laid off or lose work hours,” said Barr.