Minimum wage increase

Ontario’s minimum wage and your job search

posted in: Job Seekers | 0

Beginning January 1, 2018, the Ontario minimum wage will increase to $14 per hour. The current minimum wage is $11.60 per hour.
No one knows for sure what impact such a large change to minimum wage might have on the labour market. But if you’re currently in the middle of a job search, here are some things you may want to keep in mind as you continue to look for work.

Transition period

This is the largest single increase in minimum wage in Ontario since it was introduced in 1920. Although a higher minimum wage may help many Canadian workers increase their standard of living, for employers, the transition may be a challenge in the early stages. You may see employers act more cautiously when hiring or offer fewer hours as they adjust to the new standard.

More increases to come

January 1, 2018 is approaching fast. But on January 1, 2019, there will be another minimum wage increase. In a little over a year, the minimum wage will increase to $15 per hour, which will make Ontario the second province, after Alberta, to have a $15 minimum wage.

Additionally, after the raise to $15, the minimum wage will increase annually in-line with inflation. This is an important part of the new legislation as it is designed to ensure that the minimum wage always stays as a living wage.

More than just minimum wage

Although the minimum wage increase is currently receiving a lot of attention, this change is just one part of a broader workplace legislation reform. The changes that this new legislation brings to the Employment Standards Act are the biggest changes since 2000. Depending on your situation and what kind of work you’re looking for, these changes could impact your job search and what you can expect once you’re hired. Other changes include:

  • Reforms to the way Temp agencies schedule, assign and terminate temporary workers
  • Regulations around employees being misclassified as “independent contractors”
  • New standards for employee vacation time and pay
  • Simplifying the calculation for vacation pay
  • Reforms to different types of leaves like: emergencies, domestic or sexual violence, loss of pregnancy, critical illness, family medical, parental
  • Increased fines for employer non-compliance

If you’re looking for work in the new year and need help getting started, contact us today .

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