Ontario raises minimum wage to $11(Canadian) an hour

Ontario’s Liberal government is raising the minimum wage to $11 an hour, promising annual increases will be tied to the rate of inflation, but critics say it’s not enough to lift workers out of poverty.

Premier Kathleen Wynne announced the 75-cent-an-hour hike Thursday — the first minimum wage increase in the province since 2010 — calling it a “fair adjustment” that reflects the rise in the Consumer Price Index . . .

Anti-poverty activists and unions have been demanding an immediate increase to a $14-an-hour minimum wage, but the government has said that would hurt businesses and end up reducing jobs.

cbc.ca/news/canada/toronto/ontario-raises-minimum-wage-to-11-an-hour-1.2516659

The Canadian dollar, the “Loonie”, is worth about 0.89 U.S.

So, that’s a Minimum Wage of about $9.79 in U.S. currency per Hour.

From the article, the increase in minimum wage is intended to mirror the increase in cost of living. Does the amount of the increase sound accurate?

I am glad this experiment in inflation is happening far away from me.

I only hope they will be able to see (and understand) the damage once it occurs.

What does inflation have to do with the minimum wage?

It must mean that business is thriving. Ya think? Well, good if so, and maybe a whole lot of people from south of the border can go up there and get better paying jobs! Ya think?
Sure, it could happen!:wave:

This news article is from a year ago, but I think Canada’s need for employees has increased.

*U.S. workers, Canada wants you.

Here in the western province of Alberta, energy companies are racing to tap the region’s vast deposits of oil sands. Canada is looking to double production by the end of the decade. To do so it will have to lure more workers — tens of thousands of them — to this cold and sparsely populated place. The weak U.S. recovery is giving them a big assist.

Canadian employers are swarming U.S. job fairs, advertising on radio and YouTube and using headhunters to lure out-of-work Americans north. California, with its 10.2% unemployment rate, has become a prime target. Canadian recruiters are headed to a job fair in the Coachella Valley next month to woo construction workers idled by the housing meltdown.

The Great White North might seem a tough sell with winter coming on. But the Canadians have honed their sales pitch: free universal healthcare, good pay, quality schools, retention bonuses and steady work.*
articles.latimes.com/2012/nov/10/business/la-fi-canada-recruit-20121111

Rising the minimum wage can help prevent deflation. Consider the context:

Canada’s inflation rate rose in November to 0.9 per cent, but it was the seventh month in the past 13 months where the official headline inflation reading came in below the bank’s desired broad range of between one and three per cent.

And it’s been consistently below the ideal target of two per cent, adding further justification to the Bank of Canada’s reluctance to raise interest rates.

Central banks are usually more preoccupied with high inflation, but low inflation is equally concerning because it’s evidence of weakness in real economic activity and could lead to deflation, where prices actually decline absolutely.

vancouversun.com/business/fp/yourmoney/Bank+Canada+move+expected+interest+rates+inflation+still+worry/9416656/story.html

Well, it will be about the same here in the US shortly, $10.10 I believe Obama said?

Thats a good minimum wage IMO, I felt the $15 they were asking for was a bit too much, but I thought Obama would raise it to $12, so I was a bit off, but not by much.

I hope those that get a big increase in their paychecks are wise with it and save it versus going out and spending it on useless things, like big tvs, expensive electronics, etc.

BTW, to all those who claimed if minimum wage went up, those making more money would also ask for a raise…Well, our company had a conf. call the other day about this, HR asked our regions employees if they felt they deserved a raise if the federal minimum was raised to $10.10 per hour, only 2 out of roughly 53 people said they thought they deserved to get more on the hour. I do not feel this makes me suddenly worth more money though…I feel what I make for my job is fair, I do get 75 cents a year raise too, based on my job performance.

I feel those making a measly $7.25 need at least enough to pay their bills, $10. hour is not alot of money, but its much better than $7.25, IN NO WAY should this mean everyone else deserves a raise though LOL Not sure how those people got to that conclusion.

$10/hour will be a whole lot less money if the minimum wage goes up.

What do you mean?:confused:

  1. The Canadien Dollar is worth more than the USD.
  2. The Canadien standard of living is higher on average then the American one.
  3. Again we see Canada leading the way with concern for the poor.
  4. They have the best sniper as well.:shrug:
  5. Then there is Hockey.:smiley:

ATB

  1. Canada only has 30 million people, with 90% or more living within 100 miles of the US border.

When minimum wage goes up so do prices. Any increase in wages will be eaten up by increased prices.

I am happy to hear that they have raised their minimum wage. I hope that the United States does so soon. I think that the minimum wage is likely to be raised here in the United States soon from what I understand. I think it will be a good thing for those who work minimum wage jobs. I would love to see everyone have a better quality of living. But then again, if the minimum wage goes up then I would imagine that the cost of living will also go up and so it may not make much of a difference in the long run.

  1. This I know to be false; I just bought an item from Canada a few days ago and the exchange rate went from about $25.XX CD to $23.XX USD. The US dollar is most definitely worth more than the Canadian dollar.

  2. Because of better health care, mainly.

  3. Yep :thumbsup:

Source?

Dawnia, come on, that’s the same old song the conservatives have sung since the start of it all. It’s no truer today than it was then. You know this, and yet you persist. :shrug:

ATB

I went by the current exchange rate. I travel to Canada often and seem to lose coming, and going.:shrug: But I’ve not seen a variation like that in years.

ATB

You seem to be under the mistaken impression that I think one causes the other and I don’t. I think it’s far more complicated. But, I don’t live with the delusion that minimum wage increases are done in a vacuum either and have no effect on the economy or jobs.

I’ve worked most of my life for minimum wage and have been through several increases. It’s shocking but, I never got rich from having minimum wage go from $1.35/hour up to $7.25/hour. Prices went up right along with the increases in income. It is not how much money you have, but how much that money will buy.

Basic economics.

If the cost to provide a service or good goes up, the cost of that service or good will go up.

In increasing the payroll cost for businesses, they have increased the cost for those businesses to provide services.
The business is going to have to increase the cost of goods or services to maintain their level of profitability.

I learned this in college, but experienced it long before.
Through high school I worked minimum wage jobs so I could put gas in my car and have a social life. Not knowing any better, I supported every minimum wage increase at the time.
But always was frustrated as my paychecks, although now bigger with the increase in the wage, never went as far as they did before.
Movies tickets for a date increased in cost.
Dinner - increased in cost.
The menu items at the restaurant I worked at - increase in cost.
Gas - increase in cost.
Date night for me at the time would increase in cost with every increase of the minimum wage.

It would be years later when I was put in charge of a business budget myself that I was able to see first hand how the increase in minimum wage hit everything.

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