Doug Ford Just Cancelled Ontario’s Minimum Wage Increase. Low-Wage Workers Are Out $2,000 Per Year.
It’s official: low-wage workers in Ontario are losing their two thousand dollar raise
September 26, 2018
Ontario Premier Doug Ford’s government has announced it is cancelling the province’s planned minimum wage increase to $15 per hour.
During a press conference Wednesday, Ford’s Labour Minister Laurie Scott was asked directly by reporters what a minimum wage employee in Ontario will earn as of January 1, 2019.
“The minimum wage is going to be paused at $14 an hour,” Scott said.
Although reporters noted this year’s minimum wage increase did not cause job losses in the service sector or other low-wage industries, Ford’s labour minister insisted the minimum wage increase has “hurt job creation in the province.”
Ford’s move to scrap the minimum wage increase means Ontario’s low-wage workers will see nearly two thousand dollars less in their pockets ($1,899) next year than they would have had the $15 minimum wage increase gone through as planned.
Scott attempted to argue that scrapping the minimum wage raise would be offset by a tax credit aimed at low-wage workers, although Scott could not say when the tax credit would actually be rolled out.
However, economists point out Ford’s tax credit, if it ever happens, actually leave low-wage workers with a one thousand dollar hole in their pockets.
According to an analysis by economist Sheila Block, Ford’s tax credit would only save low-wage workers $817 a year, which does not come close to offsetting the loss of $1,899 raise by clawing back the minimum wage.
In other words, even if Ford balances out the minimum wage cut with a tax credit, low-wage workers still lose out a staggering $1,082 per year.
https://pressprogress.ca/doug-ford-just-cancelled-ontarios-minimum-wage-increase-low-wage-workers-are-out-2000-per-year/
It’s official: low-wage workers in Ontario are losing their two thousand dollar raise
September 26, 2018
Ontario Premier Doug Ford’s government has announced it is cancelling the province’s planned minimum wage increase to $15 per hour.
During a press conference Wednesday, Ford’s Labour Minister Laurie Scott was asked directly by reporters what a minimum wage employee in Ontario will earn as of January 1, 2019.
“The minimum wage is going to be paused at $14 an hour,” Scott said.
Although reporters noted this year’s minimum wage increase did not cause job losses in the service sector or other low-wage industries, Ford’s labour minister insisted the minimum wage increase has “hurt job creation in the province.”
Ford’s move to scrap the minimum wage increase means Ontario’s low-wage workers will see nearly two thousand dollars less in their pockets ($1,899) next year than they would have had the $15 minimum wage increase gone through as planned.
Scott attempted to argue that scrapping the minimum wage raise would be offset by a tax credit aimed at low-wage workers, although Scott could not say when the tax credit would actually be rolled out.
However, economists point out Ford’s tax credit, if it ever happens, actually leave low-wage workers with a one thousand dollar hole in their pockets.
According to an analysis by economist Sheila Block, Ford’s tax credit would only save low-wage workers $817 a year, which does not come close to offsetting the loss of $1,899 raise by clawing back the minimum wage.
In other words, even if Ford balances out the minimum wage cut with a tax credit, low-wage workers still lose out a staggering $1,082 per year.
https://pressprogress.ca/doug-ford-just-cancelled-ontarios-minimum-wage-increase-low-wage-workers-are-out-2000-per-year/