Protect First Jobs

The best opportunities for young people and new Canadians to get their start in the work force have always been available in retail and food service.

If the minimum wage goes up as fast as the government is planning, without providing any cost savings to employers, particularly retail stores and restaurants, young people and new Canadians will have fewer opportunities and Ontario’s economy will suffer.

 

Send your MPP a letter

Committee Presentation

Expert Opinion

“On net, the FAO estimates that Ontario’s proposed minimum wage increase will result in a loss of approximately 50,000 jobs (0.7 per cent of total employment), with job losses concentrated among teens and young adults”
-Financial Accountability Office of Ontario, Commentary Assessing the Economic Impact of Ontario’s Proposed Minimum Wage Increase

 

“Seeing that teens are the majority of minimum wage workers, Canadian evidence has shown that a 10% increase in the minimum wage would lead to a 3% – 6% reduction in the employment of teens. Increasing minimum wages results in greater unemployment…”
-Minimum Wages: Good Politics, Bad Economics?, Northern Policy Institute, July 2014

 

“Yes there will be a reduction in some hours, some jobs, some businesses. No argument there. And most vulnerable workers (teenagers and newcomers) will bite the bullet first, particularly when there’s a downturn in demand.”
Armine Yalnizyan, vice president of the Canadian Association for Business Economics, CBC News, Will a $15 minimum wage be good for Ontario? Two experts debate, June 5, 2017

What’s happened so far

The Provincial government announced it will raise the minimum wage to $14 in 2018 and $15 in 2019.

The Standing Committee on Finance held hearings across Ontario in July. The government began musing about supports for “small business.”

The Retail Council of Canada working with Restaurants Canada, have presented the government with a proposal aimed at supporting continued employment for all workers under the age of 25, earning under $18.10 per hour.

The Proposal

Businesses expected minimum wage to be $11.50 in 2018. This is the “Expected minimum wage.” Instead, the minimum wage will be increased to $14.00. This is the “Increased minimum wage.”

We propose that the government allow businesses an enhanced deduction for the difference between the “expected minimum wage” and the “increased minimum wage” for all wages paid to employees under the age of 25, earning less than $18 per hour for a period of 5 years.