Kitchener-Waterloo

Living wage up by 16 per cent in Waterloo region

Some local business owners said they'll continue to pay their employees a living wage despite rising inflation.

Ontario advocacy group says the living wage in Waterloo region is $19.95 per hour

A hand stacking coins.
(Singkham/Shutterstock)

The cost of living has gone up in Waterloo region, driving the living wage up with it.

According to the latest report from the Ontario Living Wage Network (OLWN), residents of Waterloo Region will need to make at least $19.95 an hour to make ends meet.

"It's no surprise," said Greg deGroot-Maggetti, the board president of OLWN. "We all know that this past year, we've seen a lot of inflation especially for core expenses like shelter costs and food."

In Waterloo region, there's been a 16 per cent increase in the living wage compared to 2021. Data for Guelph-Wellington and Waterloo region have been merged for 2022. Because Waterloo region's rate was lower than Guelph-Wellington in 2021, the region experienced a greater jump (16 per cent) this year, when compared to the increase in Guelph-Wellington (10.2 per cent).

He said Waterloo region has one of the highest concentrations of certified living wage employers when compared to the rest of the province. As of 2022, the Region of Waterloo is also the only municipal government to be certified at the highest level, where all full-time, part-time and contract staff earn at least a living wage.

Local businesses owners like Aleksandra Szaflarska of TWB Co-operative Brewery and Sam Nabi of Full Circle Foods said they'll continue to pay their employees a living wage despite rising inflation.

We certainly value our friends, neighbours and communities and so that should include our staff, employees and colleagues.- Aleksandra Szaflarska, TWB Co-operative Brewery

Nabi said paying a living wage lines up with their brand values — but it can make it more difficult to compete with bigger grocery food chains.

"We focus on ethical consumption, local produce and our customers care about those values and they care about living wage," he said. 

"Of course it is voluntary to be a living wage employer but if it was the case that the minimum wage was the living wage, it would level the playing field for independent businesses like ours who typically do treat our workers better and do have better employment standards."

Szaflarska said including the living wage into legislation would also help.

"We certainly value our friends, neighbours and communities and so that should include our staff, employees and colleagues," she said. "So we're working with other businesses ... to lobby for these kinds of practices to become widespread and then for that to create enough pressure and awareness that it enacts some sort of legislative change."

DeGroot-Maggetti said public policy can also have impact in different ways to help bring costs down for workers.

"Effective rent control can help bring down shelter costs for households. Subsidies for public transit can help reduce expenses for households and restrain the cost of living."

"There are a number of different public policies that can affect the cost of living ... and make it possible for more employers pay their employees enough to live."

ABOUT THE AUTHOR

Aastha Shetty

CBC journalist

Aastha Shetty can be reached via email aastha.shetty@cbc.ca or by tweeting her at @aastha_shetty