Increased Ontario minimum wage not enough for people in Thunder Bay, Ont., says advocacy group

The general minimum wage across Ontario went up on by 60 cents on Oct. 1, but advocates in Thunder Bay say the increase doesn't go far enough.

The Lakehead Social Planning Council, a member of the Ontario Living Wage Network, says the new minimum wage of $17.20 is still over $2 short of what they call the "living wage".

"We know that there's no place in Ontario where you can work full time earning a minimum wage and pay all your bills," said Marie Klassen, executive director of the council.

"The increase is technically a good thing for many people working minimum wage, but we also know that they often have to work two and three jobs in order to again make ends meet."

The non-profit Ontario Living Wage network calculates what a livable wage should be based on factors like the cost of shelter, food or transportation in an area.

In Thunder Bay, the living wage is calculated by the network as $19.80 per hour. For Toronto, the living wage is calculated at $25.05 per hour for 2023.

Klassen said a living wage is not just about being able to pay bills, but also is about "living a good life."

"We also look at other things that are necessities, and necessities in this day and age like high-speed Internet, clothing, entertainment," she said.

"Our goal is to implement and talk about the living wage and what it means for our community."

Opposition parties say minimum wage not enough

Kathleen Wynne's Liberal government raised Ontario's general minimum wage to $14 per hour on Jan. 1, 2018, a substantial increase from the $11.60 rate of 2017 and from modest hikes of between 15 and 25 cents an hour since 2015.

The Wynne Liberals said they planned to raise it to $15 in 2019, followed by annual increases at the rate of inflation, but the Ford government, which took office in the summer of 2018, delayed further minimum wage hikes.

The Ford government waited until 2022 to raise the minimum wage to $15 and has now tied increases to the consumer price index (CPI), a move a spokesperson for the Ontario Ministry of Labour, Immigration, Training and Skills Development says provides "stability for workers and predictability for businesses."

Critics say the delay means the base rate was too low even when the government began tying increases to inflation.

"The fact that it's going up is good," said Ontario NDP Leader Marit Stiles. "But we need to adjust the base to reflect reality and then tie it to inflation. Right now, the base is far too low for where people are at right now."

She said the government also needs to better address major challenges like the lack of affordable housing.

In a media release, the Ontario government recognized that minimum wage jobs should be a "starting point, not an end-point."

"That's why we have programs helping people get into good jobs offering higher pay and more benefits," reads the release.

The province also touts its minimum wage as being one of the highest in the country. A statement from the Ministry of Labour indicates this year's 3.9 per cent increase means a worker making the general minimum wage over a 40-hour work week will make up to $1,355 more.

The Lakehead Social Planning Council evaluates the living wage rates using local expenses, but also through its services like the yearly income tax clinic.

This month, the organization is carrying out its Point in Time Count, a community-level measure of sheltered and unsheltered homelessness.

In Thunder Bay, the Point in Time count starts Saturday at 6 p.m. through Sunday at 6 p.m.