Ontario's Minimum Wage is Now $14 an HourIncreased Paid Vacations and New Personal Emergency Days Also in Effect
Starting January 1, 2018, the new general minimum wage of $14/hr takes effect in the province of Ontario.
As part of Ontario’s Fair Workplaces, Better Jobs Act, 2017, the minimum wage will increase again to $15 an hour on January 1, 2019, to be followed by annual increases at the rate of inflation.
Other provisions of the new provincial legislation that come into effect on January 1, 2018, include:
- Ensuring workers are entitled to at least three weeks’ vacation after five years with the same employer, bringing Ontario’s vacation time in line with the national average.
- Expanding the 10 days per calendar year for personal emergency leave to employees in workplaces with fewer than 50 employees, with at least two paid days per year for employees who have been employed for at least a week
- A new domestic or sexual violence leave of up to 10 individual days and up to 15 weeks of job protected leave; the first five days of leave in every calendar year would be paid
- Increased family medical leave from 8 to 28 weeks per year
- A new child death leave from any cause up to 104 weeks, and increased crime-related disappearance of a child leave from 52 to 104 weeks, and
- Changes to make forming a union and reaching a first collective agreement easier
OFFSETS: At this time, the Ontario government has announced only two offsets to assist business in making the transition to the new minimum wage or any of the other changes.
- Ontario will cut its corporate tax rate on the first $500,000 of profits to 3.5 per cent effective Jan. 1, down from the current level of 4.5 per cent, and
- Small businesses with fewer than 100 employees will get an incentive of $1,000 to hire a young person aged 15 to 29 and another $1,000 if the company retains that worker for six months.
STEERING THROUGH CHANGE: The Ontario Chamber of Commerce in partnership with MNP has developed a Toolkit, “Steering Through Change, A Handbook to Help Ontario Businesses Understand and Manage Bill 148,”designed to help business understand the changes involved in this legislation and to offer strategies for moving forward. Learn more and download yours here.