Ontario’s Minimum Wage Increase: Implications for Employees and Employers

On October 1, 2024, the Ontario government will increase the minimum wage from $16.55 to $17.20 per hour. This 3.9% raise positions Ontario’s minimum wage as the second highest in Canada, just behind British Columbia’s $17.40 per hour.

⏩ What this means for employees: Employees working 40 hours per week at the minimum wage will see an annual increase in earnings of up to $1,355. In 2023, 935,600 workers in the province earned at or below $17.20 per hour.

⏩ What this means for employers: Preparing for these changes is crucial. About 35% of workers at or below the current minimum wage are in retail, while 24% are in accommodation and food services. This adjustment affects payroll and may also influence hiring, employee retention and compliance strategies.

⏩ Need guidance? As an employment lawyer, I’m here to help your business navigate these updates smoothly and ensure compliance with the new wage regulations.

Feel free to reach out if you have any questions about how this impacts your business.