Ontario Minimum Wage Increased to $17.20 per Hour

The Ontario government has announced an increase in the general minimum wage from $16.55 to $17.20 per hour, effective October 1, 2024. This adjustment represents a 3.9% increase, which is linked to the Consumer Price Index. The government estimates that nearly one million workers will benefit from this wage increase, potentially adding up to $1,355 annually for those working a standard 40-hour week.

The increase positions Ontario's minimum wage among the highest in Canada. The government states that this change aims to provide a predictable wage environment for both workers and businesses.

Additionally, the government has highlighted its commitment to ensuring that minimum wage jobs serve as entry points into the workforce rather than final career destinations. To support this, various programs are in place to assist individuals in finding higher-paying jobs with better benefits. Recently, the government passed the Working for Workers Four Act, which is intended to address labor shortages and encourage local job creation.

The Employment Standards Act governs the adjustments to minimum wage rates, which are reviewed annually based on economic indicators. The government will continue to monitor labor market conditions and make necessary adjustments to support workers and employers alike.