The Windsor-Essex Regional Chamber of Commerce is in support of a recent increase to Ontario's minimum wage but wants to make sure the government maintains predictability when it comes to the cost of doing business.
Rakesh Naidu, President and Chief Executive Officer of the chamber, says we are in support of scheduled increases where businesses have time to plan. Businesses value and deserve predictability when it comes to government mandates that will affect the cost of doing business.
Naidu says the chamber recognizes that Ontario workers have been impacted by the higher cost of living and affordability challenges, and that they are in favour of fair compensation and wage increases that may help reduce these concerns and retain much-needed talent in our region.
"People that are getting paid a decent wage and if these people are in the community, they are likely to invest in the local community." he says. "The economy of the local community thrives when you have people paid a decent living wage because they contribute to the local economy."
Ontario's minimum wage increased to $16.55 an hour as of Oct. 1.
The increase is tied to inflation, and is up 6.8 per cent from the previous rate of $15.50 an hour.
Naidu says businesses find a way to respond to challenges like cost increases.
"What we are asking for is that there be a proper plan in place where any change is seen and businesses know it's coming. There's predictability and stability about that so businesses have time to respond," he says.
The province first announced the increase in March, in order to give businesses time to plan.
The Progressive Conservatives cancelled a planned minimum wage increase from $14 to $15 per hour after they took office in 2018, then raised it to $15 in January of last year and tied later increases to inflation.