New Minimum Wage Research Cause for Local Concern
September 19, 2017QUEEN’S PARK – New research suggests the government’s new minimum wage plan could threaten job losses across Ontario – but especially outside of Toronto, including in North Bay, Nipissing MPP Vic Fedeli said today.
A report today from the Fraser Institute points to evidence that “severe” negative economic effects are more likely when the minimum wage to average wage ratio exceeds 45%.
With the government’s proposal, that ratio would reach 55% province-wide, and 51% in North Bay and Sudbury in 2019, Fedeli pointed out.
When comparing wage ratios with other provinces and neighbouring U.S. states, the report also states Ontario is set to become an “outlier” in 2019 under the government’s plan.
This research follows a report last week from Ontario’s independent Financial Accountability Officer, which concluded Ontario will see 50,000 job losses or more, mostly among teens and young adults.
“Our caucus supports a $15/hour minimum wage. Unfortunately, the Wynne government plan to rush it through is reckless,” said Fedeli.
“That’s why, at committee, we introduced amendments to require a cost benefit analysis before the government’s bill comes into force and to require an economic impact assessment of the bill in 2018. Yet, the Wynne government rejected these very reasonable amendments.”
The report can be found here: http://bit.ly/2f7usGx