Doug Ford’s Minimum Wage Scheme Will Cost Workers $800 /Year
Doug Ford, Ontario’s new Conservative leader, has announced his plan for the minimum wage — and it’s not good news for workers.
While Ontario’s minimum wage is scheduled to rise to $15 on January 1, 2019, Ford has pledged to cancel this increase. Global News reports:
Ford pledged, for instance, to freeze Ontario’s minimum wage at $14 an hour, but also to eliminate provincial taxes for anyone earning less than $30,000 a year.
At first blush this may seem like a good trade-off for workers, but some basic math shows Ford’s plan will cost workers around $800 per year.
For example, a full-time worker (working 7.5 hours every business day) earning $15 per hour will have a before-tax income of $28,350. They will pay around $1,133 in Provincial income tax (according to this SimpleTax calculator). This brings their after-tax income to $27,217.
Under Ford’s plan, however, this worker’s before-tax income will only be $26,460. While they will pay no Provincial income tax, their after-tax income will still be $757 lower than it would be with a $15 minimum wage.
So if Ford’s plan actually costs workers $800 per year, who does it help? The answer is not surprising: it helps big businesses like Tim Horton’s who will no longer have to pay their workers a fair wage.
You won’t be shocked to learn that Ford also wants to give big corporations like Tim Horton’s a big tax break.
Ford pretends that he is on the side of workers, but it’s a lie: his right-wing policies benefit big business and rich corporate owners — and no one else.
If you oppose Doug Ford’s anti-worker policies, take a moment to add your name and join the fight to defeat his agenda.
Correction: A previous version of this article used an incorrect estimate of working days in Ontario. We have updated the article with correct data, which does not impact the outcome of the policies for workers. We regret the error.