Minimum wage increase worries local business owners

Ontario’s bid to raise the minimum wage to $15 per hour was put to the public in Hamilton Thursday. Many are praising the increase as a move in the right direction but some business owners are fearful of its impact on their company.

The minimum wage is set to raise with inflation from $11.40 an hour to $11.60 an hour in October but then on January 1st, the government plans on bumping it to $14 per hour and then $15 per hour the following year.

Community members spoke before the committee with the power to amend the bill before its next reading. Ryan Mallough, a senior policy analyst for the Canadian Federation of Independent Business says it’s happening too fast for many of the group’s members.

“A 32% increase in payroll costs over 18 months is going to force them to make a lot of very difficult decisions. Realistically we’re looking at job freezes, job cuts and reduced hours for current employees,” said Mallough.

Bill 148, also known as the fair workplaces-better jobs act, also includes equal pay for part-time workers, increased vacation entitlements and expanded personal emergency leave.