The living wage in Niagara has increased, showing just how drastic the gap is between it and the current minimum wage in Ontario.
According to a report released on Nov. 6 by Living Wage Niagara, the living wage has jumped to $20.35 per hour from last year’s $19.80 per hour. This 2.8 per cent increase was decided from an “aggregation of three household types” and accounts for the average cost of housing, transportation, food, childcare and other necessities like medical, clothing, internet and more.
A living wage, as described by Living Wage Niagara, “is calculated as an evidence-based hourly rate at which a household in Niagara can meet its basic needs.” People who are paid less than this amount often have to sacrifice day-to-day essentials like recreation, continuing education, clothing or even food.
When people have considerations like children or medical issues, a living wage becomes increasingly important.
However, the current minimum wage in Ontario, which increased from $15.50 per hour on Oct. 1, is only $16.55 per hour. This jump is the largest seen since 2020, but so is the living wage increase, and it’s still $3.80 per hour less than what’s required for people’s basic needs.
This number is lower for students under the age of 18, currently sitting at $15.60 per hour. Expenses may not be high for these students, but they can increase if they choose to go to university, considering tuition costs and the rising prices of food and housing. Some students even start their first year of university at the age of 17.
In the report, Aima Khan, the Living Wage Program Coordinator at United Way Niagara, says: “As [the] cost of living continues to increase across Canada, Ontario’s recent efforts to raise the minimum wage falls short of what is needed for individuals and families to live a sustainable life.
“The living wage is not perfect but it is one step closer to supporting our working people who are struggling to make ends meet… Currently the living wage program is one of the most effective ways to reducing poverty for working people in Niagara.”
Businesses can become living wage certified through Living Wage Niagara, placing themselves on the interactive map and list of certified employers, a useful resource for Brock students looking for work in the region.
The minimum wage has been a discussion point for many years in Canada as inflation and poverty rates rise, but a living wage ensures people can live their lives without sacrifice, regardless of what the legal minimum rate is.
Living Wage Niagara’s home page and more resources that educate about the living wage can be found here.
