Most of us have worked for minimum wage at some point. It was the going rate for that first job at a fast food restaurant, a service station or another job that was perfect for a teenager.
And a lot of people can tell you what the minimum wage was at the time of that first job. But there was that sense of pride in receiving that first paycheque, even if it was a small amount because it was a part-time job.
Of course, there鈥檚 a big difference between being a teenager earning minimum wage, and an adult trying to make ends meet while receiving such a wage.
The minimum wage has gone up over the years, as it should. At the very least, it should keep pace with inflation.
The issue of the minimum wage has been thrust into the national spotlight since Ontario鈥檚 minimum increased from $11.60 per hour to $14 per hour on New Year鈥檚 Day, making it the highest in the country.
Most of us who worked for the minimum could have never imagined it reaching $14 per hour, but it鈥檚 not as wonderful as it sounds.
It鈥檚 not just the amount that is an issue for some, but the staggering increase of about 20 per cent.
A sudden rate increase like that causes problems for business owners with employees who receive minimum wage. It forces employers to cut back on hours, shifts and eventually employees.
We鈥檒l see if the projections of significant job losses come to fruition, but some people will lose their jobs. And those who keep their jobs might not have the take-home pay they expected when they heard they would make $14 per hour.
It could also be more difficult to hire students.
Ontario鈥檚 actions should serve as a cautionary tale to other governments looking at sudden, significant increases to the minimum wage. It should be filed under the category of 鈥淚t seemed like a good idea at the time.鈥�
You might be happy to have your wage increase by 20 per cent, but that excitement might disappear if you lose your job, or your co-workers lose their jobs, or if the benefits are suddenly gone, which has happened at some Ontario restaurants.
Saskatchewan鈥檚 minimum wage is at $10.96 per hour, which is one of the lowest in the country, especially when you consider how much the cost of living has increased in the last decade. The wage should be higher, but the increases should be incremental.
Most business owners have narrow profit margins as it is. They aren鈥檛 making large sums of money. They can鈥檛 afford a sudden, staggering increase like what some Ontario business owners are facing.
Instead, the focus should be on ensuring that there is a reasonable annual increase to the minimum wage that allows employees to receive a raise each year, without having to worry about losing their jobs.
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