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City reviewing Ontario Living Wage status in wake of increase

Waterloo region employers must pay their employees $19.95 per hour to qualify for the Ontario Living Wage Network directory
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The city of Cambridge was a member of the Ontario Living Wage Network directory in 2021, but currently have not qualified. CambridgeToday photo

If you look at the Ontario Living Wage Network employer directory there’s a notable omission from last year, the City of Cambridge.

That’s because the city is currently looking into their current structure and how it fits with the new criteria the OLWN requires.

The OLWN is an organization of employers, employees, non-profits, researchers, and proponents of decent work standards for all Ontario workers. 

After dividing the province into 10 regions, they determine the living wage needed to cover the cost of living. Housing, food, transportation, child care and medical expenses are a few of the costs the OLWN takes into consideration when determining what wage is needed to make ends meet. The calculation also takes government funding and taxes into consideration.

In Waterloo Region, which is combined with Dufferin and Guelph-Wellington, $19.95 per hour must be paid to every worker within a business or company to qualify them as a living wage employer.

The city was a member of the employer directory in 2021 when the living wage was $17.20 per hour.

As can be expected, the 16 per cent increase to maintain their status in 2022 needs to be reviewed and approved.

“The city of Cambridge has been a supporter of living wage since implementation and continues to make efforts to pay the majority of staff a living wage,” Allison Jones, supervisor of communications for the city of Cambridge said.

“There are some exceptions for student positions at this time. We're currently reviewing our salary grids in light of the new changes with considerations for compression of other wages and the budget.”

Craig Pickthorne, communications coordinator for the Ontario Living Wage Network, says that all employees must earn the living wage that's been determined. If some are not, there needs to be a timeline to get them up to the required pay rate.

“In order to be certified, companies must pay all full-time employees at least a local living wage,” Pickthorne said.

“If part-time and contract employees are not at that level, they must agree to a timeline to bring them up. This timeline is variable, but 95 per cent of employers are currently fully certified.”

Current certified employers have six months to make necessary wage increases.

Recently Meridian Credit Union became the largest living wage employer in Ontario, which includes both Galt and Hespeler locations. 

There’s plenty of positives to being certified, Pickthorne says.

“Our directory page is the most visited on our website,” he said.

“People want to know that the businesses their supporting values the work of their employees and the communities where they live. There’s no better way of communicating that then to be publicly certified.”

Cambridge Farm and Forest School, Cambridge Non-Profit Housing Corporation and YNCU Cambridge are the other three local businesses that have been certified.

For more information on the Ontario Living Wage Network visit ontariolivingwage.ca.