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Minimum wage increase of 40 cents per hour goes into effect across Ontario

October 2, 2025   ·   0 Comments

By Sam Odrowski, Local Journalism Initiative Reporter

Over 800,000 minimum wage workers across Ontario received a pay raise yesterday.

The Ontario government enacted a minimum wage increase from $17.20 to $17.60 per hour on Oct. 1. This represents a 2.4 per cent increase in pay, which was based on the Ontario Consumer Price Index (CPI). The Ontario CPI measures inflation by tracking the changes in prices of goods sold within the province.

The Ontario government says this pay raise delivers on the government’s plan to protect and support workers while keeping Ontario competitive amidst U.S. tariffs.

“At a time when many families are feeling the pressure of global economic uncertainty, our government will protect Ontario workers with a minimum wage increase that supports our world-class workforce,” said David Piccini, Ontario’s Minister of Labour, Immigration, Training and Skills Development. “We will continue to take action to build a strong, resilient workforce ready to face whatever comes our way.”

A minimum wage worker who clocks 40 hours per week will see an annual pay increase of $832.

Approximately 36 per cent of workers previously at or below the wage of $17.60 per hour were in retail, while 23 per cent work in accommodation and food services.

“This increase is just one of the ways the government is delivering on its plan to protect Ontario workers. Since its launch in 2021, Ontario has invested $1.5 billion through the SDF Training Stream and Capital Stream to help train more than one million workers for in-demand careers,” reads a statement by the Ontario government. “As announced in the 2025 Budget: A Plan to Protect Ontario, the government is investing $1 billion more through the Skills Development Fund over the next three years, bringing the total to $2.5 billion, to support key industrial sectors and help train even more workers.”

The province’s minimum wage has increased to $17.60 from $14 over the past seven years.

Ontario now has the second-highest provincial minimum wage rate in Canada. British Columbia remains the province with the highest minimum wage rate, paying $17.85 per hour.

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