Minimum Wage Ontario 2018 Calculator
The Ontario minimum wage is the lowest hourly wage that employers must pay their employees. It's established by the provincial government and is designed to ensure that workers earn enough to meet their basic needs. This calculator helps you determine what the minimum wage was in Ontario for the year 2018.
What is the Ontario minimum wage?
The Ontario minimum wage is the legally mandated lowest hourly wage that employers must pay their employees. It's set by the provincial government and is adjusted periodically to account for changes in the cost of living.
In Ontario, the minimum wage is determined by the Ontario Human Rights Commission (OHRC) and is based on the cost of living in the province. The OHRC reviews the minimum wage annually and makes recommendations to the government, which then sets the final rate.
The minimum wage in Ontario is not the same as the federal minimum wage. The federal government sets a minimum wage for certain industries, but the provincial minimum wage applies to all other workers.
How to calculate the Ontario minimum wage
The Ontario minimum wage is calculated based on the cost of living in the province. The Ontario Human Rights Commission (OHRC) reviews the minimum wage annually and makes recommendations to the government. The government then sets the final rate based on the OHRC's recommendations.
The calculation involves several factors, including the cost of housing, food, transportation, and other essential goods and services. The OHRC uses a formula that takes into account these factors to determine the minimum wage.
Formula used:
Minimum Wage = Base Rate × (1 + Cost of Living Adjustment)
The base rate is the minimum wage from the previous year, and the cost of living adjustment is determined by the OHRC based on the cost of living in Ontario.
For example, if the base rate for 2017 was $12.25 and the cost of living adjustment was 2.5%, the minimum wage for 2018 would be:
$12.25 × (1 + 0.025) = $12.56
Historical context of Ontario's minimum wage
Ontario's minimum wage has been adjusted several times since it was first introduced in 1944. The minimum wage was initially set at $0.75 per hour, which was equivalent to about $10 per hour in today's dollars.
Over the years, the minimum wage has been adjusted to account for changes in the cost of living. The most significant increases occurred in the 1960s and 1970s, when the minimum wage was raised to $1.60 per hour in 1966 and $2.30 per hour in 1974.
In recent years, the minimum wage has been adjusted more frequently, with increases of 2.5% or 3% each year. The minimum wage in Ontario has increased from $10.25 per hour in 2007 to $14.25 per hour in 2018.
The minimum wage in Ontario is higher than the federal minimum wage, which was $11.40 per hour in 2018. This means that workers in Ontario earn more than workers in other provinces that do not have a provincial minimum wage.
Comparison with other provinces
Ontario's minimum wage is higher than the minimum wages in most other provinces. The following table compares the minimum wages in Ontario and other provinces for 2018:
| Province | Minimum Wage (2018) |
|---|---|
| Ontario | $14.25 |
| British Columbia | $12.85 |
| Alberta | $12.00 |
| Saskatchewan | $11.40 |
| Manitoba | $11.40 |
| Quebec | $12.25 |
| New Brunswick | $11.25 |
| Nova Scotia | $11.25 |
| Prince Edward Island | $11.25 |
| Newfoundland and Labrador | $11.25 |
As you can see, Ontario's minimum wage is significantly higher than the minimum wages in most other provinces. This is due to the higher cost of living in Ontario, which is reflected in the provincial minimum wage.
Frequently Asked Questions
The minimum wage in Ontario for 2018 was $14.25 per hour. This was the highest minimum wage in Canada for that year.
The Ontario minimum wage is determined by the Ontario Human Rights Commission (OHRC) and is based on the cost of living in the province. The OHRC reviews the minimum wage annually and makes recommendations to the government, which then sets the final rate.
The Ontario minimum wage is adjusted annually based on the cost of living in the province. The adjustments are typically around 2.5% or 3% each year.
Yes, the Ontario minimum wage is higher than the federal minimum wage. In 2018, the federal minimum wage was $11.40 per hour, while the Ontario minimum wage was $14.25 per hour.
Ontario's minimum wage is higher than the minimum wages in most other provinces. In 2018, Ontario's minimum wage was $14.25 per hour, while the minimum wages in other provinces ranged from $11.25 to $12.85 per hour.