Imagine working hard dealing with customers and paperwork all day. You’re exhausted and ready to go home when your boss hands you a cheque of $11.40. You would probably be annoyed because you’ve worked so hard today, right? Well this is what happens to millions of Canadians every day. This is one of the reasons why minimum wage should be increased.
The first reason is that there would be more productivity from the workers. This is because more money would make them want to work harder. Thirty percent of Ontario’s labour market pays less than $15 an hour to their workers and Ontario has the highest reliance in low-wage work in Canada. Alan Manning, Professor of Economics at the London School of Economics, stated in 2014: "As the minimum wage rises and work becomes more attractive, labor turnover rates and absenteeism tend to decline." This means that people would stop constantly staying home from work. The same year, a study in the University of California found "striking evidence that... turnover rates for teens and restaurant workers fall substantially following a minimum wage increase." A survey in 2014 stated that 53% of small business owners think that their company could benefit from a higher minimum wage increase because of the worker productivity. These points prove Ontario relies on low wage workers so their productivity will benefit Ontario.
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Some people might say that the companies would have to let employees go but a study in 1994 showed that there is no connection between minimum wage increase and job loss. Another study done in 2016 stated the same thing. In 2013-2014, 13 states increased their minimum wage and saw above average job growth. The Economic Policy Institute stated that a raise in the minimum wage would get the economy $22.1 billion and open 85,000 jobs. Increasing the minimum wage will benefit the