Ontario is preparing for an increase in the minimum wage, with an official announcement expected before April 1, 2025. This adjustment aims to help workers keep up with rising living costs while maintaining fair compensation. The minimum wage in Ontario varies based on the type of employment, including general labour, students, remote workers, and specialized roles like hunting and fishing guides. This article provides a complete overview of the current minimum wage rates, the expected increases for 2025, and how different job categories will be affected.
Ontario’s General Minimum Wage Increase in 2025
As of October 1, 2024, Ontario’s general minimum wage is $17.20 per hour, up from $16.55 per hour the previous year. This increase of 3.9 percent follows the Ontario Consumer Price Index (CPI), ensuring wages adjust to the cost of living. Although the exact increase for October 1, 2025 has not been confirmed, historical CPI trends suggest that Ontario’s general minimum wage could rise to approximately $17.82 per hour. Previously, Ontario had a lower minimum wage for liquor servers, but this category was removed, and servers now receive the same minimum wage as other workers.
Minimum Wage Increase for Students in Ontario
The student minimum wage in Ontario is $16.20 per hour as of October 1, 2024. This rate applies to students under 18 who work:
- 28 hours or less per week when school is in session
- Full-time during school breaks and summer vacations
Based on previous adjustments, projections indicate that the student minimum wage could rise to $16.70 per hour in 2025. This wage applies to all students, including international students under 18. However, students who work from home are classified as homeworkers and must be paid the higher homeworker minimum wage.
Minimum Wage Increase for Remote Workers in Ontario
Employees who work from home are classified as homeworkers under Ontario’s labour laws. They currently receive a minimum wage of $18.90 per hour, which took effect on October 1, 2024.
Homeworkers include people performing various tasks, such as:
- Sewing clothing for manufacturers
- Answering customer service calls for call centres
- Developing software for IT companies
The minimum wage for remote workers is expected to rise to $19.40 per hour in 2025 based on past trends.
Minimum Wage for Hunting, Fishing, and Wilderness Guides
Unlike other employees, hunting and fishing guides in Ontario are paid based on daily wages rather than an hourly rate. Their wages are calculated based on whether they work:
- Less than five consecutive hours per day
- Five or more hours per day (including non-consecutive hours)
In October 2024, their minimum daily wage increased as follows:
- $86 per day for guides working less than five hours
- $172.05 per day for guides working five or more hours
A wilderness guide is a person hired to assist with outdoor activities in remote areas, such as:
- Skiing, snowshoeing, or hiking in the backcountry
- Canoeing, kayaking, rafting, or horseback riding
- Rock climbing, all-terrain vehicle riding, or snowmobiling
- Wildlife tracking and survival training
These guides are expected to receive a further increase in 2025, with new wage rates to be announced before April 1, 2025.
How Minimum Wage Affects Commission-Based Employees
Employees who work on commission must still receive at least the minimum hourly wage for the hours they work.
For example:
- If a commission-based worker earns $300 for 25 hours of work and the minimum wage is $17.20 per hour, they should have earned $430.
- Since they only made $300, their employer is required to pay them an additional $130 to meet the legal wage requirement.
All employers must ensure that commission-based employees earn at least the legal minimum wage for every hour worked.
Ontario’s 2025 Minimum Wage Increase:
The anticipated increase in Ontario’s minimum wage reflects more than just an economic adjustment—it reinforces the importance of fair pay and economic sustainability.This change will impact both workers and businesses, influencing living standards, operational costs, and overall economic growth in the province. Workers should prepare for higher wages, while employers should ensure compliance with the new wage regulations.
Frequently Asked Questions
What is the current minimum wage in Ontario?
The general minimum wage in Ontario is $17.20 per hour, effective October 1, 2024.
Will Ontario’s minimum wage increase in 2025?
Yes, Ontario’s minimum wage is expected to increase again on October 1, 2025. The exact amount will be announced before April 1, 2025.
Who will be affected by the new minimum wage increase?
The increase will apply to all workers covered under Ontario’s minimum wage laws, including:
- General employees
- Students under 18
- Work-from-home employees
- Hunting, fishing, and wilderness guides
- Commission-based employees
How can workers and employers stay informed?
Official announcements from the Ontario government will confirm the exact minimum wage increase. Workers and businesses should check the Ontario Ministry of Labour website for updates.
Final Thoughts
Ontario’s 2025 minimum wage increase is expected to provide greater financial stability for workers while ensuring businesses adapt to rising wage standards. While the exact new rates will be confirmed by April 2025, projections suggest a continued rise in wages across all categories, from general labourers to remote workers and wilderness guides. As these changes unfold both workers and employers in Ontario’s labour market be prepared.
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