FEDERAL AND ONTARIO MINIMUM WAGE INCREASE

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On April 1, 2025, the federal government increased the federal minimum wage from $17.30 to $17.75 per hour. This $0.45/hour raise reflects a 2.4% increase, aligned with Canada’s annual average Consumer Price Index (CPI). This increase will ensure salaries for workers in federally regulated private sectors are keeping pace with year-over-year cost of living increases.

Similarly, the Ontario government has announced that the general minimum wage will increase from $17.20 to $17.60 per hour starting October 1, 2025. This $0.40/hour raise reflects a 2.4% increase, aligned with the Ontario (CPI), and positions Ontario as having one of the highest minimum wages in Canada.

Key Impacts:

  • A full-time federal worker earning minimum wage (40 hours/week) will see up to $936 more per year.
  • A full-time worker earning minimum wage (40 hours/week) in Ontario will see up to $835 more per year.
  • Annual increases to minimum wage are tied to CPI to ensure predictability and fairness.