In 2017, Toronto entrepreneurs have more to worry about than whether they can get small business grants Ontario. A May news report broadcast by CBC Toronto suggests that provincial officials are ready to actively discuss several topics that will affect small business owners, and one of the most worrisome issues is related to minimum wages in Ontario.
Here are the proposals that will be considered by the provincial government in 2017:
* Setting a new minimum wage of $15 per hour.
* Increasing the number of mandatory paid vacation days per year.
* Setting a minimum number of sick days.
At this time, the issues of government funding programs and government grants for small businesses do not appear as if they will be discussed by Ontario commerce officials. Some Toronto small business owners have spoken out against the proposals, and they mentioned the following concerns:
Too Much and Too Soon
Small business owners are concerned that implementing all proposed changes at once would be a drastic measure unfavorable to the local economy. An increase in minimum wage, paid vacation time and sick days could prove to be too much for small companies to handle.
The owner of three Toronto bakeries mentioned that small business in the west end of the city are currently challenged by rising rents due to a housing market that seems to be out of control; this translates into higher taxes at a time when the Canadian dollar is lagging behind the American greenback.
More Analysis Needs to be Done
The Ontario Chamber of Commerce is also concerned about the proposed changes. The position of this business organization is that the provincial government has not done proper economic impact analysis, and that the minimum wage increase is being proposed as a copycat measure. While it is true that minimum wage increases have been very positive for the economies of American cities such as Seattle, there is no guarantee that the same effect will be seen in Ontario.
Another business group that is concerned about the planned reforms in Ontario is the Canadian Federation of Independent Business. Representatives from this organization mentioned that they were shocked by the wage increase proposal, which they think could put a lot of people out of work since not many business owners are prepared to make such a payroll adjustment.
In the end, time will tell whether Ontario is prepared for the business reforms proposed by provincial officials, which come at a time when entrepreneurs are asking for more supportive measures such as government funding programs. The current proposals should not implemented in haste and without the input from the business community. If you want to learn more, you may be interested in checking out the resources at Ontario Centres of Excellence.
