TORONTO – Green Party of Ontario Leader Mike Schreiner says the Liberal government’s corporate tax cut isn’t enough to help small businesses cope with the rapidly rising cost of paying workers a living wage, and will do nothing to help them grow and create jobs.
“Cutting the corporate tax rate helps businesses maximize their profits, even if they do that by cutting jobs,” said Schreiner. “It’s obvious that neither Finance Minister Charles Sousa nor Premier Kathleen Wynne have ever operated a small business or a non-profit given their approach on this issue.”
The GPO plan to raise the exemption level for the Employer Health Tax from $450,000 to $1,000,000 in payroll would automatically and immediately benefit small businesses and non-profits to lower their labour costs. They wouldn’t have to fill out paperwork to apply or wait until they file their taxes. The GPO plan would not create a disincentive for small businesses to grow. It would create an incentive for them to create more jobs that pay better.
“Payroll tax reductions help small businesses by immediately lowering labour costs, improving their monthly cash flow and creating incentives to create jobs, ” said Schreiner. “Lower labour costs help businesses create more jobs and better-paying jobs.”
The GPO supports the planned increases in the minimum wage, but would also like to see increases in social assistance rates to help the most vulnerable in Ontario.
“Both policies would inject more money into local economies, benefitting local businesses and communities,” said Schreiner. “We are the only party advocating for a balanced approach, supporting a decent living wage for workers and lower payroll taxes for their employers.”