Low wage earners pay the price for Ford’s 'Cut First: Think Later' approach

April 2, 2019

TORONTO — Mike Schreiner released the following statement in response to the FAO analysis comparing LIFT and the minimum wage increase:

“The non-partisan Financial Accountability Office has confirmed what had been widely reported – the LIFT credit does not make up for the loss of income from Ford’s decision to cancel the minimum wage increase.

The government should have known that 2.9 million low-wage earners in Ontario would have been better off with a higher minimum wage. And that a full 60% of minimum wage earners won’t even benefit from LIFT because they already earn too little to pay income tax.

It is the Premier’s responsibility to ensure his policy decisions are informed by evidence.

But instead he plowed ahead with back-of-the-napkin campaign slogans that have real world consequences. He touted LIFT as a better alternative to a minimum wage increase when there was no evidence to back it up.

A minimum wage increase can make life more affordable, without chasing away jobs.

A solution I continue to offer is immediate cash flow relief to small businesses by lowering their payroll taxes, which will allow them to better absorb the transition to a $15/hour minimum wage.

But instead, low wage earners pay the price for Ford’s “Cut First: Think Later” leadership style.”

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