Over 75 prominent economists endorse raising the minimum wage

Catholic New Times, Oct 5, 2003

TORONTO -- In the midst of the provincial election, over 75 economists and labour policy experts have publicly endorsed a higher provincial minimum wage and improved income security. The broad list of endorsers includes experts from the academic, social policy, business and labour communities. They reject the Conservative claim that a higher minimum wage would destroy jobs.

The Ontario Needs a Raise Coalition is a broad group including legal clinics, anti-poverty, labour, community, low-wage workers, students and women's groups. Concerned that nearly two million people in Ontario are living below the poverty line, the coalition came together to demand that the minimum wage and social assistance rates he raised.

At a media conference on Sept. 10, three of the economists including Doug Peters former chief economist of the Dominion Bank who have signed the appeal spoke briefly about why a higher minimum wage would benefit Ontario's economy and labour market. Now too many people are earning well below poverty" wages. In fact, someone earning minimum wage and working 35 hours per week for a full year would be left almost $7000 below the poverty line. The minimum wage in Ontario has been frozen at C$6.85/ hour ($6.40 for students and $5.95 for liquor servers) throughout the eight years of Tory rule. During that time, Ontario's minimum wage slipped from the highest in Canada in 1995 to fifth place today. Since 1995 inflation has eroded the real value of the minimum wage by 20 per cent.