Last Updated On 8 February 2025, 9:43 AM EST (Toronto Time)
Ontario is gearing up for a significant change in its labour landscape as the province prepares to announce a new minimum wage increase prior to April 1, 2025.
This anticipated adjustment aims to support workers in meeting the rising cost of living and reflects the government’s commitment to fair compensation.
The concept of a minimum wage ensures that even the lowest-paid workers receive a wage that allows for at least a basic standard of living.
In Ontario, these minimum hourly wage rates are different for general labour, students, work-from-home employees, and guides.
In this article, we provide insights into the current minimum hourly wage rates for all the categories and the projected increase set to be announced on April 1, 2025.
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General Ontario Minimum Wage Increase 2025
As of October 1, 2024, Ontario’s general minimum wage stands at $17.20 per hour, up from the previous rate of $16.55.
This 3.9% increase aligns with the Ontario Consumer Price Index (CPI), aiming to help workers keep pace with the rising cost of living.
While the official announcement is pending, projections based on historical CPI data suggest that Ontario’s minimum hourly wage could rise to approximately $17.82 per hour on October 1, 2025.
This estimate reflects a continued effort to adjust wages in line with inflation and economic trends.
Also, it is important to know that Ontario used to set a different minimum hourly wage for liquor servers, but it is now matched with the general minimum wage.
The minimum hourly wage for students in Ontario is $16.20 per hour, effective October 1, 2024, which was increased by 60 cents last year.
This minimum hourly wage is applicable to the students under 18 who work 28 hours or less on a weekly basis during the school year or work during a school break or summer vacation.
Based on historical data, it is projected that the student minimum wage in Ontario will increase to around $16.70.
This is applicable to all the students, including international students, who are under 18 and fall under the student minimum hourly wage in Ontario.
It is important to note that students of any age (including students under 18) who work from home must be paid the homeworker’s minimum pay listed below.
Employees who work from home are categorized as homeworkers and currently they are entitled to a minimum hourly wage of $18.90 per hour, effective October 1, 2024.
Examples of homeworkers include individuals ranging from sewing clothes for a clothing manufacturer, or answering phone calls for a call centre, or software designers for an IT company.
It is being projected that the minimum wage for homeworkers will rise to around $19.40 per hour in 2025.
In Ontario, the minimum hourly wage for fishing and hunting guides, as well as wilderness guides, is based on blocks of time rather than hourly.
Their minimum wage is categorized under working fewer than five consecutive hours in a day or a higher wage for working 5 or more hours in a day, irrespective of whether the hours are consecutive or not.
In October 2024, Ontario increased their minimum daily wage from $82.85 to $86 per day for those working less than 5 consecutive hours and from $166.75 to $172.05 per day for those working 5 or more hours.
A wilderness guide is an individual hired to guide, instruct, or assist a person or individuals while they are involved in activities in a wilderness setting, such as the following:
Skiing and snowshoeing in the backcountry, canoeing, kayaking, rafting, dogsledding, hiking, horseback riding, rock climbing, operating all-terrain vehicles or snowmobiles, survival training, or wildlife viewing.
For workers on commission, their pay must meet or exceed the hourly minimum wage:
Example Scenario: If Luba, working on commission, earns $300 for 25 hours at a minimum hourly wage of $17.20 per hour, she would be entitled to an additional $130 to meet the minimum hourly wage requirement for those hours.
As Ontario looks forward to 2025, the anticipated minimum wage increase is more than a policy adjustment—it’s a statement on the value of work, the dignity of labour, and the health of the province’s economy.
Both workers and employers must brace for these changes, understanding their ripple effects on living standards, business operations, and the broader economic fabric.
Keep an eye on official announcements from the Ontario government, and stay informed as these developments unfold.
What is the current minimum wage in Ontario?
$17.20 per hour is the current minimum wage in Ontario.
Is minimum wage in Ontario going up in 2025?
Minimum wage in Ontario is expected to rise effective October 1, 2025 and exact quantum of the increase will be announced prior to April 1, 2025.
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