Nov. 3 marks the beginning of national Living Wage Week.
The Guelph and Wellington Task Force for Poverty Elimination, along with other anti-poverty organizations across Canada, are encouraging employers and residents to consider what it costs for low-wage workers to live reasonably.
Unlike the minimum wage, which is the legislated minimum that an employer must pay, the living wage is an hourly rate that is based on real costs associated with living in Guelph and Wellington. Living wage is calculated based on a bare necessities budget that allows people to meet basic living expenses and fully participate in work, family life, and community activities. In Guelph and Wellington the living wage figure has been calculated at $15.95 per hour resulting in an after-tax annual income of $29,250, which is still more than $20,000 below the average full-time employment income for Guelph and Wellington.
During Living Wage Week visit the poverty task force website www.gwpoverty.ca to learn more about living wage.
The task force is asking residents who are working at low-wage jobs and struggling to make ends meet to share their story through an anonymous survey on the website. They are also soliciting input from employers who are already paying their employees a living wage, or who are supportive of implementing a living wage program in the future. Following the lead of communities such as Hamilton and Waterloo, who have implemented an employer recognition program, the task force is working with a local action group to design a program.
“An employer recognition program is a way to publicly recognize and appreciate local employers who have committed to paying a living wage” says Stuart Beumer, co-chair of the task force.
With the increase in contract and part-time work, people are finding it harder and harder to make ends meet. This parallels the growing income inequality gap in Canada, which has increased by 47 per cent over a generation. In Ontario, the working poor have increased by 24% between 2000 and 2005.
“Everyone who works full-time should be able to have the means to participate fully in the community, but that just isn’t the case for many full-time, low-wage workers” says Randalin Ellery coordinator of the task force.
Living wage is based on local data and includes basic needs such as food, shelter and clothing, but also includes expenses such as childcare, non-OHIP health care, transportation, and recreation. The largest expense category is for shelter and related expenses, followed by child care, transportation, and food.
