The Ontario Living Wage Network (OLWN) released its latest report Nov. 18, indicating people in their ‘east’ region, which includes Haliburton County, would need to make $21.65 an hour to make ends meet.
The report comes on the heels of a May study by the Haliburton Kawartha Pine Ridge District Health Unit (HKPR), which put the Highlands’ figure at $20.60 an hour as of 2023.
With minimum wage in the province climbing to $17.20 an hour Oct. 1, both documents point to a living wage gap in our region.
The report’s author is the OLWN’s Anne Coleman. She said while inflation had “calmed” in the past year, this year’s rates have still increased by an average of 3.4 per cent.
She said it’s “mainly due to rising costs for rent in our province. Inflation of food costs may have calmed but still remain high relative to earlier years.”
SIRCH Community Services executive director Gena Robertson runs one of the only Ontario Living Wage Networkcertified organizations in the Highlands, ensuring people are paid a living wage.
“If you look at the social determinants of health, which is what we try and do in most of our programs, and also the broader picture of what is poverty, or what helps with poverty reduction, employment is a big one,” Robertson said.
She added, “employment of any kind is good, but if you work all day and still can’t pay the bills, that’s not great. And we see that every day.”
According to the OLWN, the GTA continues to have the highest living wage rate at $26 an hour, up from $25.05. The lowest, at $19.50, up from $18.85, is The London-Elgin-Oxford region.
“There is still no place in Ontario where you could work (minimum wage) full-time and cover all your expenses,” Coleman said.
She added the organization’s mandate is to sign up certified living wage employers across Ontario. For certification, employees must make at least a local living wage, and many see a raise as a result.
The living wage calculation includes a modest basket of goods and services that are used to determine the annual expenses required by a household. The basic necessities included in the basket of goods accounts for a large portion of the annual expenses. The costs of food and shelter are two of the biggest expenses in the living wage calculation. These costs increased by over 18 per cent compared to general inflation of 13.4 per cent between 2018 and 2022. Higher fuel prices are another contributor.
The OLWN uses single adults, single parents, and families of four. They calculated a family of four spends $12,541 on food annually in the east region, with $6,022 for a single parent, and $4,288 for a single person.
Shelter costs were pegged at $22,539 for a family of four; $20,055 for a single parent, and $17,223 for a person living on their own.
They also incorporated the cost of clothing and footwear, transportation, medical, life and critical illness costs, cell and internet, child care, and other expenses. They noted there are government transfers that also impact living wages.
Robertson said she would encourage employers to seek certification; while recognizing it is not always easy for small businesses or non-profits. She would not want increased wages to lead to layoffs.
In May, the HKPR District Health Unit released its 2023 Nutritious Food Basket Report.
The report highlights the struggles faced by low-income families in the City of Kawartha Lakes, County of Haliburton, and Northumberland County to pay for necessities because incomes and social assistance rates are not keeping up with rising costs.
In the report, HKPR compares incomes and expenses of several household scenarios to show how much money would be left over for families and individuals after paying for housing and food. In some cases, those expenses alone exceed income, with not enough money left to pay for other basic needs.
This report found that 12.9 per cent of households in Haliburton County are considered low income and struggled to pay for rent, bills, and healthy food.