The agenda

Recent moaning, carping and misplaced displays of wealth envy have proven few people who come to this site have empathy for small businesses. Since the self-employed create over half the jobs, that’s weird. But it squares with the lefty-righty theme here of the last few days. Collectivists see government as good, taxes justified and entrepreneurs as selfish. Individualists want an open road so they can take the risk necessary to succeed (or fail). And they think the other guys are Marxists.

What happens in at least two provinces on Monday, however, shows the lefties are winning. At least in Alberta and Ontario.

The Dippers in AB are changing workplace law to increase the time employees can leave for family issues, make it easier to bank overtime and allow unpaid leave when someone claims to be a victim of domestic violence. In addition, the Notley government will hike the $13.60 minimum wage to $15 an hour in October. (Most of the rest of Canada is in the $11 range.)

In Ontario, where the lefties call themselves Liberals, wages are also rising – to $14 on Monday, then $15 in a year. The raise this weekend amounts to a 20% surge in pay which small business owners (and big grocery store chains) are agonizing over. “Making $15 an hour is great,” says the Ontario Chamber of Commerce, “but only if you have a job.” And many businesses say they will be cutting back employee levels or hours.

But there’s more.

Staring next week any employee in a regulated industry who has been on the job for a minimum of one week can claim 10 days of personal emergency leave, and the employer must pay for two of those days. Workers can, after Monday, claim sick time and are no longer required to produce a doctor’s note. Employees who have been on the job now get three weeks of paid vacation, instead of two – a 50% increase.

Also, when an employee says they, or their child, has experienced domestic or sexual violence, or feel they have been threatened with that situation, they can leave work for up to 17 weeks and have their job held for them. Employers must pay for at least one of those weeks. If an employee says they need to care for a family member, they can leave for 28 weeks per year, and the job must be protected. If an employee suffers the loss of a child, then they can leave the workplace for two full years, and the employer must hold the job.

Meanwhile Ontario has said it will adjust its laws to allow new parents to take 18 months off work to dovetail with the federal law that came into effect this month allowing EI payments to be spread over a year-and-a-half. That means employers will have to keep jobs open for that extended period of time, and workers will not have to inform them if they plan to return until it expires.

Well, I can hear the work-life-balance crowd applauding such changes. Family, babies, health, compassion, dignity, quality personal time – these are the most important aspects of existence, they believe. Why should profit wipe them away?

But business owners, entrepreneurs, corporations and the self-employed see it as an assault. Forcing a 20% wage increase on people ain’t the role of government, they allege, and is completely divorced from business conditions. Allowing employees weeks, months or even years of leave time when a job has to be held open is costly, impractical and sometimes just impossible. This will raise costs, raise prices, reduce profits, cut jobs and whack retail businesses at a time they are already under attack from online competitors – who don’t pay people to serve coffee or wash lettuce.

As a result, the Metro grocery store chain says it will be replacing cashiers with more automated checkout stations. Loblaws is in the midst of an employee slaughter as the cost of staffing every min-wage jobs increases by $7,000 over two years. In the last few months there have been warnings of big job losses. Ontario’s Fiscal Accountability Office figures 50,000 will be punted. The Chamber of Commerce and the Retail Council claim it will be 185,000 who get the axe. Nobody – not even the government – claims any jobs will be created.

Ontario retorts it is cutting the business tax rate by 1% in order to compensate. This will mean an operation managing to clear $100,000 in annual profit will save a thousand dollars. Unfortunately, most businesses in the province make a fraction of that. A vast number just try to break even, paying a living income to the person who took the risk to start it. Of course, now the federal government says that entrepreneur cannot share that income with their spouse, despite his or her contribution, further tightening the screws.

Is this how we bridge the wealth gap?

Would you start a business today?

248 comments ↓

#1 Lost...but not leased on 12.29.17 at 6:05 pm

Phyyrrzzzttt……

……..(pssst wanna free RE tip?)

#2 Stan Brooks on 12.29.17 at 6:21 pm

Would you start a business today?
Sure.

In Canada?
I don’t think so.

It is absolutely amazing to watch as confident incompetents like T2 and wild bill destroy small business, doctors, lawyers, plumbers.

Every good thing has it’s end so/over are the good times for Canada.

The loss of jobs due to ridiculous policies and automation in the next 5-10 years will be huge.

We are still running on credit fumes but it won’tn’t last long. So Poloz /another super-incompetent bureaucrat is looking for someone to blame.

Combined with the miserable weather it paints very bleak picture for the future.

Pity for all the future immigrants and for their kids tricked by the official propaganda and lies to come to this frozen lands.

#3 MF on 12.29.17 at 6:23 pm

I’m against these changes. The increase in minimum wage is too steep, and the increased employee regulations just make it more onerous to hire someone. And why $15/hour? Did someone pluck that number out of thin air?? Completely dumb plan made by dumb people in power.

What about the people who are more skilled, and who have “worked their way” up to $15/hour. Do they get a raise too since they are now at minimum wage (low skilled, basic, and entry level)?

This one really stings and pisses me off. Does it not seem like the provincial Liberals in Ontario have been in power for way too long? Bring on the next election already. Same for the Federal Liberals. They both have to go.

MF

#4 WhatIsInItForMe? on 12.29.17 at 6:24 pm

I can see where Government will begin looking at savings/holdings of individuals more intently, seeing how they can get a piece of that pie to pay for all of the programs they have adopted.

#5 DD on 12.29.17 at 6:24 pm

Did anyone else notice that Morneau will be hiking non eligible tax rates much more than the rate that the small biz tax rate will be cut? Not only will many owners no longer be able to pay dividends to spouses, but also the total tax paid on profit + dividends will be higher. Hmm maybe salary instead? Payroll tax also going up?

I have a side business and my average tax rate for this work is now over 50% thanks to Trudeau. Still worth the extra hours? Nope.

#6 crowdedelevatorfartz on 12.29.17 at 6:25 pm

Geez Ontario cant Wynne for losing.

#7 Hawk on 12.29.17 at 6:26 pm

Interference with the free market is always wrong, but if all this insanity was inflicted on large corporations, they may have the profitability to sustain it.

Small business…….not a chance!!!!!

Fewer jobs in the future, (except for Government cronies).

Slowly…….steadily…….Canada => Venezuela.

#8 common sense on 12.29.17 at 6:27 pm

F$%^ NO….

#9 Sue on 12.29.17 at 6:27 pm

Watching our leaders is worse than a really bad horror movie. The damage they are doing to the economy will take years to recover from.
Canada is closed for business so work for the government and get your gold plated pension before they run out of others peoples money. I think we are at the tipping point

#10 Fuzzy Camel on 12.29.17 at 6:29 pm

I have a business with no employees, just myself. We’re killing the competition too, as a software engineer we’ve automated everything so we have no need for employees. Makes life easier.

Employees, especially female ones, are a lawsuit waiting to happen. Feedback from my entrepreneurs group is you run a 25% chance of a sexual harassment claim to the human right tribunal for firing a female employee with cause.

Now this isn’t Harvey Weinstein running these businesses, these are normal people who fear their wives and the tax man, so no hanky panky funny stuff ever actually happened. The claims are pure vindictiveness and greed.

So as a business owner, I want to create maximum value for my clients. Employees are a headache. And the worst part is the smart ones typically break off and become your competition.

So the future is automation. Get into that. Learn to code. Canadians need to stop abusing their employers too.

#11 Trexx on 12.29.17 at 6:32 pm

I have empathy for small business.
I no longer own one but I do recognize small businesses are the major employers in Canada and the prime movers in future job creation.
A tip of the hat to all those who hang it out there and try to create a business from scratch.
And a happy new year to all.

#12 JSS on 12.29.17 at 6:33 pm

No tears will be shed for the business class. They have enough money.

#13 Loonie Doctor on 12.29.17 at 6:34 pm

To be clear, I support the notions of people who work for it getting a living wage and protections to help with some of the crap life can throw at you. I am a bit concerned that when we try to socially engineer in a complex ecosystem that we often get undesirable unintended results despite the best of intentions.

This all sounds great if you have a secure job in-demand job. If not, it may be harder to find one or find one that you aren’t just a temporary placeholder for someone’s extended leave. Many of the young people starting out are already having a tough go of it.

The other factor is that the person currently making $15/h is going to want $18/h to keep it “fair” for their higher job value. All of the people who get their raises may not be as excited when they get bumped up a tax bracket or when the costs of goods rise due to the inflation from increased labour costs. Those who don’t get inflationary raises will lose. It is the after-tax inflation adjusted buying power that is important for living and I am not sure if that will pan out as intended. Time will tell I guess. That time to shake out will likely be after the next Ontario election and in the interim I am sure the Liberal voter base will cheer – I guess that means maybe it is going to work exactly as intended ;)

#14 Say no to commie's on 12.29.17 at 6:35 pm

All of these new regulations seem like forced unionism. Talk about tying the hands of business owners. I certainly wouldn’t want to open another business given the attacks coming from all levels of govt.

#15 katie on 12.29.17 at 6:36 pm

furst

#16 Samuel on 12.29.17 at 6:37 pm

I have 3 daughters. Would not encourage any of them to start a business anymore. They are better off taking advantage of the perks of being an employee and a woman. They just need to get hired. I dropped out of high school to start working, then eventually worked for myself and was quite successful. I enjoyed the challenge and was happier forging my own way. I would have been miserable working for someone else, and would have hated to be forced to be a life long employee. Apparently I’m already a dinosaur at middle age.

#17 bubbled on 12.29.17 at 6:39 pm

Already, since last month, at Agincourt Walmart, six self-checkout machines supported/helped by one checkout employee has replaced six express checkout counters.

#18 bubbled on 12.29.17 at 6:40 pm

Which industries are ‘regulated’ industries? All these laws, are those applicable to public sector as well? or do the public sector employees already enjoy these policies?

#19 Looney Baloney on 12.29.17 at 6:45 pm

I would. South of the border.

#20 Smoking Man's Old Man on 12.29.17 at 6:46 pm

It obviously depends on what your personal situation is.

I had a friend that for the first half of his life was an employee and loved the paid for holidays and long weekends. When he became self employed he loathed paying his employees for holidays and long weekends.

As far as what’s ultimately fair you would need the advice of an economist with an purely objective point of view.

#21 NoName on 12.29.17 at 6:47 pm

For those people stressing about cell towers antennas frying body parts, i can assure you that you guys are woriing about wrong antenna. Did you ever wonder what is resonant frequency of you coil spring mattress and box spring?

#22 Nonplused on 12.29.17 at 6:47 pm

It’s amazing how poorly governments learn from history. These experiments have already been tried in Europe. This is why France became a beggar and Germany (who did not perform such speculations) thrived even with the cost of integrating East Germany. We know what the effects of all of these changes are going to be. A lot less people, especially young people, are going to get jobs. Costs will soar, unemployment will rise, and a permanent recession will grip the land.

Remember folks, those $15 dollar minimum wages must be baked into the cost of your McDonald’s hamburger. It is going to go up in price by the same amount as the wages since fast food is still fairly labor intensive. But only the most productive workers will keep their new $15 an hour jobs, the kids won’t get hired they’ll be replaced by a machine.

As with all government programs, this one won’t work out. Some studies have shown that the primary beneficiaries of minimum wage laws are students who still live at home in a middle income household. Yay! More money for video games!

I can prove that minimum wage laws do not work as intended with one simple question: “Why not $30?”

In the end what is going to happen is that more people will be cooking their own hamburgers at home. That labor is not taxable and not subject to minimum wage laws. For $15 dollars an hour it is worth it for me to do my own cooking. Especially at a 50% marginal tax rate, as that makes it worth $30 an hour to me.

Then we should look into all these other new regulations about holding a job for extended periods of time for just about any excuse in the book. Sure, it’s nice to think we should have all sorts of sympathy for these people, but let’s be realistic. Shit happens. If a farmer takes 2 years off because he loses a child the farm goes fallow. He won’t be doing that. Most people will not be taking advantage of these new regs because they simply cannot afford to, so they are just window dressing.

However, they will introduce a lot of risk. Most companies cannot leave a job open for extended periods of time. If they could, why have the job at all? Could you imagine Garth’s ice-cream shop operating for 18 months with nobody there to scoop the ice cream because they were all out on leave? There would only be a few choices to continue operations: 1. Charge a lot more so you can hire redundant employees and hope somebody isn’t on leave, 2. Make the store “self-serve” and let people take as much ice cream as they can fit on the cone, 3. Hire a contractor like myself (although I don’t think that would be affordable no matter how fast I scooped), 4. Automate (It’s probably possible to make an automatic ice cream scooper), 5. Close down.

We are entering a permanent, government induced recession. We won’t need to worry about greenhouse gas emissions because economic activity from here on out can only go down. We’ve let the patients take over the asylum.

#23 Bob on 12.29.17 at 6:48 pm

“Would you start a business today?”
____________________________________________

Certainly not in this country, definitely not in this province.

….which is why we will have to depend on future immigration to create the growth our welfare state needs.

#24 OttawaMike on 12.29.17 at 6:49 pm

Here’s my take:
1980 I was an apprentice machinist earning 50 cents an hr above minimum wage(non union shop).
I rented a modest apt. in North York and rode a new motorcycle. Minimum wage was at 60% of the average provincial hourly rate then.
No way anybody could do that today–impossible. Somewhere along the way we lost that ratio. Time to restore it.

Lastly, drive through any industrial park in any city in Canada during working hours. Count the luxury cars parked in the owner’s spot next to the door. Lexus, Audi, Merc, F250 diesels.

The first 5 years are difficult and hours are long but don’t cry to me that you are broke as you head back to your McMansion in your heated seats about how paying a living wage is going to destroy our country.

#25 Howard on 12.29.17 at 6:51 pm

The 3 weeks minimum vacay kicks in only after 5 years with the same company. Pretty damn reasonable for employers I’d say. The government should have simply upped the minimum to 3 weeks for everyone as is the case in Saskatchewan (every other province is 2 weeks).

Most of the perks you listed are commonplace in Europe. If Canada is to have crappy wages (thank you TFWs) and high taxes, might as well get something for it as like Europeans do.

#26 Prairieboy43 on 12.29.17 at 6:51 pm

90% business fail within the first five years, become economic history. Now 99% Business will fail within five years. Many wise businessman will pack there bags, and close up shop. The headaches are not worth it. Canada destroyed by Government Policies. Sad, my blood is not bleeding red/white anymore.
PB43

#27 Screwed Canadian Millenial on 12.29.17 at 6:53 pm

Here is a chart of Seattle employment. They’re at $15 USD/hour which is nearly $20 CAD/hour.

https://fred.stlouisfed.org/series/SEAT653NA

There won’t any job losses. There will be job gains. But conservatives won’t apologize for being wrong. Conservatives just love bitching when hard working Canadians have a little more money in their pockets. Which they’ll go right back out and spend anyways.

Seattle’s digital economy is atypical. But you knew that. – Garth

#28 Bobby on 12.29.17 at 6:54 pm

What is oftentimes overlooked within the lefty community is that someone actually pays for all of these benefits. More importantly, they believe business exists to provide jobs, not to make a profit. In their eyes, success should be punished and failure rewarded.
The question is if everyone decides to stay home and take advantage of these benefits, what happens to a business then. Does it collapse? Will government be the only employer left?
The real question is how long will this all last? Is it just a last ditch effort to remain in power from dying governments? Making promises they know they can’t keep. Will there be another common sense revolution? Both the Liberals in Ontario and the NDP in Alberta are going to get turfed in the next elections. More importantly, many are tiring of the growing ineptitude in Ottawa. People are seeing their taxes rising continually and the quality of the services continuing to fall. Working hard and enjoying success means just giving more to the government. Many are now starting to ask, what’s the point?
I think I’m going to run for office. I’ll just stand up and offer everything to everyone. A new car in every driveway, cash in every account, and filet mignon daily for those who still enjoy beef. It worked in the past, why not just up the ante.

#29 Freebird on 12.29.17 at 6:58 pm

As small business owners we’ve already laid off one person. After 20 yrs we now advise those younger to think hard before self employment and avoid getting into hiring employees if you help it. You’re now better off networking to create partnerships with other self employed. This is not own a business together but to work/ bid on projects/ contracts as a team and to refer potential clients. It’s happening more among small contractors. But still until rules are better balanced it’s not a great idea. Would we do it again today? Not as quickly…and maybe not at all.

#30 Freebird on 12.29.17 at 7:01 pm

#16 Samuel on 12.29.17 at 6:37 pm

Sounds familiar though I did manage to go to Uni later in life but used self employment to help fund it. Those were the days.

#31 Kelsey on 12.29.17 at 7:01 pm

We should start the Party of Greater Fools with Garth at the helm and Smoking Man as Finance Minister. It’s the only way to keep small business in Canada!

#32 Millennial Realist on 12.29.17 at 7:02 pm

Sorry to all the self-absorbed, short-sighted, greedy Boomer dinosaurs.

Welcome to the future!

These changes are fair and necessary. And just the beginning.

Life is not forever. The Boomer political domination of our society is finished. A huge percentage of Boomers will be gone within a decade.

You’re not all jerks. Many of you were good parents.

We thank you for your service.

We just wish that more of your Boomer “service” was for your families and their futures, society in general, the environment and global justice. Instead, so much of what so many Boomers have done boils down to just self-absorbed greed, wrapped up in neo-con rationales that are so paleo in their stupidity, they might as well be from a 17th century plantation.

If we do not renounce the disastrous Boomer legacy with measure like these changes, and more after these, then humanity is doomed. In every way.

I choose the future. And so does the new dominant majority of Canadians.

Climb aboard the change, Boomers.

Or be run over by it.

#33 Excellent! on 12.29.17 at 7:08 pm

Let it all burn. Almost there.

#34 Screwed Canadian Millenial on 12.29.17 at 7:09 pm

I gotta love how literal bums who do nothing all day except wait for the dividend payment come in are actually complaining that hard working Canadians, people who actually work for a living, are getting a raise.

#35 john m on 12.29.17 at 7:09 pm

Sounds to me like something long overdue,who in Canada can live and start any kind of a life on $11 an hour?Those kids flipping burgers etc. for minimum wages are filling the pockets of the” fat cats” who are reaping the profits while they relax in a life of luxury..so they now have to give a little back,heaven forbid they might have to get off their asses and flip some burgers themselves and save the extra money they have to fork out for about 4 employees :-)

#36 Cheese on 12.29.17 at 7:11 pm

I wanted to start a small farm and grow things, perhaps even as a small business. I hate working retail….

#37 our pal Val on 12.29.17 at 7:13 pm

Here comes inflation, recession and great buying opportunities.

#38 Blobby on 12.29.17 at 7:16 pm

I don’t see why they don’t just raise the minimum wage to $100, then everyone can be rich

#39 AB Boxster on 12.29.17 at 7:19 pm

Starting a business really only makes sense today if you are sole proprietor and sole employee.

Anyone that performs a service for you must be engaged as a independant vendor or contractor, not an employee.
Contracts all around. Cash only if possible.

Pity the businesses that rely on real people to make and sell their product.
Larger companies will just automate workers away.
Smaller businesses such as small retailers or restaurants, will close.

Many long time businesses closed in Calgary last year.
Too fast a rise in minimum wage.
Too much extra cost due to carbon taxes.
Too high a tax burden because of uncontrolled tax growth at municipal and provincial level.

Notley/Wynne/Trudeau/Horgan are certifiably leftist nuts.
Wonder who is going to keep paying all these taxes that politiians lust over?

Canadians get the government they deserve.
Shamefully sad to see the decline of a once great country.

#40 senta on 12.29.17 at 7:20 pm

If you can’t find a job, you have to start a business. The oldest and the second oldest professions are viable options. You can be sure no one is going to be reporting HST on it. Payment will be in crypto, totally untraceable.

#41 alfred on 12.29.17 at 7:20 pm

Garth, with all these rules we are living almost in a communist country!!

Is this how we bridge the wealth gap?

The rich will play by ALL the rules, the answer will ever be NO.

Would you start a business today?
Yes, somewhere else.

#42 jerry on 12.29.17 at 7:21 pm

So, the new business creations going forward will likely require fewer “employees” and rely more upon the advances of technologies.

Perhaps a legislated mandatory salary minimum from any government would be irrelevant anyways.

The question is will the governments of the future demand that businesses and corporations actually “pay a wage to a Robot” so as to ensure some form of payroll tax opportunity.

#43 Danny on 12.29.17 at 7:22 pm

Remember when all those who loved to take pictures with Kodak film and fought against digital cameras?
Then Kodak film just disappeared.
Horse and buggy days died a long time ago.

Small business people I personally know have done very well….own expensive cars more than 2 houses in expensive neighborhoods.

Yes they worked hard for it but have enough ‘cash money ” to share with the workers who were paid minimum wage and helped them earn wealth.

The real competition has for a long time been big box competition and chain stores and large specialized manufacturing and food production.
Try going to Yordale or the expanding Sheridan Mall and check out those chain stores.
That is what is hurting small business not the increase in minimum wages.
Remember most large businesses started as a small business then grew and hurt some of the small businesses.
It’s “business evolution “….that over generations that caused and will always cause the hurt for some.
Just like Amazon ” the rebirth of the old Simpson and Eaton Catalog “..in a new digital business evolution….that’s the kicker….not the ” lefties.”
Justin history repeating itself.

#44 Keith on 12.29.17 at 7:24 pm

The provision of largely unpaid leave will have a limited effect when half of Canadian workers live paycheck to paycheck. The belief that this will be taken up by low wage workers in the small business sector at a significant level is laughable.

The minimum wage has fallen so far behind the cost of living, ( in B.C. it was frozen for a decade, costing lowest paid workers at least 25%) the cost of restoring part of those losses will be dramatic. It’s actually incorrect to think of it as an increase of 20%, it’s more correct to call it a partial catch up.

If all businesses have to pay the same wage increase, how does one business become uncompetitive? What do you do when rent goes up 10% in a year – you pay it, as does your competition.

Of course beating up on workers in B.C. led to the lowest unemployment rate in Canada, the fastest growing economy, and the highest rents and real estate prices in the country. The very definition of a hollow victory, except for the .001 percent.

#45 FOUR FINGERS WATSON on 12.29.17 at 7:30 pm

More pissing and moaning about out of control governments.Tsk tsk tsk.
Federal Liberals form government with 39% of the popular vote
Prov. Libs. Ontario form govt. with 38% of the popular vote.
Prov. NDP Alberta form govt. with 40% of the popular vote.
Can anyone say “ Electoral Reform” ? We are a bunch of morons.

#46 AGuyInVancouver on 12.29.17 at 7:31 pm

More time off for battered women? When will these outrages end! Are there no workhouses!?

And boohoo for poor Loblaws etc. Not long ago grocery stores were paying living, unionized wages for cashiers before right wing governments let them gut contracts. There were so many Help Wanted signs out in Vancouverthis Fall businesses better get used to the idea the worm has turned and they’re not going to be able to pay people peanuts any longer.

#47 Zapstrap on 12.29.17 at 7:32 pm

Sounds something like “friends with benefits.” With the employer being the diddelee.
This isn’t going to work … these guys got to go.

#48 Joe Schmoe on 12.29.17 at 7:34 pm

Minimum wage should come with some measureable mimimim effort

I used to employ 150 people but now find it easier to do my own thing. One person. More profit. Less CRA website nonsense.

Sign of the times.

#49 Figmund Sreud on 12.29.17 at 7:39 pm

Is this how we bridge the wealth gap?
__________________________

Well, … the current system – while we are piddling with it – keeps widening and widening the gap! And so, I strongly suspect, we need a much, much better system, …

… we better change the system, like try, … say, syndicalism?

syn·di·cal·ism

Syndicalism is the form of economy in which each business enterprise is owned and run by its own employees, …

… but, I’m dreaming here right now in snowy Comox, BC., … sorry.

F.S. – Comox, BC.

Syndicalism is a proposed type of economic system, considered a replacement for capitalism. It suggests that workers, industries, and organisations be systematized into confederations or syndicates. It is “…a system of economic organization in which industries are owned and managed by the workers.”[1]

#50 Tbone on 12.29.17 at 7:40 pm

Start a business … no way.
Just work as a comissioned sales person in the related field.
Let someone else take the risk .
Company I work for got burned twice for big money when two largest customers went bankrupt .
Company lost millions , I had to find new customers .
I never lost a cent . I did my job … bring in the business.
I didn’t grant credit or assess risk.

#51 not so liquid in calgary on 12.29.17 at 7:41 pm

more news from the hinterland…

Sobey’s has declared that they will be closing 25% of their Safeway stores, replacing them with Sobey’s Shopko. buh bye union jobs. Sobey’s believes their Shopko platform can compete with WalMart Supercentres…good luck boys!

and about the min wage and new taxes…sure glad i’m no longer in business. bankruptcy came just in the nick of time

#52 Screwed Canadian Millenial on 12.29.17 at 7:41 pm

DELETED

#53 Dave on 12.29.17 at 7:43 pm

Lets recap:
– Create a financial system so majority are in debt – control masses
– Destroy small business – no need for creative thinking. Punch in and punch out time cards
– Global elite do control the world and have a plan. None of this is coincidence.

This is why people flock to none establishments. Crytocurrency, separation, anything that is anti

#54 Screwed Canadian Millenial on 12.29.17 at 7:45 pm

Seattle’s digital economy is atypical. But you knew that. – Garth

———————-

When Seattle first announced the $15/hour min wage years ago, I was promised mass job losses and economic armaggeddon from all the conservatives and corporate shills.

That’s the thing about conservatives though isn’t it. You never admit you’re wrong. You just move on to the next bs. Conservative ideology is based on keeping as many people poor as possible so that a few at the top can have it all.

#55 D Apostrophe on 12.29.17 at 7:45 pm

Yeah, back for the hols.. and my Loblaws at Humbertown doesn’t feel at all joyous.. the check out ladies especially… if it wasn’t for 45.. the Ontario government would be the most crooked on the continent. They don’t care about jobs unless they are talking about their own..

#56 not so liquid in calgary on 12.29.17 at 7:47 pm

@ john m on 12.29.17 at 7:09 pm

your information is a bit dated. those “McJobs” now have top rates in the $18-20/hour range

i sent my resume

#57 Smoking Man on 12.29.17 at 7:48 pm

This is the kind of inflation , wage inflation that spikes interest rates huge. Maybe that’s the lefty plan.

It’s going to destroy the housing market and that’s what basement dewlling milenals want.

Who in there right mind would own real estate in Toronto.

#58 Linda on 12.29.17 at 7:54 pm

The $15 per hour is considered ‘living’ wages in todays society. Businesses say it is not affordable & they will have to cut jobs. This first presumes they have additional employees other than themselves. Well, robotization of jobs has been occurring for quite some time. Ditto outsourcing. Though wages have been rising in those previously inexpensive 3rd world economies, to the point where it is becoming feasible to bring those jobs ‘back home’. Plus, it is rather difficult to outsource pouring a cup of coffee.

Anyway, let us look at the $15 per hour living wage. If one works a 35 hour week, 52 weeks per year the gross earned by the employee is $27,300 per year. If the employee works a 40 week for 52 consecutive weeks, the gross is $31,200 per annum. The cost to the employer is more than this, due to payroll taxes. It is very unlikely that the employer would offer benefits in addition to this wage. It is in fact likely that the employer would BE the the employee, especially if the earned business income was only $100,000 per annum. The cost of the employee would absorb at least 1/3 of that income in wages/payroll taxes.

So my question about these new minimum wage laws would be, if the employer is the employee, are they then forced to declare an income based on a $15 per hour wage?

My next question is, how many of the readers of this blog think they could get by if their earned gross per annum (before tax) was $31,200?

#59 P from AB on 12.29.17 at 7:56 pm

I consider myself true progressive supporter (party being irrelevant, I vote platform). I think what we are truly experiencing is the demonstration of democracy- the people are sick and tired of the rich getting ahead and the avg family being left in the dust. At the end of the day the arrogant, job creators, SB, big Corp execs, forgot the voters hold the power. If they leave someone will just take their spot (supply and demand).

#60 FOUR FINGERS WATSON on 12.29.17 at 7:57 pm

Entrepreneurs are not stupid. They will find work arounds like smaller companies, fewer employees, heavier work loads, automation, more contract employees, more part timers etc. and people will accept those conditions because there will not be many better options.

#61 jr on 12.29.17 at 7:58 pm

Well, this may sound simplistic, but couldn’t the extra money in the hands of said minimum wage earners end up having a net positive effect on the economy?…i.e. more spending etc.?

Don’t know about you, but I spend less when I have no money left over.

I do appreciate you breaking down the business side of the argument Garth, makes sense.

Where does the ‘extra’ money come from? – Garth

#62 Millenial on 12.29.17 at 7:59 pm

#27 Screwed Canadian Millenial on 12.29.17 at 6:53 pm
Here is a chart of Seattle employment. They’re at $15 USD/hour which is nearly $20 CAD/hour.

https://fred.stlouisfed.org/series/SEAT653NA

There won’t any job losses. There will be job gains. But conservatives won’t apologize for being wrong. Conservatives just love bitching when hard working Canadians have a little more money in their pockets. Which they’ll go right back out and spend anyways.

**********************************************

Seattle is currently experiencing a homelessness crisis, with tent cities popping up everywhere. Why hasn’t a higher minimum waged helped this situation?

#63 Sue on 12.29.17 at 7:59 pm

This is an eye opening video of Morneau being asked when the budget will be balanced.
Please take a moment to watch

https://m.youtube.com/watch?v=hYRt_duNQZk

#64 Screwed Canadian Millenial on 12.29.17 at 8:01 pm

#57 Smoking Man on 12.29.17 at 7:48 pm

Smokey why the hell are you in the blue, urban, Hollywood liberal coastal elite utopia of the great state of California?

Shouldn’t you be in Wyoming or Alaska?

Funny how conservatives always want to enjoy the great places that liberals built.

#65 PGer on 12.29.17 at 8:08 pm

What a time to make being an employer even more difficult in Canaduh. Excessive, complex regulation, increasing taxation, and now seriously bumped up wages and benefits for employees.

I would never, ever wish to be a small business employer in Canada. Maybe buy a robot or two instead – no wages or benefits, no leave and no lawsuits.

Pretty soon we’ll be like southern Europe with 20%+ rates of youth unemployment and unsustainable government debt. Happy socialism Canada.

#66 Screwed Canadian Millenial on 12.29.17 at 8:11 pm

#62 Millenial on 12.29.17 at 7:59 pm
Seattle is currently experiencing a homelessness crisis, with tent cities popping up everywhere. Why hasn’t a higher minimum waged helped this situation?

——————————

So is Vancouver. Almost like foreign speculators on the west coast are a problem eh.

#67 SWL1976 on 12.29.17 at 8:16 pm

Let’s just hope this gubernment – intervention – doesn’t make its way west to BC

#68 TurnerNation on 12.29.17 at 8:16 pm

1. Starve the beast: try and spread some grocery shopping around to independent or smaller stores.

2. The key to bringing down Canada has been attacking the strongest areas. Let’s recap:

1980s: T1’s NEP; new laws decimating East Cost fishing.

1990s: Try and force Quebec seperation didn’t work. My fear now is, they will use untold and unreported (notice it has stopped) floods of people walking across our open borders to collapse local QC economy via demand to social services)

Alberta:
– Decimated after oil price drop (funny how Saudi Arabia was not).
– Attack Fort Mac via fires.
– NDP government.

BC remains untouched: a haven of drug dealing/smuggling and money laundering. Legal Weed won’t help.

Ontario: Spiked electric bill prices preclude any economic activity bent.
– And what’s detailed in this blog post.

They pretend to pay us, we pretend to work.

#69 bring_it_on on 12.29.17 at 8:17 pm

I can see it both ways. The small shops and restaurants which barely make a profit due to sky-rocketing rent increases in Vancouver will struggle trying to pay a $15 minimum wage (the real culprit here is the exorbitant rent increases), and it may impact young people looking for their first job. However, the big box chain stores which have exploited workers for years, raking in big profits for the most part (the Walmarts of the world) certainly have the ability to pay a living wage to their employees. With many of these corporations if they could outsource everything overseas to avoid paying local wages they would do it in a heartbeat…

Like Sears and Target? – Garth

#70 Business class on 12.29.17 at 8:19 pm

No tears for the business class, they pay nothing to Government and are accumulating even at a greater rate. Changes by Liberals are great and fully support. We can not relate automation with the wage increase as it was already on its way. No matter how much taxes you reduce for the business class, they are not going to hire more and pay more taxes. Changes are just great.

#71 Jungle on 12.29.17 at 8:19 pm

The big corps can cry a river. They’ve been treating people like shit for years now.

About time some rights came in, managers have been abusing employees far too long.

#72 M on 12.29.17 at 8:20 pm

increasing unemployment on top of market driven increased 10 yr bond yield .
Who’s thinking the banks are safe from the exposure to the RE collapse ?

#73 Screwed Canadian Millenial on 12.29.17 at 8:21 pm

Where does the ‘extra’ money come from? – Garth

——————–

Walmart made $13 billion last year in profits. The Walmart family is worth over $150 billion.

McDonalds made $4.7 billion in profits last year.

Loblaws is the largest employer in Canada I believe. They made $1 billion in profits last year, including all that overpriced bread.

Galen Weston is worth what $13 billion now?

Just a few examples.

Gee it’s almost like when these billionaire oligarchs keep wages down for workers, they enrich themselves!!! Wow who woulda thunk.

Something tells me these billionaire globalist corporations and families have the money. It’s just not trickling. Do they need more tax cuts or something?

Btw why isn’t Galen Weston in jail for price fixing?

The topic here is small business, which provides more than half the jobs. Where does that money come from? – Garth

#74 dakkie on 12.29.17 at 8:23 pm

Just Say No to taking on more Debt
http://investmentwatchblog.com/just-say-no-to-taking-on-more-debt/

#75 Ronaldo on 12.29.17 at 8:26 pm

U.S. Federal minimum wage 7.25, half of ours. Some states are higher, eg Florida 8.10, California 10.50……

Expecting more empty spaces in our local malls in the New Year and more self serves implemented. Went to a movie last nite and noticed several pop machines and even a ”topping counter” where people can put their butter on their popcorn themselves. Many small businesses will close as most already struggling to make a go of it. Our country is going to be run into the ground by these socialists in power.

#76 Nick B on 12.29.17 at 8:34 pm

Governments do what they want, not what voters want. I don’t anyone with a brain would have voted for these types of changes plus the currently proposed tax changes. The US is a good example, the “tax cuts” will benefit the wealthy and offer a few crumbs to the masses when assessed by third party organizations. The types of policies in Canada with regards to minimum wages will only push businesses to replace workers with robots and automation, why not, money is practically free. There should be no minimum wage in my view, let the market determine what an hour of work is worth and what prices can support. I’m a small business owner who has created 6 full time jobs, the increase in minimum wage will just mean higher prices for customers and lower hiring going forward. The US is facing the same situation thanks to higher minimum wages and Obamacare (Health insurance provider handout).

#77 Fish on 12.29.17 at 8:35 pm

60 FOUR FINGERS WATSON on 12.29.17 at 7:57 pm

I guess or you could just lay down and take it

#78 acdel on 12.29.17 at 8:43 pm

#137 SWL1976

An apology is warranted; so I apologize.

Just an off day where everything just pissed me off, sorry for all those I may have offended.

#79 Screwed Canadian Millenial on 12.29.17 at 8:46 pm

The topic here is small business, which provides more than half the jobs. Where does that money come from? – Garth

—————–

Crapitalists always use small business as a scapegoat to protect big business from having to pay their workers a decent wage.

Walmart and Amazon devastated thousands upon thousands of small businesses, I didn’t hear a peep from conservatives and corporate shills.

I remember watching this in 2005 and seeing crusty old boomers say it’s a good thing how Walmart was destroying all these small businesses.

https://en.wikipedia.org/wiki/Wal-Mart:_The_High_Cost_of_Low_Price
Seriously

Not saying you personally Garth, but if the only way you can stay in business is by paying a starvation wage, maybe you’re just a crappy businessman?

Final note. I thought we had a labour shortage that necessitated the import of hundreds of thousands of Temporary Foreign Workers? Which is it Garth cmon man.

#80 chuck on 12.29.17 at 8:47 pm

Too Sad, I would only start a business if the gov. gave me a no cut contract and maybe not even then. Look for the cost of handyman /women help to go up as well
Love your blog

#81 Entrepreneur on 12.29.17 at 8:58 pm

I would not start a small business here in Canada especially with T2 and BM running the rules for them, destroying and eliminating any chance of survival.

And would not recommend the youth to start a small business unless a sure thing. It takes stamina and long endless hours which goes on for years then finally say “I give up,” surrender.

Sometimes I think I would like to create a product but then why when people can buy cheaper at one of the big box stores. Why bother trying?

#82 Long-Time Lurker on 12.29.17 at 8:59 pm

Brief thoughts:

The question the left-wing never asks is: “How are we going to pay for all this?”

I think small businesses are going to suck it up as long as they can and then shut down when they can’t any longer. This will lead to increasing unemployment and more people on the dole as few are going to want to start a business. This leads to higher government debt levels, eventually leading to cuts in services.

With even more people unemployed, people finally cast off their “something for nothing/Santa is real” mentality and vote for some realistic government policies.

Hey, Smokey. While you’re in SoCal, can you ask around how the 2007-2010 housing-market crash was like? We can get some first-hand reports. Canadians didn’t learn anything from the Americans.

Happy New Year, Garth and blog dogs! (In case I don’t write it later.)

#83 Adam on 12.29.17 at 8:59 pm

This is not how I’d bridge the wealth gap, how would you? (Not a rhetorical question)

#84 Loonie Doctor on 12.29.17 at 9:04 pm

One good side effect. I can now justify giving my wife a 20% raise for the work she does for the business. Have to keep pace to be competitive you know.

#85 The Boulder on 12.29.17 at 9:04 pm

People working on minimum or very low wages, spend most of their income in local economy, and not in foreign trips. The little more they will get, will surely come back to local market, so I see it as win win. Vacation time will return as improved productivity.
Whether it is labour in farms or the analysts in the office, a happy employee is key ingrédient of success.

#86 conan on 12.29.17 at 9:05 pm

At the end of the day though, this puts money into the pockets of people that will spend all of it. This creates economic activity. This financial activity filters up, and eventually, even the nitwit muckymucks, who sat on their money during decades of trickle down economics will benefit.

One change I would like to see is a “leave me alone” status that would last for 2 years. It would only apply to creating something from nothing people, who do not have any money, or very little of it.

#87 Smoking Man on 12.29.17 at 9:06 pm

#64 Screwed Canadian Millenial on 12.29.17 at 8:01 pm
#57 Smoking Man on 12.29.17 at 7:48 pm

Smokey why the hell are you in the blue, urban, Hollywood liberal coastal elite utopia of the great state of California?

Shouldn’t you be in Wyoming or Alaska?

Funny how conservatives always want to enjoy the great places that liberals built.
…..

A lot more deplorables here than you can imagen.

I wrote an epic non pc book. Now I’m shopping the script around.

Might have movie deal soon.
In the mean time Trump tax cuts start next week.
So after my share holder loans to my Canadian Corp are paid back to me. I’m shutting it down and reactivating my delawer based LLC.

Income splitting still allowed. No way in China I’m giving T2 54% of my income. In fact 1 cent to that nut case is too much.

A friend of mine with 300 employees in Concord is moving his business to mid west USA.

He’s not the only T2 refugee.

#88 kia drivr on 12.29.17 at 9:07 pm

Lots of areas in Canada have low pay rates.

Overblown.

http://wpmedia.business.financialpost.com/2017/11/fp1123_minimum_wage_map.png

#89 I'm A Believer on 12.29.17 at 9:10 pm

I started a business 30 years ago. Had some really great years, and some crappy years. All reflective of our yo yo economy. Now, retail is suffering again. I would not start a biz in Ontario or Canada today. The public has become nasty to retail and service workers. Canadians think profit is a dirty word. People think they are owed something. They totally don’t understand what it takes for a new biz to be born and to survive. Having a job is a privilege not a right. People don’t get that. But they also don’t want to take the risk of loosing everything to be self-sustaining.

#90 Ronaldo on 12.29.17 at 9:15 pm

#58 Linda

My next question is, how many of the readers of this blog think they could get by if their earned gross per annum (before tax) was $31,200?
————————————————————–
I probably could but apparently about 50% of wage earners in Canada make less than $30,000 so they must be making it somehow.

#91 Wait There on 12.29.17 at 9:16 pm

I will consider moving/relocating my operation in the USA.
Nafta..who cares at this point!
Trump can tear up NAFTA. I can employ two usa citizens and I get a green card I hear. That’s three more jobs created by Trump. Canada is barely 2-3% of my business and when I am gone Canadians have no choice to buy from my USA operation.
So nafta that!

#92 Yorkville Renter on 12.29.17 at 9:16 pm

all these anecdotes of evil and successful small business owners… like their employees are slaves… like they feast on their employees young.

if the jobs they offer are so horrible, and businesses are so simple to start and succeed (but somehow good paying jobs are hard to find), why isnt everyone running their own business?

why do people think that everyone deserves more? there are a lot of stupid, ineffective, and lazy people out there.

if we want to talk anecdotes, my employee expects a raise because the min wage is equal to their current salary (and I am providing it), but I’m starting to consider outsourcing the work because it’ll save 5 figures a year.

#93 MarkW on 12.29.17 at 9:17 pm

DELETED

#94 bring_it_on on 12.29.17 at 9:17 pm

Like Sears and Target? – Garth
——————-
Perhaps you missed the word “most” in my post. Sears was an antiquated dinosaur that never adapted to the times, and it was apparent from earlier posts that you have little outrage when it is clear that the 30 year employees will end up getting squat-all from their “guaranteed” company pensions. If a large business is in the black only by hiring temporary foreign workers and is outraged by the trend to 15.00 per hour, my view is that they should join Sears to the exit door…

Too bad you have such little respect for 21,000 retail jobs. – Garth

#95 Yorkville Renter on 12.29.17 at 9:19 pm

… and $15/hr is reasonable for Toronto, but the cost of living is so much lower in the rest of Ontario that inflation will be a killer in the short term in smaller communities

#96 Ronaldo on 12.29.17 at 9:22 pm

#60 FOUR FINGERS WATSON on 12.29.17 at 7:57 pm

Entrepreneurs are not stupid. They will find work arounds like smaller companies, fewer employees, heavier work loads, automation, more contract employees, more part timers etc. and people will accept those conditions because there will not be many better options.
————————————————————–
So most will be worse off than they would have been at $12.00 per hour. The ones who will gain are the few that still have a job. More millennials living off mom and dad.

#97 Lawless on 12.29.17 at 9:24 pm

Garth, for all of your opining about how income splitting should continue to be allowed, how is it fair that one group of people should be allowed to do it (entrepreneurs) while everyone else needs to pick up the slack. Isn’t the potential financial reward or working for yourself sufficient for people to take the risk?? It seems that you believe other tax payers should shoulder the burden for these entrepreneurs. Aside from all of your name calling and talk of leftie pinko moisters being idiots for having the audacity to suggest that all should be taxed evenly, I have yet to see a convincing explanation from you justifying income splitting. Personally, I’d be in favour of everyone just paying a fixed percentage of their income, regardless of income/employment, but clearly that ain’t going to happen anytime soon.

#98 Willy H on 12.29.17 at 9:26 pm

“Allowing employees weeks, months or even years of leave time when a job has to be held open is costly, impractical and sometimes just impossible.”
__ __ __ __
True enough, but there are two sides to this coin.

Extended leave for one employee creates opportunity for others to gain experience or skills that would not otherwise have occurred. This results in a diversified and resilient workforce. Win/win for all involved. This is even more important today when more and more older workers stay on after 65 blocking younger folks from more senior positions.

When maternity/parental leave was stretched to 1 year (from 6 months) the same arguments surfaced claiming that employers would be harmed. In reality, this creates a great deal of temporary contract work that can be very attractive for folks who don’t want to be tied down to one employer. 18 month maternity leave will save billions in government run institutional child care.
Above all, better for child’s development which can save billions in future social costs.

Most Europeans, Australians, and New Zealander’s have 6 weeks holidays. This does not seem to have done a great deal of damage to their productivity or GDP.

As for minimum wage at $15 … this is what happens when greed destroys affordable housing. No one would be working in the retail or food service sector in dowtown Van or T.O. without these increases.

To be fair, I have witnessed a great deal of abuse of personal leave and I recently read that teacher sick days in Simcoe County is costing tax payers $18m in supply teacher costs per year – with an average of 8-9 days taken over 9 months (school year).

#99 Darren on 12.29.17 at 9:26 pm

Priceless! Pretty much all governments in the true north strong and ‘free’ are working towards creating a ‘worker’s paradise’. Anyone that has been in the same room as a history book has seen that all alleged worker’s paradises eventually become a living hell for all citizens but those at the top of government. Ruh Roh!

#100 Screwed Canadian Millenial on 12.29.17 at 9:30 pm

Too bad you have such little respect for 21,000 retail jobs. – Garth

———————

So we should ban Amazon now Garth? Bezos is the retail job killer.

The minimum wage had nothing to do with Sears’s demise.

Oh Garth, if only you were as fired up about rich people dodging taxes or corporations not adequately funding their pension plans, as you are about the absolute bottom rung of the economic ladder getting just a little help. These aren’t bums sitting on their yachs waiting for the dividend to come in, or capital gain loving jetsetters flying off to Florida 6 months. These are hard working Canadians busting their butts 40, 50, 60 hours a week just trying to scrape by in this god forsaken frozen hellhole of a country.

Where does the money come from? – Garth

#101 CONservatives will LOSE on 12.29.17 at 9:31 pm

I hate Conservatives the most followed by the LiberalCONlite and the NDPCONextralite . The Greens have an amazing platform to the point they banned them from debates. I still remember Elisabeth May in the one debateshe was allowed in and she destroyed all three parties. Believe me I didnt even like greens as I just believed the conservative media propaganda that greens are tree huggers. Anyhow she smoked everyone in the debate but Canadians are stupid and lazy when it comes to democracy. Most just read the propaganda media headlines that Harper won the debate when in fact he was the worst. From that day I became a green . To bad the corporate elite want you to vote their corporate conservative puppet

#102 Johnny on 12.29.17 at 9:31 pm

With so many people cheering these interventionist policies, anyone who can afford to work less, or not at all, should do so. The socialists really believe that your money belongs to them and as such, they demand that we fork it over, while telling us how greedy and selfish we are. They don’t take into account how hard we may work, or how many sacrifices we may have made to get where we are.

Not all of us were born with a silver spoon in our mouth or are trust fund kids. No, they don’t care. They just want us to pay our “fair share” because we make a bit more money than them. I guess it’s easier to whine about how hard done you are instead of trying to better yourself.

I remember making $5/hour minimum wage when I started working. I certainly wasn’t happy about it but instead of whining about how my bosses were underpaying me, I looked it as an opportunity to get experience and a stepping stone to something better.

Human nature being what it is, and what socialists fail (or choose) to realize, those who are the targets of ever-increasing tax increases will just end up working less or not at all, and overall just do whatever is necessary to keep as much as they have from the taxman. I’m certainly planning on working less and my goal is to drop into a much lower tax bracket to get as many government benefits as possible. Eventually, governments are going to kill the golden goose with excessive taxation as there won’t be enough wealth left to extract in order to support all the takers. Either governments will be forced to lower taxes to incentive people to work (look how France had to drop its supertax on the wealthy as the tax was a colossal failure in raising the anticipated revenue), or we will become another Greece or, heaven forbid, Venezuela.

#103 wallflower on 12.29.17 at 9:37 pm

Have biz plan sitting on the shelf for one year now. It just keeps getting worse… the environment… for launching. Probably never gonna launch. Started several businesses in the 1980s and 90s. Not likely to ever do so again.

#104 Paul on 12.29.17 at 9:38 pm

Client of mine with a franchise restaurant just had new menus printed to reflect the last wage increase into the priceing. Now ordering a reprint to reflect the new minimum wage. He is laying off 10% of the waitstaff by the end of January. Happy new year.

#105 conan on 12.29.17 at 9:39 pm

#97 Lawless on 12.29.17 at 9:24 pm

I’d be in favour of everyone just paying a fixed percentage of their income, regardless of income/employment, but clearly that ain’t going to happen anytime soon.”

it will never happen because the “working poor” would down tools and start rioting in the streets.

That’s never a good thing according to the history books that I have read.

#106 Sue on 12.29.17 at 9:40 pm

I think part of the problem is the number of people who dont understand the difference between a walmart sized corporation and a small business.

#107 Math is hard on 12.29.17 at 9:42 pm

#73 SCM

“Loblaws is the largest employer in Canada I believe. They made $1 billion in profits last year, including all that overpriced bread.”

So you have looked up the profits without bothering to do any of the math.

Loblaws employs about 190,000 Canadians. A $2 raise for 2000 working hours in a year equates to $760,000,000, wiping out most of the profit. A $3 raise and the company is toast. Then 190,000 will have a income of zero. Are your good intentions then going to feed them? To be fair I understand many are part time, but I hope this showcases that even a small increase can wipe out hundreds of millions.

#108 Lost...but not leased on 12.29.17 at 9:42 pm

Kinda torn here…

….sorta like Sword of Damocles MEETS Solomon’s sword.

T2 could be deemed an employee of 30 Million+ Canadians.?????.VERSUS are we employees(aka indentured taxpaying slaves) of his .OO1% silver- spooned elitist clique?)

#109 Screwed Canadian Millenial on 12.29.17 at 9:50 pm

#106 Math is hard on 12.29.17 at 9:42 pm

Math indeed hard. For you.

Not all those 190,000 employees are minimum wage workers.

By Loblaws own statements to shareholders, their expenses are going up $190 million.

Loblaw says minimum-wage hikes will balloon expenses by $190 million
https://www.thestar.com/business/2017/07/26/loblaw-says-higher-minimum-wage-rules-will-hurt-profits.html

That doesn’t account for the extra revenues they’ll be making now that workers have more money in their pockets. Wtf happened to DYNAMIC SCORING? LOL.

So boohoo can Loblaws get by on making $800 million a year in PROFITS? Will Galen Weston Jr with his $13 billion net worth, have to go hat in hand to the local food bank to get some overpriced bread?

My violin gently weeps for one of the worst TFW exploiters in this country.

#110 pay your taxes on 12.29.17 at 9:52 pm

What are the “regulated industries” you mention? A lot of bleating here in the peanut gallery may be for nought.

#111 down_boy on 12.29.17 at 9:52 pm

I’m an artist. I live on praise. Business is good.

#112 Blessed Canadian Millenial on 12.29.17 at 9:56 pm

Screwed Canadian Millenial on 12.29.17 at 7:45 pm
Seattle’s digital economy is atypical. But you knew that. – Garth

———————-

When Seattle first announced the $15/hour min wage years ago, I was promised mass job losses and economic armaggeddon from all the conservatives and corporate shills.

That’s the thing about conservatives though isn’t it. You never admit you’re wrong. You just move on to the next bs. Conservative ideology is based on keeping as many people poor as possible so that a few at the top can have it all.

————-

Seems like you need to do some reading:

https://www.washingtonpost.com/news/wonk/wp/2017/06/26/new-study-casts-doubt-on-whether-a-15-minimum-wage-really-helps-workers/?utm_term=.5b54d895a96b

https://www.newsmax.com/Newsfront/APFN-US-Seattle-Minimum-Wage/2017/06/27/id/798428/

More importantly, why not $30/hour? Then everyone can be rich!

#113 James Kook on 12.29.17 at 9:57 pm

It would be very beneficial for all country to set government to work part-time for $15/hour.

There even no need for them to show up at work. Then it would be even more beneficial.

#114 Fish on 12.29.17 at 9:57 pm

#63 Sue on 12.29.17 at 7:59 pm
This is an eye opening video of Morneau being asked when the budget will be balanced.
Please take a moment to watch

*****************

https://m.youtube.com/watch?v=hYRt_duNQZ

Wow, thanks

#115 Red Deer Rob (in Toronto) on 12.29.17 at 9:59 pm

All these government policies are going to translate into higher costs on goods and services. Consumers are going to chase lower prices in the digital realm and in turn accelerate the decline of bricks and mortar business.

This is not an environment favourable for entrepreneurs. Unless you’re a digital nomad working outside of Canada.

#116 Blessed Canadian Millenial on 12.29.17 at 10:01 pm

P from AB on 12.29.17 at 7:56 pm
I consider myself true progressive supporter (party being irrelevant, I vote platform). I think what we are truly experiencing is the demonstration of democracy- the people are sick and tired of the rich getting ahead and the avg family being left in the dust. At the end of the day the arrogant, job creators, SB, big Corp execs, forgot the voters hold the power. If they leave someone will just take their spot (supply and demand).

———–

I simply fail to understand the envy that most on the Left possess: why does it matter if the wealth “gap” is increasing, if the poor are getting more wealthy (on an absolute basis)?

We’ve reduced absolute poverty by half, thanks to capitalism.

My, the young generation is royally messed with the way they think.

#117 3s on 12.29.17 at 10:08 pm

Look, if you don’t find that someone is worth 15 bucks an hour by all means don’t use them, do it yourself – although I am sure you value your time to be worth way more than that. GT will tell you that you don’t get to where he is on $15 an hour….In Aus we know only losers earn $15/h. Winners get over $200;) Or you can use the automation scare tactics to feel better about your high own high rate. I had a exec tell me over Xmas how he is taking a year off to study inequality at some Ivy League Uni – he has no clue how it got so huge. ROTFL – Is it because $15/h is so far behind or exec pay so far ahead. Such a mystery!

#118 Blessed Canadian Millenial on 12.29.17 at 10:10 pm

Ronaldo on 12.29.17 at 9:15 pm
#58 Linda

My next question is, how many of the readers of this blog think they could get by if their earned gross per annum (before tax) was $31,200?
————————————————————–
I probably could but apparently about 50% of wage earners in Canada make less than $30,000 so they must be making it somehow.

———–

This $30K salary does NOT make sense when the average hourly rate is over $26 an hour. Source: http://www.statcan.gc.ca/tables-tableaux/sum-som/l01/cst01/labr69a-eng.htm

Do we have a whole lot of folks who are on part-time basis?

This increase in minimum wage is only going to exacerbate the issue.

#119 Capital One on 12.29.17 at 10:13 pm

#58 Linda

My next question is, how many of the readers of this blog think they could get by if their earned gross per annum (before tax) was $31,200?
————————————————————–

You have to look at it from the employer’s point of view. How much money will the company make if they hire him/her? If it’s $30,000, then it might make sense to hire them at the old minimum wage. Now, it might not. The argument that you’re hearing is that the number where “now, it might not” is > 0. Perhaps a lot > 0

It’s almost like opportunity cost. The employer could just invest that money in some dividend ETF and make 5%, why wouldn’t he/she just do that? No headaches.

CO

#120 Blessed Canadian Millenial on 12.29.17 at 10:13 pm

bring_it_on on 12.29.17 at 9:17 pm
Like Sears and Target? – Garth
——————-
Perhaps you missed the word “most” in my post. Sears was an antiquated dinosaur that never adapted to the times, and it was apparent from earlier posts that you have little outrage when it is clear that the 30 year employees will end up getting squat-all from their “guaranteed” company pensions. If a large business is in the black only by hiring temporary foreign workers and is outraged by the trend to 15.00 per hour, my view is that they should join Sears to the exit door…

————

Advocating that businesses should be shut down is sign that you intentionally want people to lose jobs. What pathetic thinking.

#121 Deplorable Screenwriters Guild on 12.29.17 at 10:17 pm

#87 Smoking Man on 12.29.17 at 9:06 pm

#64 Screwed Canadian Millenial on 12.29.17 at 8:01 pm
#57 Smoking Man on 12.29.17 at 7:48 pm

Smokey why the hell are you in the blue, urban, Hollywood liberal coastal elite utopia of the great state of California?

Shouldn’t you be in Wyoming or Alaska?

Funny how conservatives always want to enjoy the great places that liberals built.
…..

A lot more deplorables here than you can imagen.

I wrote an epic non pc book. Now I’m shopping the script around.

Might have movie deal soon….


This is amazing….
Who plays Smokey? Who plays Shirley? Who plays Trump?

#122 Yorkville Renter on 12.29.17 at 10:25 pm

It’s hilarious when people say someone is a bad business operator if they can’t succeed when wages jump 20%… what’s that say for the bigger losers who work there?

pathetic.

#123 Angela on 12.29.17 at 10:31 pm

I see both sides of this.

No one can live on minimum wage. Women to stay in bad relationships for a second income, children to live in difficult neibourhoods, men supplement by criminal behaviour.

What’s the answer, if not more money for the peons? Free post secondary education perhaps?

#124 mathman on 12.29.17 at 10:33 pm

#89 – Couldn’t agree more. People feel they have a right to everything these days – jobs, homes paid for by their parents, luxury cars, five star vacations etc.

People will never understand that the luxury car and or mansion the boss owns were not immaculately concieved, they were bought with many years of blood, sweat and tears. The small business owners I know to a person, are full of grit, work significant hours and in fact never ever really punch out.

Stupid Policy after stupid policy. And Atlas keeps shrugging.

Comments about the new entrepreneur finding ways to fly solo are spot on – my spouse and her sibling do just that, the last thing they want to do is hire an employee here because it simply involves too much risk relative to the potential benefit.

As a small business a leave for any reason would create very high frictional costs, so they use contractors with contracts in place for critical tasks (website/shipping fulfilment etc) so that any issues are “insured” to a degree.

So to the answer the question – i would start a business here, only one that could operate with simply me or someone I trust implicitly with an equal economic stake in the business.

Garth – stop wasting any energy on SCM!

Math

#125 Lost...but not leased on 12.29.17 at 10:33 pm

$15/hour?!???!!!

Seems to be the magic number for the global oligarchs ponzi scheme.

I’ve researched the issue..and there is a spectrum of :

(i)Job Layoffs

VERSUS

(ii) an injection of trickle- down capital that juices the local economy.

Regardless…$15/hr will not address the gap between renting and owning…if that is perceived as an end game.

#126 StandardDeviation on 12.29.17 at 10:38 pm

If automation and increased efficiencies are key to employment risk. Why isn’t our government at all levels automating and increasing efficiency? Most of the government jobs are clerical in nature, which is a perfect target for automation and efficiency? We might then at least have a balanced approach to business taxes.

#127 Ace Goodheart on 12.29.17 at 10:42 pm

North Americans are not very good as a whole at treating humans as humans. The problem seems to be too much freedom combined with too little responsibility. Occasionally someone notices this and tries to do something about it. But as usual, it is done in the North American way.

Less than useless. But maybe a start….

#128 the Jaguar on 12.29.17 at 10:45 pm

Mercy. Had to retreat back to the blog from a quick view of our PM being grilled by Lisa LaFlamme. What’s wrong with his left eye? Pupil is way too dilated and his agitated way of speaking (too many clenched hand gestures) makes me think he is on some kind of anxiety medication. He talks funny, too. Like someone who took years of speech therapy for a lisp but it lingers still. I know people from Montreal have an issue with the pronunciation of ‘H’, but seems to be more to it..
On another note, tomorrow is the last day for the house horny lumpen to squeak through the tight turnstile of qualification so they can plunge into their icy bath of debt and more debt. Hey buddy, grab hold of this anvil on your way down. Observed some signs of quiet desperation today. Tomorrow will be worse. But it won’t be the failure to cross the finish line in time that does them in. As always the lack of attention to important details is the kryptonite in their undoing. As the polar vortex washes over most of Canada so in the same way will the great reckoning arrive. Revenge is after all a dish best served cold.

#129 Fish on 12.29.17 at 10:47 pm

RE#90 Ronaldo on 12.29.17 at 9:15 pm
#58 Linda

My next question is, how many of the readers of this blog think they could get by if their earned gross per annum (before tax) was $31,200?
————————————————————–
I probably could but apparently about 50% of wage earners in Canada make less than $30,000 so they must be making it somehow

*************

A little gentle reminder, Phiniox system is under works
Just a little more time

#130 viorelli on 12.29.17 at 10:50 pm

There is no way out of this mess, unfortunately. The workers are drowning in debt, and consumers are mostly broke with little if any disposable income left. They want more money as well as some job security. Government needs more money too to pay for an ever increasing list of promises in order to get re-elected and to get some chump change recognition from the globalists (carbon tax, free borders, etc.), thus they assault small business, there’s no one else left to assault, the truly wealthy that I know had all moved or are in the process of moving their business and capital out of the country. Automation is advancing, as the corps not willing to pay more, therefore business shifts online and into the hands of driverless trucks and auto checkouts, same with border patrol officers (drones operated by very few). It’s a coming disaster for both, the business owners and the working stiffs as both will undoubtedly suffer at the end. Furthermore, rapid escalation of living costs, tuition fees, daycare, gasoline, and groceries will ensure that even most well paid professionals are just scraping by. If I would be young and educated today I would look into places like China where structural engineer with Canadian education and experience grosses $200.000 with less taxes and cheaper cost of living or software engineer living in Cambodia and working online, its a no brainer really!

#131 Victor V on 12.29.17 at 10:52 pm

Housing market psychology fragile as new mortgage rules loom in 2018

https://www.bnn.ca/housing-market-psychology-fragile-as-new-mortgage-rules-loom-in-2018-1.954757

#132 mathman on 12.29.17 at 10:53 pm

The two most important lessons in my work life were learned while I was a teen.

My first job, summer between grade at and 9 was at a warehouse. Lesson – do well in school or risk becoming simply a back and arms with no leverage and fungible to the employer. It was backbreaking work, all day lifting boxes of heavy tools. I took it upon myself to never have to do that work again despite starting life at home plate with one strike. Easy to excel when you realize early on you have a blank canvas.

Through most of high school worked in a family run restaurant. The husband and wife and both kids basically lived at the place. This was a really nice place, and even still staffing was a nightmare. Waitstaff/Kitchen staff would call in sick hours before a Friday/Saturday night shift on more than a few occasions the chef would quit and simply walk out. My sister and I both worked there for 3-4 years, did ever job in the place and the owners loved us because we were super reliable, didn’t steal from them, bring any drama to work etc. We were happy to have jobs and worked as hard as we could.

Lesson – People will steal anything that is not nailed down, get the right people on the bus and treat them well once they have proven themselves. Never start a human capital intensive business.

Math

#133 Tom on 12.29.17 at 11:01 pm

Hi Garth,

At the pace rent has increased lately, at least in the GTA, it’s no surprise the population has demanded higher income. At my work, engineers have been asking for large increases for 2 years now, and finally got it this summer.

Most got 7% pay increases.

If rent had not increased by 400$ a month since we started renting only a few years ago, we would not have asked our employer for this.

Did they have a choice?
No.

People started leaving for the U.S.
Apple, Amazon, etc.

The interesting thing will be what happens to wages of people who don’t have a “scarce skill”. Good engineers and programmers are rare so they can ask for 5-7% raises and keep up with rising rents. But an accountant at Deloitte, a lawyer at KPMG, a bank analyst at TD? What do you think? I think that there are hundreds of hungry new grads that are willing to take their spot for a lower pay and catch-up on experience fast enough.

#134 OttawaRenting on 12.29.17 at 11:01 pm

Where does the ‘extra’ money come from? – Garth

————-

So zen. Inflation. Cost of everything going up.

#135 Trojan House on 12.29.17 at 11:03 pm

Talking with a friend who works in the child care industry as an educational assistant making less than $15/hr until Monday, says that the early childhood educators who currently make $15/hr or above are pissed because the company will not be giving them a raise.

So you will have EAs who don’t need a college diploma making the same as a college educated ECE! Fair is fair I guess.

#136 Walter Safety on 12.29.17 at 11:03 pm

You have to start a business, it’s the only way to avoid being a wage slave .
Once you realize you can’t work for anyone else your set.
You will overcome the obstacles when you’re young , when your older and lose a little motivation then there is a problem.
That’s where Canada is now lots of older small business owners thinking it’s not worth it anymore . Adapt or close -the choice gets easier each year.

#137 Ray on 12.29.17 at 11:04 pm

Raising the minimum wage is just another way the govt. is just raising taxes. They don’t want to do it in the obvious way, such as increasing the HST. Raising the minimum wage will raise all wages incrementally, and this, in turn, will raise income taxes. The inflationary impact will raise general prices, and again this raises revenue through the HST. They even get some brownie points with the lefties who think it was all done for some reason like better social justice. For the Liberals, it’s a win, win, Wynne.

#138 MarkW on 12.29.17 at 11:05 pm

With Canada apparently facing a massive future shortage of workers; the idea of fewer but better paid jobs and more automation increasing the quality of the remaining jobs seems like a good thing.

#139 8102 on 12.29.17 at 11:12 pm

These new regulations will offer some relief for these employers then because right now they are unable to fill jobs due to lack of workers.

Every day I get emails posting hundreds of immediate job openings.

So with the new regulations and employers making the decision to “cut back hours” and “lay-off” workers to compensate for the new higher wages they won’t have to “fret” over positions they cannot fill anyways.

A lot of these corporations started cutting back peoples hours long ago anyways, way before these new wages were announced, get rid of the full timers and you get rid of the benefits, and you increase the profits and the return to share holders.

Target failed in Canada because of their business model, I have been in numerous Targets in the States, the Canadian Stores did not offer the same merchandise, last time I checked their stock in the US was doing quite nicely.

I don’t know about everyone else, but other than Major Appliances I don’t know what else people bought there, they did not keep up with the market demands, it is the same store it was when I was a kid over 40 years ago.

Costco, Wal-Mart, Lowes, seem to be holding there own although the housing slow down that seems to be on it’s way will test the Home Improvement Stores, I suspect.

The big food store chains get no sympathy from me, price fixing, re-dating best before dates on food, these things disgust me, and they keep getting caught!

#140 Screwed Canadian Millenial on 12.29.17 at 11:16 pm

#110 Blessed Canadian Millenial on 12.29.17 at 9:56 pm

What do I need to read BCM? That no jobs were lost, that 4% unemployment is bad, and that conservatives and corporate shills are telling me the Seattle min wage hike was terrible for the workers even though the workers absolutely love it?

Seattle’s higher minimum wage is actually working just fine
https://www.washingtonpost.com/news/posteverything/wp/2017/06/27/seattles-higher-minimum-wage-is-actually-working-just-fine/?utm_term=.ee7e6a9f6162

Seattle’s crazy restaurant boom
https://www.seattletimes.com/pacific-nw-magazine/seattles-crazy-restaurant-boom/

The thing that the billionaire globalist oligarchs hate most is a tight labour market because that gives workers the power. That’s why they shill so hard against it.

#141 Screwed Canadian Millenial on 12.29.17 at 11:23 pm

#106 Math is hard on 12.29.17 at 9:42 pm
***but I hope this showcases that even a small increase can wipe out hundreds of millions.***

—————————–

You’re saying big corporations suppress workers wages in order to achieve higher profits? Yeah.. that’s my argument.

#142 Lost...but not leased on 12.29.17 at 11:26 pm

#124 the Jaguar

T2 has all the symptoms of “Cerebral Onanism”…

This once rare malady has run rampant during the T1 regime(acting as a quasi-political vector). Symptoms include pirouetting behind the Queens’ back and marrying future Rolling Stones groupies.

…there is no known cure
………except the relatively high Canuckistan benchmark of 3% of the population actually manifesting their own reciprocal version of “Fuddle Duddle” and relegating their syncophantic Liberal MP’s to their more apropos role as Canuckistans eternal opposition parody.

#143 VICTORIA TEA PARTY on 12.29.17 at 11:27 pm

NEW JOBS CHANGES: BAD MOON RISING

When left-wingers argue with conservatives about “issues of the day” they usually trot out the following comment to try and end the discussion: “have you thought about the unintended consequences..?”

Looking at these stunning job rules changes, look not only at unintended consequences but the intended ones.

It doesn’t matter here because ALL the consequences will be bad for Canada’s economy, especially with the massive tax reductions that are taking place in the US economy the world’s largest by many magnitudes. Our competitiveness wiil evaporate.

So, Canada’s business community will be badly affected.
Some larger firms could even be ripe for US takeovers.

And like the Target story they would be shuttered allowing a US “parent” to deduct the move as a tax expense. Local result? Huge joblessness.

But that won’t stop the new rules supporters here will it?
Not likely.

So, a little lesson in economics instead:

Some of your posters yammer on about the level of profits of Loblaws and such.

And because they are so big (and $1 billion is NOT big in Loblaw’s case), it means they are therefore Capitalist Pigs ready for the slaughter to help out the hard-done-by wage slaves. Nothing like a bit of redistribution, right?

Look here, large corporations pay huge taxes and other regulated imposts (in addition to the wages/salaries) demanded by greedy governments which cannot control their spending.

These same corporations also help out millions of ordinary Canadians and foreigners who, as shareholders, get paid dividends to help them through life.

Business profits represent, in a major way, the economic life-blood of our civilization.

BTW, there is another destination for many corporate dividends, our OAS and CPP.

Those government entitlements are also funded by private sector corporate dividends, as well as huge government debts (bonds) especially to the CPP.

ALSO, these work place changes are being initiated at a time when the job market throughout the industrialized world is being shaken to its roots by technological changes.

The numbers of “traditional” jobs that will be shredded will stun and amaze. How will that situation square with these new labour rules?

Meanwhile, the rules should not be confused with job security, because there is NO more job security. Left the train station a while back.

President Trump must already know about all of this and he may wonder how Canada might help to Make America Great Again thanks to these self-inflicted wounds and just plain governmental insanity, all aimed at buying voters from confused individuals who think the world owes them a living.

It doesn’t and you’ll ALL be learning about that…shortly.

#144 45north on 12.29.17 at 11:35 pm

But business owners, entrepreneurs, corporations and the self-employed see it as an assault. Forcing a 20% wage increase on people ain’t the role of government, they allege, and is completely divorced from business conditions. Allowing employees weeks, months or even years of leave time when a job has to be held open is costly, impractical and sometimes just impossible. This will raise costs, raise prices, reduce profits, cut jobs and whack retail businesses at a time they are already under attack from online competitors – who don’t pay people to serve coffee or wash lettuce.

which is why the Federal Pay System is in Miramichi New Brunswick and not Ottawa, Ontario.

#145 Tony on 12.29.17 at 11:36 pm

Re: #27 Screwed Canadian Millenial on 12.29.17 at 6:53 pm

150,000 job losses likely permanent are now slated.

#146 OttawaMike on 12.29.17 at 11:38 pm

While we argue over providing wages that workers can actually live on, the Germans are seeking a 28 hr week rather than a 35 hr.
Unionization is mandatory in every workplace too.
Look at what a disaster Germany’s economy is. Oh yeah..
https://www.expatica.com/de/news/country-news/Germany-unions-employment-strike_1618601.html

#147 Canadian expat, watching distress from Phils on 12.30.17 at 12:07 am

Things are getting crushed right now across Canada, whether new immigrants, existing Canadian employees at banks, Loblaws, oil sector or retail or restaurants. It’s bad all around. Plus Trudeau the clown wants to bring ISIS terrorists to Canada! WOW!

http://ottawacitizen.com/news/local-news/black-tomato-to-close-after-23-years-owner-blames-minimum-wage-hike

http://www.cbc.ca/beta/news/canada/manitoba/manitoba-refugees-jobs-employment-1.4466519

https://www.narcity.com/ca/on/toronto/news/7-eleven-is-shutting-down-stores-all-across-toronto

#148 Ronaldo on 12.30.17 at 12:14 am

When wages get to a point where all a business is doing is employing people and there is no longer an incentive to being in business why would you continue? People who take the risk of going into business are entitled to reasonable profits otherwise why bother. I see this as a real problem for a lot of small businesses where competition is tight and they are unable to raise cost of products or service in order to absorb those higher costs. Expect to see a lot of small businesses going down. Many are having enough trouble just trying to keep up with increases in their rent due to overpriced real estate and greedy landlords. I suspect we will see many more spaces become vacant in our shopping malls in the years ahead. Reminds me of the 80s.

#149 Canuck on 12.30.17 at 12:18 am

What an entertaining read, going through these comments tonight.

Although I understand I might sound jaded, I’ve always believed that most people in general, are stupid. Most people are self absorbed and narcissistic to some point and many comments on here tonight show that.

Minimum wage was never meant to be a “living wage”. It’s a wage for new and unskilled employees. As these employees became trained and skilled, they would be given more responsibility and more money. In order for that to happen, one needed drive, ambition and talent.

Not everyone has those qualities. Those people will not advance, they will not be comfortable and will struggle for most of their lives. It happens. It’s part of life.

I can’t figure out why some of you think business has to give those who can’t or won’t aspire to bigger and better things, a raise. I mean, you do realize you as a consumer, are the one paying for those increase, right?

I often wonder how many bowls of stupid one needs to have for breakfast to think it’s okay to spend 9.00 on a Big Mac meal.

Anyways, people get sick of conservative policies as well as liberal policies so the pendulum keeps swinging. I don’t know about the center of the universe but in Alberta, the nightmare of teaching the conservatives a lesson will be over in 17 months. By that time, the crown prince of Papineau should have hopefully worn out his welcome. By that time, Trump and his America will have left Canada further in the dust.

#150 Keith on 12.30.17 at 12:29 am

@#106 Math is hard.

190,000 employees at 2000 hours per year. If you knew anything about retail trade, you would know that probably 125,000 of those 190,000 are part time. Math is hard, incorrect assumptions are wrong. Back to your calculator.

#151 Smoking Man on 12.30.17 at 12:48 am

It’s sort of hilarious the read comments from the young progressive social justice enthusiasts.

You are never going to experience the lifestyle I’ve enjoyed, easily pissing away hundreds of thousands every year in Casinos, road trips, and travel. Every year my net worth goes up.

Why and how? first off I’m not a victim, more of an opportunist and a man who takes action on a hunch. My hunches are good.

SCM and others are hopeless, the second you blame someone for your shortcomings is the day you nail your final nail into the prosperity coffin.

You realize you’re self of all responsibility so you can sit on your ass and blame anyone but you. So mad you are happy to take shots at successful people because you’re to dumb to figure out how to make loot.

I burned myself on Bay street with my insidious drunken big mouth. My fault, I’ve moved on and doing great.

You people love T2, he is the biggest enemy you could ever imagine on your fragile little generation.

Floodgates open to workers from around the world, no raise for you. They got to live somewhere, no house for you. The big banks are in bed with the little creep. as are all the big huge global companies and the universities that polluted your minds with garbage and shit that don’t matter to your prosperity.

The mission is to destroy the family unit, to impoverish independence and small business, to make you totally dependent on the state and divide us along race, sex, and ideas.

The fact that you can’t see that is the reason I’m enjoying California dream life and doing New Years in Vegas. You global warming fanatics are freezing your nuts off at -30.

To funny, SCM great writing skills but sorry, you have shit for brains.

Dr. Smoking Man
Ph.D. Herdonomics

#152 MF on 12.30.17 at 12:54 am

#122 Angela on 12.29.17 at 10:31 pm

It’s only women “forced” into bad relationships? What about the legions of men doing low pay, or who have been injured on the job and are unable to do their trade? What about men forced to pay child support?

#131 mathman on 12.29.17 at 10:53 pm

Very valuable lesson indeed. I went through the same thing with a restaurant I worked at when I was younger. Motivated me to study hard and do well (not saying this is the key to high income but it can help get you away from manual labour). Watching all the older folks fight over shifts, or complain about injuries. Seeing how they were stuck in life was depressing.

MF

#153 MF on 12.30.17 at 12:57 am

#125 StandardDeviation on 12.29.17 at 10:38 pm

They are. Did you know the CRA closed a downtown Toronto call centre this past summer? All the newly hired staff hired within the last ten years on contract were let go. Not a peep from the media though.

Reason number one was the rent was too high, but also that the system is being automated with the online systems doing more and more.

It’s happening everywhere.

MF

#154 MF on 12.30.17 at 1:02 am

#129 viorelli on 12.29.17 at 10:50 pm

Lol what a joke this comment is.

Automation is a worldwide phenomenon. It’s not just Canada. Doesn’t matter if you try and hide in Cambodia.

It’s actually the biggest threat to humanity right now (serious).

MF

#155 Ponzius Pilatus on 12.30.17 at 1:06 am

Why do Canadians hate the poor so much?

#156 Howard on 12.30.17 at 1:06 am

#111 Blessed Canadian Millenial on 12.29.17 at 9:56 pm

More importantly, why not $30/hour? Then everyone can be rich!

———————————————

Weak. Very weak.

The other side can credibly retort : “Why not a minimum wage of $0.01? I bet that would help tons of businesses!”.

Bottom line, if a business cannot pay its staff a living wage, the business is not viable. The increased minimum wage is not unreasonable when compared with historic wage vs cost of living. The use of enslaved TFWs as a stopgap for unviable businesses should not be permitted.

#157 MarkW on 12.30.17 at 1:08 am

#139 Screwed Canadian Millenial on 12.29.17 at 11:16 pm

“The thing that the billionaire globalist oligarchs hate most is a tight labour market because that gives workers the power. That’s why they shill so hard against it.”

Exactly

#158 Smoking Man on 12.30.17 at 1:09 am

There exists a secret society of many deplorable filmmakers in California. The existing models of movie making is in the shitter with shit sales.

People are onto the globalist unnatural narrative and are rejecting it huge.

Me and my great presence on this pathetic shit hole of a blog with huge reach got invited down here. 100% true.

I am so proud to help MAGA, Trump is not coming here. His backroom boys are doing the heavy lifting. In the shadows of palm trees.

When I’m done here.

Make Justin a Drama Teacher Again.

#159 Blessed Canadian Millenial on 12.30.17 at 1:11 am

Screwed Canadian Millenial on 12.29.17 at 11:16 pm
#110 Blessed Canadian Millenial on 12.29.17 at 9:56 pm

What do I need to read BCM? That no jobs were lost, that 4% unemployment is bad, and that conservatives and corporate shills are telling me the Seattle min wage hike was terrible for the workers even though the workers absolutely love it?

Seattle’s higher minimum wage is actually working just fine
https://www.washingtonpost.com/news/posteverything/wp/2017/06/27/seattles-higher-minimum-wage-is-actually-working-just-fine/?utm_term=.ee7e6a9f6162

Seattle’s crazy restaurant boom
https://www.seattletimes.com/pacific-nw-magazine/seattles-crazy-restaurant-boom/

The thing that the billionaire globalist oligarchs hate most is a tight labour market because that gives workers the power. That’s why they shill so hard against it.

———-

Are you that naive? Do you NOT realize that the minimum wage worker is earning that much because that’s the value that they provide?

A huge increase in minimum wage will lead to a job loss in most cases. This is logic.

Finally, your last sentence makes no sense. How are the large corporations having tight labour market? With an INCREASE in minimum wage, there will be more SUPPLY for job applications and thus more demand for employment. The Corps can then pick and choose the cream of the crop.

This will lead to massive unemployment for teenagers/low skilled workers.

Is this what we want?

#160 Blessed Canadian Millenial on 12.30.17 at 1:13 am

Screwed Canadian Millenial on 12.29.17 at 11:23 pm
#106 Math is hard on 12.29.17 at 9:42 pm
***but I hope this showcases that even a small increase can wipe out hundreds of millions.***

—————————–

You’re saying big corporations suppress workers wages in order to achieve higher profits? Yeah.. that’s my argument.

———–

Again, how are they suppressing the wages? Are they putting a gun to the employee’s head? The employee has the right to either accept the job or move to something better.

You are delusional if you think that the corporations are actively trying to keep people poor. LOL.

#161 rock pile on 12.30.17 at 1:14 am

#58 Linda on 12.29.17 at 7:54 pm
The $15 per hour is considered ‘living’ wages in todays society. Businesses say it is not affordable & they will have to cut jobs. This first presumes they have additional employees other than themselves. Well, robotization of jobs has been occurring for quite some time. Ditto outsourcing. Though wages have been rising in those previously inexpensive 3rd world economies, to the point where it is becoming feasible to bring those jobs ‘back home’. Plus, it is rather difficult to outsource pouring a cup of coffee.

Anyway, let us look at the $15 per hour living wage. If one works a 35 hour week, 52 weeks per year the gross earned by the employee is $27,300 per year. If the employee works a 40 week for 52 consecutive weeks, the gross is $31,200 per annum. The cost to the employer is more than this, due to payroll taxes. It is very unlikely that the employer would offer benefits in addition to this wage. It is in fact likely that the employer would BE the the employee, especially if the earned business income was only $100,000 per annum. The cost of the employee would absorb at least 1/3 of that income in wages/payroll taxes.

So my question about these new minimum wage laws would be, if the employer is the employee, are they then forced to declare an income based on a $15 per hour wage?

My next question is, how many of the readers of this blog think they could get by if their earned gross per annum (before tax) was $31,200?

=======================================

My wife and I between us make about 40K before taxes in a good year. It’s not only enough to live on but to save about 30% of our income.

#162 Ponzius Pilatus on 12.30.17 at 1:14 am

#38 Blobby on 12.29.17 at 7:16 pm
I don’t see why they don’t just raise the minimum wage to $100, then everyone can be rich
—————
Why just don’t lower it to zero.
Then everyone will be poor.
stupid idiot.

#163 Dolce Vita on 12.30.17 at 1:18 am

Smoking Man is correct.

We will end up with price inflation and that will eventually lead to higher interest rates [lower wage earner purchasing power increases].

This is because there are a SIGNIFICANT number of people earning $15/hr or less in Canada [Labour Force Survey microdata 2015, Government of Canada Minimum wage database]:

+4 Million Canadians, 25% of all workers.

and it varies by region [18% of all employees in AB, 38% in PEI].

What is MORE worrying is that PRODUCTIVITY, outputs divided by inputs, DROPS as inputs just got more expensive with no change in outputs.

Add to that people can now take time off if there cat has a bad fur day. This largesse will only DECREASE productivity further.

Productivity dropping makes Canada LESS competitive. Why large companies will try and automate all that they can leading to job layoffs in the intermediate term [it takes some time to bring in automation so that it delivers what was originally planned].

You CANNOT compare the US to Canada for minimum wage. US Labour Stats show that only 3.3% of Americans earn less than or the minimum wage [US Bureau of Labor Statistics].

Why minimum wage matters MUCH more in Canada.

Having said that, you weigh social conscious vs. the Great God Money.

As for me, unilaterally raising minimum wage for all is fair as ALL companies are in the same boat.

How it will play out in the economy is anyone’s guess (i.e., good, bad or indifferent).

My guess is short term price inflation and a loss in competitiveness thus lowering exports and/or leading to job losses in the long run.

#164 Ponzius Pilatus on 12.30.17 at 1:22 am

I remember when grocery clerks made 24 bucks an hour with benefits.
And the economy prospered.
Then Jimmy came along and busted the unions.
Now the clerks get peanuts, and Jimmy sits on 8 billion.
Fair?
I don’t think so.

#165 Ponzius Pilatus on 12.30.17 at 1:41 am

#90 Ronaldo on 12.29.17 at 9:15 pm
#58 Linda

My next question is, how many of the readers of this blog think they could get by if their earned gross per annum (before tax) was $31,200?
————————————————————–
I probably could but apparently about 50% of wage earners in Canada make less than $30,000 so they must be making it somehow.
———-
What a pathetic comment.
Rent or mortgage payments would probably consume around 60%.
and you call this making it somehow.

#166 Smoking Man on 12.30.17 at 1:58 am

The wife, the conversation.

She says we have all the control, why the heck are girls trying to be like boys.

My response. Globalists.

#167 Smoking Man on 12.30.17 at 2:05 am

Truth is out there
https://www.youtube.com/watch?v=UiZFq3Xi1fY

#168 bring_it_on on 12.30.17 at 2:21 am

#111 and # 119 …. The Blessed One….

Advocating that businesses should be shut down is sign that you intentionally want people to lose jobs. What pathetic thinking.

More importantly, why not $30/hour? Then everyone can be rich!
——————————————-

I am sure that you couldn’t care less that the minimum wage was held fixed in BC from 2001-2011 at $8.00 per hour, while rents and everything else in BC was zooming ahead. As you say, who gives a wit about growing inequality and as you point out why not a
$30/hour minimum wage? I am sure you would be perfectly content if there was no minimum and if the people at the bottom rung of the ladder in our economy had to “compete” with wages in Mexico or Bangladesh… a race to the bottom for these folks as Bernie Sanders has clearly articulated. The only players who I have some have empathy with are the very small businesses in our major cities, already on the margins due to ridiculously high rents, who would struggle more with a 15 per hour minimum.

If the business model for a large employer is such that it only succeeds with temporary foreign workers and with having a minimum wage fixed for a decade (as it was in BC) then in my view we have a major problem.

For the BCM, perhaps I missed hearing your empathetic words for the employees of Sears who don’t have a prayer of collecting anything from their “guaranteed pension plans”. Is it perhaps too complicated to advocate for new legal requirements to ensure that these people not be standing last in line to receive any benefits from the liquidation. Perhaps you can remind me of your view on this.

#169 Newcomer on 12.30.17 at 2:28 am

#49 Figmund Sreud on 12.29.17 at 7:39 pm
….
Syndicalism is a proposed type of economic system, considered a replacement for capitalism.

———

That hasn’t worked out too well in the last. That was the movement that gave us both communism and fascism. (Scroll down in the wiki article you are quoting from and read the history section.) In general, systems based on taking power, as opposed to giving power, usually end up with [email protected]@$#*&s in charge and lots of executions.

#170 jane24 on 12.30.17 at 2:40 am

A lot of these new benefits work here in the UK/EU because we don’t have the giant USA living next to us. Hey we start vacation at 28 days a year and people need it for a proper work/life balance. Canada going off on a totally different plane to Goliath is not feasible. Jobs will go either state-side or to robots.

The problem with democracy as all politicians must keep their eye on re-election and our major inherent problems always get kicked down the road and then grow to be elephants in the room. I’ll give you an example. When I lived in the UAE the ruler decided to build a new hub airport to solve trade issues. One year later it was there. Here in England on the other hand they have argued over a single new runway at either Heathrow or Gatwick for 20 years and we still don’t have one!! Dictators have their place!

Sorry to hear about your awful weather. Seems as bad as living in Scotland. The news on the BBC is shocking over the cold there. Stay warm and home if you can. Summer will come.

#171 Exodus 2020 on 12.30.17 at 3:43 am

Minimum wage needs the increase. As a so called first world nation, we are falling behind. Boomers have no clue, but well educated working folks are often making sacrifices just because employers are unwilling to pay a living wage, such as renting living rooms because space is unaffordable at current wages these days. When people are sacrificing living quality for lower wages, this is essentially a subsidy to employers.

I keep seeing comments suggesting sarcastically we should make minimum wage $100 or so. I say why not make it $1? The employees can then subsidize higher profit margins to employers by living on the street or 10 people sharing a bachelor apartment to live off that wage.

I also keep seeing suggestions the higher wage will lead to higher fast food costs for instance. Am I worried? No. Prices are always rising, and rent has probably been the main driver, among many other costs. A 50% increase in wages doesn’t equate to 50% increase in prices.

Finally, many of us read this blog as we collectively hope to justify our choice to not buy real estate, secretly suffering from FOMO with the only cure being a housing crash. Wage growth is one of the pieces required for a housing crash as it will trigger inflation and result in increased interest rates (read up on causes of 1981-82 interest rate increases). So the wage increases are good for controlling the housing market and for improving lives of many, with some collateral damage here and there.

#172 crowdedelevatorfartz on 12.30.17 at 4:33 am

@#34 Screwed Millenial
“hard working Canadians, people who actually work for a living….”
+++++

You’re referring to Boomers I presume? Good job!

#173 crowdedelevatorfartz on 12.30.17 at 4:35 am

@#45 Four Fingers
“Can anyone say “ Electoral Reform” ? We are a bunch of morons….”
++++++
Yep. Total agreement

#174 crowdedelevatorfartz on 12.30.17 at 4:45 am

@#139 Screwed Canadian Whiner
“The thing that the billionaire globalist oligarchs hate most ….”
+++++++

Spend a lot of time conversing with billionaire oligarchs do we?

Judging by the amount of rants spewed forth by our fave Screwed Canadian Moaner …………I’d say your meds ran out hours ago?

#175 dr. talc on 12.30.17 at 5:32 am

entrepreneurs are A type personalities -agressive
payroll employees usually B type – passive
today’s media agenda is ‘inappropriate sexual behavior’ by male celebrities, all of it is 100% fake
that, combined with anti small businesses tax code=
a psy-war on men for being men, waged by social engineers
it is anti human

#176 OttawaGuyRenting on 12.30.17 at 6:45 am

Talking with a friend who works in the child care industry as an educational assistant making less than $15/hr until Monday, says that the early childhood educators who currently make $15/hr or above are pissed because the company will not be giving them a raise.

So you will have EAs who don’t need a college diploma making the same as a college educated ECE! Fair is fair I guess.
_______________________________

This is how organized labour starts

#177 The Limited Sage on 12.30.17 at 7:23 am

Perhaps if SCM spent even 10% of the time and effort they dedicate to posting drivel on this blog, and, rather, put it into education, training/certification, job searches and interviewing they’d get somewhere in life..

Your opinions are your own and you’re free to think them. But you’re wasting your life being too preoccupied on being a keyboard warrior than contributing anything meaningful to society. Have you ever stopped to think that maybe the choices you make in a 24-hour cycle have more to do with your current living conditions than third party influences?

#178 Rooster on 12.30.17 at 7:28 am

The posts on point_the_finger.com are too much to absorb in one sitting this morning. Our gracious host’s one-liners alone are enough fodder for a day of sport, but first I must respond to the individual who resented my minimizing the impact of inaccurate local weather forecasts. I meant no disrespect to the men and women whose livelihood often puts them in the eye of the storm. Most of whom were likely too busy saving lives or piloting their craft thru inclement weather to point out my insensitivity.

However, since you did not negate my proposition I must assume that you do agree that local weather forecasts are BS. And I further assume that although the BS has potentially catastrophic consequences for the occupations you listed, you felt it more important to chastise me for my sin of omission rather than lodge a formal complaint with the weather bureau. Is this really what the internet has reduced us to ? SOS

PS its “fishers” not “fishermen”

#179 dharma bum on 12.30.17 at 7:45 am

#34 Screwed Canadian Millenial

“I gotta love how literal bums who do nothing all day except wait for the dividend payment come in are actually complaining that hard working Canadians, people who actually work for a living, are getting a raise.”
——————————————————————–

Who’s complaining?

Not my problem any more.

I paid my dues. I used to be a wage slave long before the halcyon days of T2 lefty-land employee-bliss kicked in. No paid leave, no 3 week vacation, no family time, no held jobs, no sick days. Just work.

No work = no pay.

These days, however, I choose freedom.

Yup, I’m a bum now, but I sure ain’t complaining. What’s that I hear? Oh, it’s just the mailman with another dividend cheque for me.

Now get back to work!

#180 B on 12.30.17 at 7:49 am

@#146 Canadian expat
===========
The Ottawa citizen article you quote is misleading. I have many friends in Ottawas restaurant industry and it’s common knowledge that the Black Tomato has been struggling, and openly for sale, for years. This recent minimum wages hike probably doesn’t help, but it’s far from the main reason why the business is closing. Disingenuous for the owner to seek media attention and score political points, and everybody knows it.

#181 Screwed Canadian Mewler on 12.30.17 at 7:59 am

I dropped my soother!
Someone hand me my soother!

#182 dharma bum on 12.30.17 at 8:01 am

Once again, Rex Murphy nails it!

“And so Mr. Trudeau leaves this year with a bundle of negotiations unsettled, wounded ministers, pledges undelivered, in violation of the law governing conflict of interest, at odds with the UN economy, and no single major policy achievement. He caps that with that parting press conference horror, signalling a prime minister struggling, anxious and incoherent — an image which, if it takes, will be fatal for an administration that has made the prime minister’s image its only ace.”

http://nationalpost.com/opinion/rex-murphy-justin-trudeaus-year-long-descent-from-celebrity-selfie-prince-to-typical-politician

#183 Steven Rowlandson on 12.30.17 at 8:28 am

Garth the sign is missing 2 conditions of employment.

Must be willing to be celibate.

Must be willing to live with mom and dad forever or be homeless for ever.

#184 Steven Rowlandson on 12.30.17 at 8:42 am

Would you start a business today?

Only if it was a new national government of Canada and only I rule supreme over everything and everyone for all time. Otherwise it is a waste of time and money.

#185 Blessed Canadian Millenial on 12.30.17 at 8:57 am

Howard on 12.30.17 at 1:06 am
#111 Blessed Canadian Millenial on 12.29.17 at 9:56 pm

More importantly, why not $30/hour? Then everyone can be rich!

———————————————

Weak. Very weak.

The other side can credibly retort : “Why not a minimum wage of $0.01? I bet that would help tons of businesses!”.

Bottom line, if a business cannot pay its staff a living wage, the business is not viable. The increased minimum wage is not unreasonable when compared with historic wage vs cost of living. The use of enslaved TFWs as a stopgap for unviable businesses should not be permitted.

———-

I would advocate for having NO minimum wage. If someone wants to work for $2/hour, then be my guest.

Since when do YOU get to have the moral right to decide who gets paid at what amount?

As others have mentioned, minimum wage was never meant to be a living wage in the first place.

Moreover, these folks who want a higher minimum wage will not stop at $15/hr. They’d want $20/hr within 5 years. It is a game with no winners, except for those who are fortunate enough to have a job.

#186 Blessed Canadian Millenial on 12.30.17 at 9:01 am

bring_it_on on 12.30.17 at 2:21 am
#111 and # 119 …. The Blessed One….

———

Bring it, we are not talking about Sears and the unfortunate thing that happened to its workers. But if you’d like my view: my heart goes out to the employees. Furthermore, there should be systems in place preventing this sort of thing whilst the executives get million-dollar golden parachutes.

#187 Rooster on 12.30.17 at 9:32 am

#170 LivinLarge on 12.29.17 at 4:28 pm

“Atomic theory didn’t pop out of somebody’s head over breakfast.”…interesting that you would say that Rooster because Niels Bohr did claim that his explanation of the structure of the atom did actually spring into his head in a nap after a particularly heavy lunch in about 1913.
************

And Garth Turner shouted Eureka! when he invented the TFSA after a day at the beach. A historian/psychologist/philosopher such as yourself will realize that allegedly sub-conscious sparks of genius come from somewhere. Neils was always chasing tail*.

*referring to Kekules dream, not the four-legged kind

#188 Rooster on 12.30.17 at 9:40 am

Erratum
I wish to apologize to the descendants of Dr. Bohr.
I meant Niels not Neils.

Sincerely,

Apologentia Buttocks

#189 Rooster on 12.30.17 at 9:51 am

where does the ‘extra’ money come from – Garth
******
Did not know metaphysics was on the syllabus, so first let’s ask A. From whom does the money come from, B. How is it made and C. To whom does it go.

A. It comes from the x% of those with the grit, skill and determination to make a go of it despite the overwhelming odds of failure (90% in 5 yrs). It is telling that [email protected] won’t lend a dime to these people, but will hold their mortgage(s). Strongly individualistic, they eschew government handouts for others, but line up for their preferential tax treatments, R&D credits, lifetime capital gains exemption, interprovincial trade barriers, etc., etc.

B. It is made from goods or services – making or doing. Everything that isn’t made in China or a less-developed nation is ipso facto, over-priced. What we seem to do best in Canada is retail, an over-hyped (and over-hyphenated) sector of the economy. The over-all pricing (price-gouging in less polite circles, price-fixing in more polite) of retail goods is under assault by online retailers and will not end well. Could remote, but accessible financial advisors in countries with strong math chops be far behind?

C. It goes to the 50% of the subservient population, who are either chronically ill or lazy, often asking for it, and/or negligent child minding spouse beaters. Prejudices aside, the question isn’t do they really deserve a raise. The question is can small businesses afford to give them one and not have to rent out the cottage(s).

It would appear that, to keep profit parity, a 20% increase in labour costs would demand a proportionate increase in the prices they are charging (gouging/fixing), depending on the amount of labour in the final product. In short, the exploitation component.

This would be true where the business is without profits (90% of them). However, a successful business (10% of them), presumably has some profit margin or they simply wouldn’t exist ;-) ;-). Profits could be at risk if they have already trimmed the fat by eliminating full-time positions and their toxic benefits. On the other hand, this would also be an opportune time to do some creative price adjusting (gouging/fixing).

The dire prognostications of widespread unemployment must be tempered with the realization that this is currently the outcome 90% of the time. Rightly or wrongly, I put more faith in the guesses of my local weather forecaster.

apologies for the length, have other chores today – boss is wondering whether she really needs my services.

Happy New Year!

#190 OttawaMike on 12.30.17 at 9:52 am

@#146 Canadian expat

More importantly, The Black Tomato was a pretentious overpriced restaurant which served mediocre fare.

#191 OttawaMike on 12.30.17 at 10:04 am

Australia has the industrial rewards legislation that sets floor rates for all skills. This also leads to a living minimum wage by an indirect route:

https://en.m.wikipedia.org/wiki/Industrial_award

#192 Trojan House on 12.30.17 at 10:07 am

#174 OttawaGuyRenting on 12.30.17 at 6:45 am

That’s the point – they are unionized! Doesn’t make one iota of a difference.

Anyway, you could raise the minimum wage to $30, 50 or 100/hour and some people will still find a way not to work and live off the system. It’s called human nature and it will never change.

#193 Nut on 12.30.17 at 10:10 am

Minimum wage: In 1965 minimum wage was $1.00 in most Provences. Plug $1 into the inflation claculator and it comes to 7.72 for 2017. It seems minimum wage has exceeded cost of living increases. But nobody back then expected minimum wage would be a “living wage”.

Homeless-tent cities: In the ’60’s and 70’s there were no tent cities because of vagrancy laws. Homeless were charged with vagrancy and given jail time. After the laws were changed – no longer illegal to be poor – the homeless became more visible.

#194 JohnStamos on 12.30.17 at 10:15 am

#138. 8102

The big food store chains get no sympathy from me, price fixing, re-dating best before dates on food, these things disgust me, and they keep getting caught!
……………………………………………………………………

As a person who has worked in this industry for over 20 years I have to take offence in this statement. I was employed in the past by A&P ,Dominion ,Metro and Loblaws . I started as a part time clerk in an independent, small ,local grocery/produce store. And let me tell you one thing ; you should not worry about The Big Food Store chains at all. There is government and corporate oversight. We had inspectors issuing fines on mislabeled country of origin signs ( also grade ,size etc) . Is not easy when you have one preprinted sign and same product that comes from two different countries on the same order. Like bananas from Costa rica and Panama .
Re-dating is highly illegal and frown upon at any level and the department ,and could lead to job dismissal. And I have never witnessed such behaviour done on purpose. As to price fixing, it is done by a supplier ,who dictates how much their product can by sold for. Just like your iPhone cost exactly the same no matter where you buy it. Isn’t that disgusting? Also product recalls like Ecoli ridden produce or vegetables are done chain wide .The product is discarded immediately. Even though it comes from different country or a supplier.

On the other hand you should worry about your local, independent, one owner, mom&pop ,boutique ,artisan store. Since the government doesn’t have enough inspectors to go around, they concentrate on Big Boys and little guys go scott free.
Where there is a small business owner, profit means everything.
Nothing gets thrown away! Products are purposely mislabeled like country of origin ( Mexico to Canada) because they will sell better.And re-code dated to prolong shelf life.
Sometimes your organic meat is not really organic, fish is not really wild caught but farmed. The produce does not come from local farmer like advertised but from a the same food terminal where the big boys get it. Etc etc.
Of course not all stores are crooked like that , but you have to ask yourself this : where most likely illegal activity like that will occur ; In a Big chain store where a part-timer makes minimum wage and if he/she screws up it will get fired or in a store where the owner is your immediate supervisor (maybe your family member) and if you discard “good” product it will cost him directly.

#195 For those about to flop... on 12.30.17 at 10:18 am

As a hard hitting auxillary investigative reporter on the blog, I felt I had no other choice than to holiday in Arizona.

I promise to visit as many bars and restaurants as it takes from me to uncover what is wrong with the Phoenix pay system…

M43AZ

#196 Penny Henny on 12.30.17 at 10:27 am

Staring next week any employee in a regulated industry who has been on the job for a minimum of one week can claim 10 days of personal emergency leave, and the employer must pay for two of those days. -GT

What is considered a ‘regulated industry’ ?

#197 Ace Goodheart on 12.30.17 at 10:31 am

Interesting, if rather old, article explaining how people were “getting into” Toronto’s housing market:

http://www.moneysense.ca/spend/real-estate/buying/first-time-home-buyers-strategies/

First one is kind of scary. The guy essentially went in with 7% down and a vendor take back second mortgage that he calls an “equity credit”. The couple with the $580,000 mortgage (that is not a typo) who thought that this mortgage was “manageable” on the husband’s $120,000 per year pre-tax income (and they could buy food with the wife’s part time earnings) is just scary.

These are successful people earning more than minimum wage.

I never paid an employee less than $40,000 per year. They were all on salary. I never paid someone by the hour in my life, nor would I.

There is no point in creating a precariously supported, below the poverty line workforce in your business. Treating people like this will not help you. These people tend to behave erratically (they have to, they are barely surviving), they have chaotic lives (again, it is hard to have a structured life when you cannot pay your bills, are constantly getting evicted and are starving) and they tend to be less than honest (meaning you need a lot of security in your workplace, because your economically starved, just barely surviving below the poverty line workforce will steal from you if given the chance).

Treat people like people, or don’t get into business. We all need to learn that. An employee is not a disposable piece of machinery, on which as little money as possible is spent, we do not care about them at all, and we just use them and throw them away.

#198 Bottoms_Up on 12.30.17 at 10:32 am

There should be a mandatory minimum living wage. $15/hr will help lower debt including educational debt, and there should be a positive spending impact in the economy. Workers are our best resource–time to start treating people like people. Check worker benefits in Europe–we’re still playing catch-up.

#199 Millenial Communist on 12.30.17 at 10:33 am

writes the “Millenial Realist”

Sorry to all the self-absorbed, short-sighted, greedy Boomer dinosaurs.

Welcome to the future!

These changes are fair and necessary. And just the beginning.

Life is not forever. The Boomer political domination of our society is finished. A huge percentage of Boomers will be gone within a decade.

You’re not all jerks. Many of you were good parents.

We thank you for your service.

We just wish that more of your Boomer “service” was for your families and their futures, society in general, the environment and global justice. Instead, so much of what so many Boomers have done boils down to just self-absorbed greed, wrapped up in neo-con rationales that are so paleo in their stupidity, they might as well be from a 17th century plantation.

If we do not renounce the disastrous Boomer legacy with measure like these changes, and more after these, then humanity is doomed. In every way.

I choose the future. And so does the new dominant majority of Canadians.

Climb aboard the change, Boomers.

Or be run over by it.

************************

Young Stalin addressed his peers just like that and then the hate-on against all the older Russian elite of their time started..

You will get yours from the globalist kids when it’s your turn to grow up and get old.

#200 Manitoba Whale on 12.30.17 at 10:45 am

We have a small retail/wholesale/manufacturing business in Ontario. Our small business will see an estimated 15300 – 15600 hours of labour requiring/demanding an increase starting Monday of about $30,000 ($40000 in 12 months). This is just for the sub $20 per hour crowd. This coin will come from the owners wallets. On top of the provincial increases and other Ontario government wackiness we have the federal government with a hate on for small businesses.

It is cheaper to operate in Manitoba as wages are lower, electricity is lower and there is recently a more pro business provincial party in place. With federal changes to small business, Manitoba makes more economic sense. As we are in both provinces already, you can see production moving to MB. Layoffs will ensue and production will not be picked up by any other Ontario business, most of the products in our industry are already imported.

Now we are a small business that can easily move across the provincial border to the west, I am not even talking about moving south or off shore. How many other businesses will move production to Quebec or farther east?

We are not one of the big bad corporations stocked with overpaid boomers enslaving the millennials like some on this blog like to pretend. We are gradually becoming a millennial led company and we are moving production out of Ontario. Minimum Wage changes are just another of the many levers that make Ontario uncompetitive. This is real, and is happening all over Ontario. It did not have to.

#201 Canada's economy on 12.30.17 at 10:50 am

What makes up Canada’s economy that politicians think they can simply wave their magic wand and increase min. wages or force any operator to pay min. wages at all?

Name a few products that are made in Canada and exported around the world. I’ve traveled across the globe extensively and can find maybe 1 or 2 items that originate in Canada, not including maple syrup which is probably the only real universal Canadian export.

Canadian politicians are putting wage pressures across the economy and making production in Canada less competitive. Coupled with “America first” ruling at the closest trading partner and it is a recipe for disaster.

American corporations which own most of the production in Canada are going to downsize, move back to the US (receiving subsidies to do so) and possibly just shutting down.

Wow, it is such an insane and arrogant ideologically blinded concept to think that Canada is in a position to dictate anything, even the cost of employment in its own country.

People, give your heads a shake. The population of Canada is 30+ million. That’s a forgettable market from a consumer industry standpoint in a global economy. There is little to no production left inside the country and exports are getting more expensive by way of increased tariffs and taxes. Now the communists are mandating higher cost of labor and some here even citing the example of Seattle!!

Seattle for example has several MAJOR GLOBAL industrial HQs and can AFFORD to live with a more socialist world view.

Wow, either people in Canada are either insane or arrogant. Maybe too much weed and maple syrup?

It goes all the way to the top. PM Justin trying to tell the Chinese about their political and human rights record.

Crazy “liberal” world. What gives?

#202 Susan on 12.30.17 at 10:56 am

You mentioned in a past article concerning this, that small business owner can be either a Ltd. or Corp. that it affects sole proprietor differently. How so?

#203 Eyestrain on 12.30.17 at 11:02 am

I was an avowed Rex Murphy fan until today. I agreed with his mother that he has every right to be angry at everyone all of the time. But he has done the unspeakable. To wit, heaping praise upon the icon of idiocy, the Grand Wizard of the Oddest Things, his Royalle Hineness, the Duke Donald.

It is not enough that Rexies tantric teasings are beamed into decent homes here in Canada, but now the Confederacy of Dunces will have another truth-twister to beat back the beat poets at the NY Times, The Economist, and The Guardian.

Mama Rex, was it worth the 30 seconds of joy?

#204 Math is hard on 12.30.17 at 11:09 am

#108 SCM

“By Loblaws own statements to shareholders, their expenses are going up $190 million.”

As I stated, people are part time, and not everyone is minimum wage of course, so it was an obtuse math calculation to prove a point as I stated. The 190MM is the cost of increasing the minimum wage. There will then be a massive cost in thousands of other employees as they demand more as they are only making a few dollars more than minimum wage, so the end effect will be far more than 190MM which is why business owners are so concerned.

#205 ANON on 12.30.17 at 11:31 am

Where does money come from?
Same place it always came, the narrative that the future will be better. Money, being psychological, does not exist, it must be a promise, that’s why it cannot be forced into existence, as it becomes worthless.
These are the symptoms of diminishing returns, promises are not made fast enough to keep up with the expected returns, even at low rates. Just wait until promises start disappearing. People will angrily look everywhere for them, since they just have to be somewhere, eh? Except they’re nowhere.

#206 Penny Henny on 12.30.17 at 11:36 am

#136 Ray on 12.29.17 at 11:04 pm
Raising the minimum wage is just another way the govt. is just raising taxes. They don’t want to do it in the obvious way, such as increasing the HST. Raising the minimum wage will raise all wages incrementally, and this, in turn, will raise income taxes. The inflationary impact will raise general prices, and again this raises revenue through the HST. They even get some brownie points with the lefties who think it was all done for some reason like better social justice. For the Liberals, it’s a win, win, Wynne.

—————————

add on to that a higher rate of pay will bump many peoples health care premium

#207 blowing sunshine on 12.30.17 at 11:52 am

The question “would you start a business today’?

When the stats indicate that upwards of 90% of businesses fail within the first 5 years, then perhaps the changes will force people to spend more time developing their business plan and determining if starting a business is a good idea. I suspect there aren’t too many min wage workers reading this blog, and they are certainly not a target audience for Garth’s investment service. But that doesn’t mean they are worthless, and not worthy of consideration. The fact that we have 4 million people in this country without food security, and a serious issue with children living in poverty should give people some pause. This blog entry includes some pretty veiled contempt for the working poor, e.g. now that they have access to some job protection they will abuse it, because of course the owners are saints, but the workers are all dishonest and only looking to game the system… Based on the comments today Garth really knows his audience

#208 Smoking Man on 12.30.17 at 11:59 am

Daniel Dale won’t like this.

https://www.infowars.com/director-ridley-scott-offers-strong-defense-of-trump-tax-reform/

#209 KLNR on 12.30.17 at 12:04 pm

huge paradigm shift on the horizon.
if you’re a trucker/cashier/banker/ finance/advertisingmarketing exec just to name a few, start re-educating yourself.
automation will be taking over way sooner than you think. Coders will be the factory workers of the future.

If I were considering a new small bus right now it would be in healthcare – going to be a ton of boomers to look after.

#210 OttawaMike on 12.30.17 at 12:15 pm

The Metro grocery store where my kid works has decided to add automated check outs and to convert 8 casual part time positions into full time unionized positions.

With benefits and pensions.
In response to the new wage laws.

Source? – Garth

#211 crossbordershopper on 12.30.17 at 12:25 pm

people must understand payroll taxes, 1.4X the ei, and 1x the cpp contribution of each employee. the $15 is the base then the cpp and ei are added so employers in Ontario are at about $17 per hour for every single minimum wage earner.
thats real money that the employer pays. i dont think the productivity of these employees are any good. many of these front level job people are basic, real basic employees. and you are paying up for them too.
productivity will be the same.
if anything, someone currently making say $15 could be really pissed that they didnt get the bump to compensate for their abilities. Employeers have a perfect reason not to increase, hey i had to pay the little people more, sorry Jimmy.
So, the goal is everyone works for $15 an hour, the minimum will be the only and maximum pay for 1/3 of the entire working population.
now, lets talk about cpp rates, in 2019, 2020,2021,2022,and 2023. that NO one is talking about.
in 2019 at $15 an hour, plus the ei rate, plus 5.1% cpp, and scheduled increases to 5.95%. self employeed individuals will be shocked what they will pay in 2023 , 67,800 its like $8000 in cpp for a self employeed, wow.
for regular employers, the cpp will kill them, the recession will start in 2019 from the double wammy of self employeed paying, employeers at $15 and higher cpp rates.
my advise as always is the same, go to the usa, lower taxes, lower wages to employees, us $ income, and better weather and better growth opportunities.

#212 Millmech on 12.30.17 at 12:28 pm

#206 Penny Henny
Absolutely right,now watch the standard of living increas to this new level.People will feel rich but will be poorer! As for unions I worked for USWA plant for a time and received less pay,no pension or health benefits and the non union plant down the road received way better pay and benefits.

#213 Pam on 12.30.17 at 1:06 pm

Who is John Galt?

#214 Damifino on 12.30.17 at 1:09 pm

#207 blowing sunshine

…now that they have access to some job protection they will abuse it, because of course the owners are saints, but the workers are all dishonest and only looking to game the system…
————————————

I’m cynical, but not that cynical. I don’t think the government’s mandate of a healthier minimum age is necessarily a bad thing, but people must be prepared for fewer overall jobs a direct result.

Something else not often discussed will the reception by those already earning the new minimum when people doing the entry level jobs they once preformed are now on par with them overnight.

Do you think that will warm their hearts? Didn’t think so. They’ll be wanting more too. As good employer and decent human being I expect you’ll pony up more for them too.

As automation thickens all around us it will be yet more pressure on employment opportunities, especially in our country.

I wonder if today’s champions of Uber will be as enthusiastic about ‘driverless Uber’ controlled by faceless systems located in low-tax jurisdictions.

#215 SoggyShorts on 12.30.17 at 1:26 pm

#79 Screwed Canadian Millenial on if the only way you can stay in business is by paying a starvation wage, maybe you’re just a crappy businessman?
*******************
It’s not easy to get $15 of value out of some positions-If you are paying someone $15, then you need them to provide a service worthy of at least $17 that you can pass on to the customer(counting WCB, tax, vacation pay etc)

Hence the increased automation push: it’s not that small businesses don’t want to pay $15, it’s that customers would rather punch their order into a machine or get their own butter at the movies than pay their part of $15 to have someone do it for them.

Think about a pub: is it worth it to you, the customer, to pay a share of $15 to have someone cook your food? Maybe. How about the bartender for twisting the cap off a beer bottle? And the waitress for telling him to do that and then carrying it 10 feet to your table? Don’t forget to tip the “customary” 20% for all that.
It might have worked out OK for seattle, but I’m not so sure it will in AB…

#216 Overheardyou on 12.30.17 at 1:28 pm

#12 JSS on 12.29.17 at 6:33 pm
No tears will be shed for the business class. They have enough money.

—–

I recommend you go out, start a business, try not to fail then tell me how much money you have

#217 Wes Coast on 12.30.17 at 1:34 pm

This is what happens when you don’t teach economics and history in schools. Doomed to repeat the same old mistakes anew because it is different this time. The Ontario Liberals intervene in markets and create messes. Look at the hydro situation and the ‘green economy’ they wanted to start on the taxpayer’s back. Same lofty social goals completely blind to the net negative social impact it will have in the not too distant future. Ultimately we the people are to blamecfor placing self interest above our personal / collective interest in governance of the nation. Canada’s overall health should come first “When the people find that they can vote themselves money, that will herald the end of the republic. Sell not liberty to purchase power.” – Ben Franklin

#218 Overheardyou on 12.30.17 at 1:35 pm

#32 Millennial Realist on 12.29.17 at 7:02 pm

—-

I too am a Millennial. Stop blaming others for your problems. Stop being lazy. Stop complaining about the past. Do something with your life, like other successful Millennials have. You can’t save the world when you can’t save yourself.

#219 Wrk.dover on 12.30.17 at 1:36 pm

#197 Ace Goodheart on 12.30.17 at 10:31 am

Thanks for your insight Ace! The investor class here are treated and paid as you suggest and assume minimum wage workies thrive on abuse and have no real need of respect, sustenance, teeth or opportunity to have any of those things in a first world country, by choice.

#220 Howard on 12.30.17 at 1:58 pm

#193 Nut on 12.30.17 at 10:10 am
Minimum wage: In 1965 minimum wage was $1.00 in most Provences. Plug $1 into the inflation claculator and it comes to 7.72 for 2017. It seems minimum wage has exceeded cost of living increases. But nobody back then expected minimum wage would be a “living wage”.

—————————————

Oh for gods sake.

Do you seriously not understand that you need to look at the cost side of the equation too?

Select several household staples, find the 1965 price of them, and plug that into your inflation calculator and see what you get. Compare them with actual prices in 2017. And need we even mention housing, the raison d’être of this blog?

You’re right that the minimum wage isn’t necessarily meant to be a “living wage” but with Canadian salaries stuck in the Dark Ages and a soaring cost of living, the time has come for business to shoulder a bit more of the burden and force higher pay grades on them.

#221 Howard on 12.30.17 at 2:09 pm

#185 Blessed Canadian Millenial on 12.30.17 at 8:57 am
Howard on 12.30.17 at 1:06 am
#111 Blessed Canadian Millenial on 12.29.17 at 9:56 pm

More importantly, why not $30/hour? Then everyone can be rich!

———————————————

Weak. Very weak.

The other side can credibly retort : “Why not a minimum wage of $0.01? I bet that would help tons of businesses!”.

Bottom line, if a business cannot pay its staff a living wage, the business is not viable. The increased minimum wage is not unreasonable when compared with historic wage vs cost of living. The use of enslaved TFWs as a stopgap for unviable businesses should not be permitted.

———-

I would advocate for having NO minimum wage. If someone wants to work for $2/hour, then be my guest.

Since when do YOU get to have the moral right to decide who gets paid at what amount?

As others have mentioned, minimum wage was never meant to be a living wage in the first place.

Moreover, these folks who want a higher minimum wage will not stop at $15/hr. They’d want $20/hr within 5 years. It is a game with no winners, except for those who are fortunate enough to have a job.

———————————————

If you want to live in a first world country, you cannot have vast numbers of people living on $2 an hour precarious jobs. If that’s the kind of life you want there are many African dictatorships whose employment laws might be more to your liking.

Eliminating the minimum wage might work in theory if we abolish the TFW program and reduce immigration down to negligible numbers (or zero), combined with punitive measures to make it costly to outsource offshore. All of which is pie in the sky.

#222 Kelsey on 12.30.17 at 2:09 pm

At its core, the minimum wage is the state using force to prevent a worker and employer from voluntarily agreeing to a price below an arbitrary floor set by the government. I fail to see how that’s moral regardless of outcome; in fact its pretty abhorrent when you think about it, telling a low skill person that they can’t go out and earn an honest wage reflecting their current skill level. But if we do consider the net effect, sure some people will get paid more initially (many of them teenagers from wealthy families or liberal arts majors working at Starbucks). But some people’s labor is also not worth $15/hr, and those people are going to be out of jobs, particularly in this day and age when menial tasks can so easily be automated. These people will miss the opportunity to learn skills while the gap on their resume grows and the natural unemployment rate will be higher than it would otherwise. Also, most of these jobs are meant for teenagers and not to support families. It will lead to inflation. It will benefit some people initially and in the long run will hurt the working poor. How about something like practical job or skills training to help people looking to support families create more value and therefore earn more income?

#223 SWL1976 on 12.30.17 at 2:10 pm

We have an independent pizza shop we open about a year ago in BC. Fortunately we do not have to deal with these min wages rules yet. The question I have for all on you living wage people is this…

Why should I have to pay a 15 year old kid washing dishes a living wage?

Minimum wage is for very entry level part time positions and that’s that.

There’s a reason some people educate themselves and find an angle to get ahead and it’s the exact opposite of all the people whining to the government and looking for more of these corrupt criminals to be their ‘saviour’

Coincidentally we have more problems with our 15 year old kid washing dishes with regards to entitlement issues than we do with any other employees

What will this raise teach someone like that?

#224 Sam on 12.30.17 at 2:32 pm

Everything is being automated, from cashiers, to drone deliveries, to vehicle assembly, to transportation, to etc etc etc.. I don’t think a 15$ wage is going to hurt anyone or change the inevitable. You have massive companies such as Wal-mart and GE already making billions, that refuse to pay their fair share of taxes, and will do everything in their power to pay the lowest wage. This is the capitalist system. Thankfully we are part socialist, so certain things such as health care are funded and regulated by the government. If the private interests get their way, we will all be slaves to the system, living to work and pay bills all of our lives. Never to retire or live comfortably. Sorry Garth, I am with the Libs on this. I don’t want Canada to be anything like the USA (unless we can have their California weather).. Happy Holidays to all and a Happy New Year.

#225 Stan Brooks on 12.30.17 at 2:35 pm

#201 Canada’s economy on 12.30.17 at 10:50 am

Correct, there is no economy.
Some resource extraction, some agriculture, some services, plenty of retail and financials, but without real backbone of the economy/i.e. exports.

at the same time there is plenty of hungry oligopolies in telecom/finance/retail/etc. who want their cut.

As does the government – provincial, municipal, federal. somebody has to subsidize these generous pensions.

We are at:
1. peak credit
2. in the process of demolishing small Business – throwing them under the bus by qualifying their capital and profits as employment income which is insane.
But, hey what do you expect from a globalist uber rich puppet like wild bill?
he is simply executing instructions passed to him at the Davos economic forum. Who paid for his airplane tickets? You and me, the taxpayers.
3. we are at the end of labour due to automation cycle.

I have no doubt that the federal government, BOC, the provincial governments, the banks, the real owners of this place are executing coordinated effort through pointed policies in order to maximize profits from big concentrated capital/public corporations while diminishing labour and small Businesses through taxes, inflation.

Think about it: after peak credit who comes with crazy austerity /more taxes ideas?
Normally people do extensive QE – US did it, Europe did it.

We kept running on credit.

So the assault on small businesses through artificially qualifying the profits from such as employment income as well as retarder income tax policies (a person making 100 k in a family of 4 should pay the same taxes as 2 people making 50 k each also in a family of 4. Period.) serves one purpose only – to put ALL THE OVERHEAD of governments and debt on the shoulders of the small people – employees, business by applying divide and conquer policies (calling them tax cheats or rich or wealth) in order to secure the biggest and maximum piece of an ever shrinking pie (due to globalization) for the ultra-rich elite – the ruling class – wild bill, T2, their families and their friends.

The qualification of small business corporation income/profit/dividend as employment income is not a decision a finance minister can make, but as people are dumb they are fine with the proposed changes/as they think it does not concern them and will not impact them.

Just wait.

#226 Tony on 12.30.17 at 2:42 pm

Trudeau Government Projects Budget Deficits Until Year 2046

https://www.spencerfernando.com/2017/12/22/trudeau-government-projects-budget-deficits-year-2046/

Spencer Fernando? Seriously? – Garth

#227 Lou on 12.30.17 at 2:45 pm

#166 Smoking Man on 12.30.17 at 1:58 am
The wife, the conversation.
She says we have all the control, why the heck are girls trying to be like boys.

My response. Globalists.
xoxoxoxoxo

girls will be boys
and boys will be girls
except for Lola
LOL eh?

#228 Stan Brooks on 12.30.17 at 2:51 pm

It is unfortunate for the ruling elite that their coordinated efforts to kill the small business and rob the little people while proclaiming themselves as defenders of the middle class were stained by proof of corruption and incompetence by their puppets – proven and acknowledged violation of ethics rules; openly lying and hiding facts and actions, promoting laws that benefit their companies, failure to register blind trusts, ‘lucky’ trading of stocks, french villa/private company affair, allocation of money to tax authorities to harass the little people and not the offshore tax cheats – their friends.

I bet their handlers are alarmed by the noise from such exposures, as this mitigates all the noise coming from intentionally promoted SJW policies, human ‘right’ tribunal fears that serve as ‘smoke’ screen for the robbery and debt enslavement of the population.

I would be alarmed if I was in their place.
T2 and wild bill must resign.

#229 LivinLarge on 12.30.17 at 4:10 pm

“Why should I have to pay a 15 year old kid washing dishes a living wage?”…well, why “should” you pay the electric bill if you don’t like it or the gas bill if you think it’s exorbitant or your produce suppliers etc. ad finitum.

You “should” because that is the law enacted by the duly elected and constituted legislature of Ontario and because this is 2018 and not the Industrial Revolution age.

If you want the oportunity to own a for profit enterprise then you have obligations that come with it. Sure, some of those obligations seriously eat into your capacity to earn enough to live a lifestyle you want to become accustomed to but that’s life.

Looking at it another way, why “should” any of your customers actually pay what you put on their bill? Answer: For the same reasons above.

Many things in life may seem unfair or even unreasonable but alas, they are equitable and equitale is the best we can expect.

So, man up and stop whining. It’s ugly and cold everywhere.

#230 Ronaldo on 12.30.17 at 6:34 pm

#164 Ponzius Pilatus on 12.30.17 at 1:22 am

I remember when grocery clerks made 24 bucks an hour with benefits.
And the economy prospered.
Then Jimmy came along and busted the unions.
Now the clerks get peanuts, and Jimmy sits on 8 billion.
Fair?
I don’t think so.
——————————————————-
I remember as well. They were definately overpaid when you consider that tradespeople made less than the grocery bagger. Good for Jimmy for bringing things back in line.

#231 SWL1976 on 12.30.17 at 7:11 pm

229 LivinLarge

“Why should I have to pay a 15 year old kid washing dishes a living wage?”…well, why “should” you pay the electric bill if you don’t like it or the gas bill if you think it’s exorbitant or your produce suppliers etc. ad finitum.

You “should” because that is the law enacted by the duly elected and constituted legislature of Ontario and because this is 2018 and not the Industrial Revolution age.

If you want the oportunity to own a for profit enterprise then you have obligations that come with it. Sure, some of those obligations seriously eat into your capacity to earn enough to live a lifestyle you want to become accustomed to but that’s life.

Looking at it another way, why “should” any of your customers actually pay what you put on their bill? Answer: For the same reasons above.

Many things in life may seem unfair or even unreasonable but alas, they are equitable and equitale is the best we can expect.

So, man up and stop whining. It’s ugly and cold everywhere.

———

Wow aren’t you just a peach

I’m not whining, but my profit margins are alrrady slim. Push comes to shove I close up a shop liquidate the equipment and go back to employing myself only

Is that a reasonable solition?

Just curious as to if you employ or have ever employed people?

#232 AGuyInVancouver on 12.30.17 at 8:14 pm

#91 Math is Hard
Apparently Economics is as hard as Math. When the cost of your inputs go up, raise your prices.

#233 Blessed Canadian Millenial on 12.30.17 at 8:51 pm

LivinLarge on 12.30.17 at 4:10 pm
“Why should I have to pay a 15 year old kid washing dishes a living wage?”…well, why “should” you pay the electric bill if you don’t like it or the gas bill if you think it’s exorbitant or your produce suppliers etc. ad finitum.

———

Your analogy is incorrect. With respect to electricity bill, both parties are in agreement.

With respect to minimum wage, a THIRD party (government) is forcing/intervening. Without this third party, the market will determine the true price of the labour.

Interfering with the market only leads to price escalation, job losses, and less overall market activity.

#234 LivinLarge on 12.30.17 at 9:40 pm

Well, mea culpa on the peach part.

“I’m not whining, but my profit margins are alrrady slim. Push comes to shove I close up a shop liquidate the equipment and go back to employing myself only.”…are you a restauranteur? Have you calculated the value of the meals and beverages that you consume and that you should properly be expensing as a taxable benefit or the six AAA grade strip sirloin that your meat wholesaler slips you last July as a “wink wink” thank you? 99.99999999% of restauranteurs don’t.

Blessed, I don’t agree to the electricity rate, I accept it.

In a pure Keynsian universe or something dreamed up by the first Adam Smith then sure the market will in time determine a pay rate but we aren’t in that universe. The reality is that those paying wages will do everything they can to pay as little as they can because every cent spent on wages is unfortunately believed to be a cent out of the payer’s own pocket. Minimum wage statutes on became necessary BECAUSE employers were abusing employees. So, leaving it up to an employer is a bit like expecting a lion NOT to eat wildebeest because they are approaching extinction.

Not intervening in the market has however always proven to end in class warfare and that’s uglier still.

And yes, until 3 years ago I was cofounder and CEO of a company designing onboard entertainment systems for trains. However, I had virtually no non skilled labour. Back in the early 80s I managed the F&B for a couple of Canadian hotels/restaurants/bars so I had both skilled and non skilled labour employees.

#235 45north on 12.30.17 at 10:44 pm

8102: The big food store chains get no sympathy from me, price fixing, re-dating best before dates on food, these things disgust me, and they keep getting caught!

JohnStamos: Re-dating is highly illegal and frowned upon at any level. It could lead to job dismissal.

which makes sense to me. Loblaws makes a steady profit. I think re-dating would be labour intensive.

John Stamos claims experience and knowledge but the first guy – 8102 -doesn’t.

#236 45north on 12.30.17 at 10:45 pm

Manitoba Whale: It is cheaper to operate in Manitoba as wages are lower, electricity is lower and there is recently a more pro business provincial party in place.

It’s Kathleen Wynne’s attack on business that’s disheartening. She’s basically against you. Obviously she figures that there’s more employees than employers and she figures the employees will vote for her. We’ll see.

#237 JJ on 12.30.17 at 11:01 pm

I run a web site and I hire people online for $5.00 an hour for very basic tasks. I hire people on contract, if they have a good attitude I hire them again. The contractors on Fiverr and Upwork have great attitudes because they are rated for every job. They know if they have a bad rating they will not get work in the future.

#238 Al on 12.30.17 at 11:13 pm

Pfft, work life balance is for humans, robots are the future.

“Where does the ‘extra’ money come from? – Garth”

The same place the money comes from for the suddenly more affluent clients/customers to pay the salaries of all those new jobs “created” by the ” job creators.” Chicken -egg. Depends on which economic theory you ascribe to.

#239 LivinLarge on 12.30.17 at 11:59 pm

SW, my undelying point may have been to vague.

If your business relies on unskilled labour to be profitable and your competition runs on exactly the same rules and paying that unskilled labour the madated minimum wage, regardless of what the rate is, then your business is actually a hobby unless your direct competition have an unfair advantage and don’t have to pay their unskilled labour the same rate. If they do have to pay the same rate then the rising tide floats all boats and your pricing needs to rise and/or you also need to improve your margins.

Skilled labour on the other hand is an entirely different story and market demand and skill will in most industries set the prevailing pay rate. A restaurant pays a skilled chef well or they lose that chef and that can have serious impact on sales volumes.

#240 Barbo on 12.31.17 at 12:36 am

The past has always showed that when the government gets involved in the natural law of economics (supply and demand) the results are always negative for everyone. Look at Venezuela for example. The supply and demand for workers in Canada is offset by having too much un-skilled workers and not enough low skill jobs. I believe that by forcing a higher minimum wage to all businesses will further offset this balance by a loss of low-skill jobs. You are naive if you think that small business owner will keep an open shop while loosing money or that the Walmart of this world will not automate or something else to keep their profit margin. The very low skill person that is only able to produce 10$/hr worth of goods/services will be un-employable, these are the people that will get hurt the most. Sure there will be inflation created by a rising cost, do you want inflation created by an un-productive wage increase? Really? Watch what you are asking for, it might come back to bit you. Then the inflation will eat away at the raise and we we will be back at square one. Or will we? By that time, the big fish stores will have become bigger and the small shop smaller. The rich, the real rich, will be even richer, the middle class will be paying for all this, and by quoting Trump “It will not end well”

#241 Newcomer on 12.31.17 at 3:03 am

A lot of interesting comments, as usual. Fun to read!

Here’s a little New Year’s thought. I notice quite a few comments mentioning stupidity. Those comments tend to be less interesting. Calling a person, be they a fellow blog dog or a government minister, stupid, is a kind of laziness. If the other person is stupid, there is nothing left to say.

But stupidity almost never lies behind disagreement. The chances of a person with a high enough IQ to read and comment on a financial blog holding an opinion simply because they are stupid are vanishingly small. It is even less likely that an elected or appointed official would make decisions that other people disagree with because they are dumb.

I have learned that, when someone says something that appears to me as stupid, it’s almost always an indication that I don’t understand the assumptions behind their statement. In other words, the “does not compute” response I experience is not an indication of something being wrong with the other person’s brain, but rather points to me being incapable to making sense of something that is perfectly clear to them. And that is usually because I haven’t seen (or seriously considered) the information they are basing their opinion on.

A while back, I started to make it a habit to watch my own reactions so that, when someone says something “stupid,” I ask myself, “what am I missing?” That doesn’t mean that I now agree with everyone, just that am more likely to learn why I disagree with someone. To date, it has never turned out to be because they were stupid.

#242 LivinLarge on 12.31.17 at 9:15 am

Bardo, “The past has always showed that when the government gets involved in the natural law of economics (supply and demand) the results are always negative for everyone.”…you start from an historically incorrect premise. Governmental intervention has not proven to be “always negative” nor even “negative for everyone”. So, starting from an incorrect premise, all that follows is incorrect as well.

Certainly, when there are multiple parties with conflicting interests involved in the equation, one of the parties always feels aggrieved.

#243 Mac on 12.31.17 at 10:18 am

My wife and I have three employees in our small business in Alberta. We’ve been talking for a while about downsizing back to just one. The costs of employees is just not worth it anymore.

#244 Midnights on 12.31.17 at 1:24 pm

http://windsorstar.com/news/local-news/small-business-owners-fear-impact-on-minimum-wage-hike

#245 45north on 12.31.17 at 3:41 pm

Newcomer: A while back, I started to make it a habit to watch my own reactions so that, when someone says something “stupid,” I ask myself, “what am I missing?” That doesn’t mean that I now agree with everyone, just that am more likely to learn why I disagree with someone. To date, it has never turned out to be because they were stupid.

I’m amazed at how perceptive politicians are at judging the collective consciousness. In the case of Kathleen Wynne the last thing you should think is she’s stupid. She’s not. In her mind, raising the minimum wage is her last best chance to be re-elected. In other words, a steady-as-she-goes approach doesn’t look good right now. This is quite a departure – she got in basically riding a wave of prosperity and increasing property values. The next election is coming up fast – June 7, 2018. She is going to the polls just when real estate in the Greater Toronto Area is collapsing. Every month, for the last six months, sales have been down. I mean really down. So far, people have remained unaware but they won’t for much longer. They’re going to be pretty mad – their retirement plan, the mortgage payments, cost of electricity, commuting into work – they’re going to feel betrayed. Never mind! Kathleen Wynne is campaigning for social justice.

#246 LivinLarge on 01.01.18 at 10:40 am

“she got in basically riding a wave of prosperity and increasing property values.”…actually, the only reason she got in was that Hudack couldn’t keep his mouth shut and stuck his foot in it up to the knee. Had he simply stuck to criticizing previous Liberal mismanagement issues he wouldn’t now be CEO of the RE agent industry in Ontario. Dalton and the Liberals we so hated that promising to fire 30% of provincial civil servants the day after being elected was as stupid an act that can be imagined.

#247 Ezzy on 01.02.18 at 8:28 am

Oh thank goodness! I never did like the way cashiers treat my produce anyway.

#248 Ezzy on 01.02.18 at 12:55 pm

#32 Millennial Realist (gosh, I wish I wasn’t so late to responding to people here, anyway . . . )

This is pure gold SJW stuff: “We just wish that more of your Boomer “service” was for your families and their futures, society in general, the environment and global justice. Instead, so much of what so many Boomers have done boils down to just self-absorbed greed, wrapped up in neo-con rationales that are so paleo in their stupidity, they might as well be from a 17th century plantation.” Speak for YOURSELF please because this is not how I view my parents and/or the parents of my friends.

Dear God, you actually think the government cares about you? Seriously? Social Justice? Talk to the natives of Canada please, they have a few words for you because they’re still waiting to be treated fairly and properly. The environment? Let’s not get started on the vast waste of pretty much everything, by consumers, in Canada because of cheap money (among other things). Add to that the nearly immeasurable damage we are causing to the environment in China and other places of the world, all for the sake of our seemingly inexorable consumerism. That’s to say nothing of the acres upon thousands of acres of land we raze for the sake of subdivisions and condo towers so that millennials can start their 5 – 10 year marriages/families. Added to that is the increasing commute time in urban areas, and the inevitable pollution. And so on, and so forth. Your arguments are empty and sound more like a petulant adolescent than a mature adult. And in case you’re wondering, I too am a so called millennial. I just refuse to believe that a government, any government, cares any more than it’s voter base outside of tax collection, and buying votes. Socialism works as long as it’s not your money being used. I hope you’ll be so accepting of such heavy criticism our age group will be on the receiving end of, when we’re in our 70’s.

P.S. You wear jealousy like a badge of honour.