Search
Better Farming OntarioBetter PorkBetter Farming Prairies

Better Farming Ontario Featured Articles

Better Farming Ontario magazine is published 11 times per year. After each edition is published, we share featured articles online.


Wage hike spells disaster for growers

Monday, November 23, 2009

by SUSAN MANN

Ontario’s horticultural industry will face a catastrophe if the provincial government doesn’t offset next year’s planned minimum wage increase, concludes a report commissioned by the Ontario Fruit and Vegetable Growers’ Association.

The wage is set to go up by 75 cents an hour in March 2010 to $10.25 from the current rate of $9.50. It will be the third year of annual increases that started in 2008. That’s about a 28 per cent increase over a three year period and will cost growers an extra $73 million annually once the increases are fully implemented.

“The minimum wage increase artificially piles sharp labour cost increases on an industry that is already struggling,” it says in the report conducted by George Morris Centre research associates Al Mussell and Claudia Schmidt. The Centre, a Guelph-based independent agri-products think tank, published the report Nov. 19.

Increased labour costs decrease farmers’ profitability, particularly for those growing crops where there aren’t alternatives to manual labour, such as peaches. According to the report, a 28-per-cent increase in manual labour expenses decreases profitability by almost 50 per cent.

The researchers note grower eligibility for stabilization funding will also decrease significantly.

Association CEO Art Smith says farmers aren’t opposed to minimum wage increases: “What we’re opposed to is having it on the backs of the farmers who don’t have a mechanism to recover those costs.”

To offset the wage increase, Mussell and Schmidt recommend the government implement two types of compensation programs – one to offset losses in net income and the other to compensate for lost risk management program eligibility. BF


 

Current Issue

May 2026

Better Farming Magazine

Farms.com Breaking News

Ontario Plans New Law to Protect Farmland

Friday, April 24, 2026

Ontario is taking new steps to protect its farmland and strengthen the agri-food sector. The provincial government plans to introduce legislation that would limit the foreign acquisition of Ontario farmland. The goal is to keep farms in domestic hands and protect local food production for... Read this article online

Ontario Exempts Farmlands from Stormwater Fees

Thursday, April 23, 2026

The Ontario government has takenan important stepto support farmers by exempting eligible agricultural lands from municipal stormwater fees. This decision is expected to bring meaningful financial relief to farmers across the province and strengthen the agricultural sector. Stormwater... Read this article online

Discover Elanco’s system for effective fly control

Wednesday, April 22, 2026

Effective fly control is essential for all livestock operations. Beyond just being an irritation, flies can spread disease, reduce animal comfort and negatively impact overall performance. That's why Elanco’s experts recommend a control system that defends your operation. Building a... Read this article online

BF logo

It's farming. And it's better.

 

a Farms.com Company

Subscriptions

Subscriber inquiries, change of address, or USA and international orders, please email: subscriptions@betterfarming.com or call 888-248-4893 x 281.


Article Ideas & Media Releases

Have a story idea or media release? If you want coverage of an ag issue, trend, or company news, please email us.

Follow us on Social Media

 

Sign up to a Farms.com Newsletter

 

DisclaimerPrivacy Policy2026 ©AgMedia Inc. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
Back To Top