Ontario’s minimum wage hike will cost the average Tim Hortons franchisee $243,889 this year
Some Tim Hortons franchisees have responded to Ontario’s new minimum wage by clawing back employee benefits, sparking backlash from their parent company and Premier Kathleen Wynne, as well as some concerned consumers who are participating in a boycott of the coffee-and-doughnut chain.
Here’s a look at the numbers behind the controversial measures that have some of the franchisees and the parent company playing the blame game:
$2.40: The jump in minimum wage in Ontario for most employees starting Jan. 1. It is set to go up another $1 at the start of 2019.
$243,889.10: How much the increase will cost the average Tim Hortons franchisee, according to the Great White North Franchisee Association, a group representing about half of the country’s Tim Hortons franchisees.
The calculation assumes every employee’s hourly wage is boosted by $3.35, which includes the $2.40 minimum wage hike and factors in additional costs from other changes to the province’s employment and labour laws, like increased vacation pay.