Why Andrea Horwath Bumping the Minimum Wage to $11 Would Kill Small Business & Hurt Seniors – Editorial by Jamie Gilcig – October 3, 2011

CFN –  Wow, this 2011 provincial election is almost done.  It’s been an ugly and turdulent affair with Racoons, mice, name calling, liar calling, sleazy 30’s style propaganda, and other trickery.

Elaine MacDonald campaign team member Carilyne Hebert using her day job gig to pimp for the NDP by using a pic of the MacDonald campaign team.

See people don’t get the difference between Ontario NDP and the Federal NDP.   There’s a HUGE difference.

The NDP of Jack Layton and Thomas Mulcair is not that of Andrea Horwath.  I still remember being sent a hack job from their Toronto team on MPP Jim Brownell that they wanted me to print.

That was sent to the poubelle with a stern note to them, but that’s for a whole other editorial.

No, this editorial is about the Minimum wage; something apparently near and dear to both Andrea Howarth and Elaine MacDonald’s hearts and I’d like to share a bit about why.

Most public sector or union jobs are tied to inflation and the cost of living.   It sounds minuscule, 2% here, 3% there, but those raises on $80K salaries add up.

Now don’t get me wrong.  I don’t begrudge anyone a living.   I’ve worked on both sides of the fence.  I’ve been a Union member.   I appreciate the value of the labour movement; but when cleaning staff end up earning more than skilled labour or the free market then we have an issue.  In the health care field for example it’s led to things like C-Difficile and other issues from lack of care because of budgetary cut backs.

You see when the Minimum wage goes up a dollar big business doesn’t really care as much as you think because generally they can either pass this on to us the customers or it gives them an incentive to go offshore.  Who wins then?

When they pass the cost on to us it causes…..INFLATION.   It causes the COST OF LIVING to go up.    Now if you are self-employed this means you get screwed.  If  you’re on a fixed income you get screwed.  Pension?  Screwed.  Government? Not screwed as you’re now taxing more dollars.    Big Biz and Big Labour?  Nope, just fine because everyone jumps up the ladder until there are no more pegs to climb.

I have a friend that works for the US government.  They have pay scales.    A 15 grade is as high as you go.  That’s it.  Of course the US looks like it’s going bankrupt so maybe they aren’t the best example?

Who really gets screwed?  Small business and young people.    I’d love to hire help, but in capitalism when you hire someone it’s to create wealth.  You don’t pay $15 per hour for $5 worth of work.  Likewise if you have to pay $15 per hour then that person has to be able to provide value for that service otherwise, unless you’re the government, you end up out of business.

It means that you aren’t going to be giving a lot of people a chance to learn and grow in their positions.  It puts pressures on the businesses and the employers.   If young people can’t get jobs to learn the skills they need combined with education where will companies find people who can do those jobs with higher entry points?   It’s a viscous circle indeed.

Just so who gets to benefit?

Elaine MacDonald was waving her teacher-like finger during a debate complaining about public sector wages (while also trashing the NDP government of Bob Rae which seemed very very odd to hear)  being frozen for a few years.   Did anyone notice the economy during that period?   She states that if elected the NDP will jack up the minimum wage to $11 per hour.   Can you see that dancing in a recession/depression?  Anyone study the 30’s in Europe when people would have to buy food with wheel barrow loads of worthless marks, dollars, francs, and pounds?

Andrea Horwath wants to give companies $5K per job up to 20 per company.   Can you see that working?   I can see companies living and dying by that.  Run the company for a year; open a new one on paper and Bob’s your uncle.   Is that really good for the economy?

The bottom line is that I personally love the idea of people getting a fair shake in this world; especially those that have to work the hardest to get their fair shake.

I’m not so sure that Elaine MacDonald and Andrea Horwath share  the same philosophy.   Watching Ms MacDonald waive a copy of the Ottawa Citizen endorsement like a spoiled school girl was silly.   The Citizen endorsement in the Federal election for SD&SG sure didn’t help Bernadette Clement.

During an election some people will say anything to get elected.

Video showing Elaine MacDonald’s conviction to her cause.


The question is are we listening?

Jamie Gilcig – Editor – The Cornwall Free News

(Comments and opinions of Editorials, Letters to the Editor, and comments from readers are purely their own and don’t necessarily reflect those of the owners of this site, their staff, or sponsors.)

Best Western


  1. The General Minimum Wage for adults in Ontario is now $10.25 per hour and has been at this level for two years in a row. An increase to $11.00 per hour would certainly not bring about a recession/depression that you suggest in your editorial. If there is a recession we can blame it on the financial crisis in the US. The editorial seems to suggest that beginning workers should only earn $5.00 per hour? If so that would take Ontario back to the year 1989.

  2. Author

    Jerry the article does not suggest a minimum wage of $5.00 per hour. It does suggest that raising the minimum wage does the least for those that need it most, and the most for those that need it least.

  3. I for one really want to see companies prosper and then give back to the employees that got them there, the community and expand to help more people. Small to medium businesses can create jobs if conditions and regulations allow them too. Forcing them to pay out more does not help the economy if they fail to make a profit and close.

    As Admin points out, government wages and most Union workers, get regular raises, take a look at the Ontario Sunshine List. Bus Drivers in Toronto really should not be on that list but are.
    Yes they provide a service, but when Taxpayers already pay at least half of transit costs, that is not acceptable.

  4. Jamie it appears you are saying some people are better than others. What makes the back breaking job of polishing floors etc only worth 5 dollars an hour but the back breaking job of say a brick layer worth 30?

    Or for that matter you said ‘ I’d love to hire help, but in capitalism when you hire someone it’s to create wealth. You don’t pay $15 per hour for $5 worth of work.”

    Not sure what point you intended to get across here but it appears that you are saying that people who work for you should only make $5 dollars an hour because that’s the value you place on the work you would have them do…..what exactly are you hiring them to do?
    One last point, if you are going to claim that janitors make more than skilled labour you should back that up with some facts or it just comes across as hyperbole.

    If you are referring to the support staff (unionized) that work at the colleges none of them make more than a skilled labourer.
    Most of the support staff, according to internal job ads are making on average $20/hour for 24-32 hours a week and most because of low hours don’t receive benefits.

    You would be hard pressed to find a licensed skilled plumber electrician or even a brick layer that would settle for that kind of compensation.
    What is really disturbing is that you place a lower value on the work done by the girl that serves your coffee or kid that packs your groceries over someone that spools wire in a house?
    We don’t all have the same advantages for college (money or brains) and because we don’t, then it appears you are saying that those “don’t haves” are worth less economically and do not deserve a wage that may help them to be able to pay their heating bill and put food on the table?

  5. So, you’re saying that because minimum wage went up, that forced the price of oil to go from $17 a barrel in 2001 to $120 a barrel in 2010? Or that minimum wage forced the price of university tuition from $500 a year to $8000? Or are you saying minimum wage forced the price of gold from $250 an ounce to $1800 an ounce or are you a freedom thumper? You want the freedom to pay your employees $1.50 an hour. You want the freedom to own slaves? You want the freedom to employ child prison labour like most of the communist countries we trade with. Jamie wake up – Free Trade is a fancy phrase for Communism. Canadians rework and repackage goods that come in from communist countries. Communist countries have our machinery and now we work for them.

    If our kids are having a hard time competing perhaps we should replace the teachers and school boards that insists on making them as dumb as hammers, useless on voting day and only good for conveyor belt labour, never the office. Bring back a parent teacher group where parent’s have a veto not just a say. Or do what a lot of civil countries do – zero tution. Grades are the only entrance fee. As opposed to economic class being the only entrance fee.

    It amazes me how the poor will go to any lengths to support and protect the rich who live on their backs like self righteous parasites.

    End free trade – protect yourself. PS If you are on a pension you are probably a junked up drug addict taking ten pills a day and that’s who votes for Conservatives.

  6. Author

    I’ll clarify my point in this editorial. Raising minimum wage is pointless if inflation and cost of living erase the improvement. That those that benefit most from raising the minimum wage need it least. I agree; free trade has decimated Canada. It’s helped Walmart. It’s helped countless companies move offshore and rape our economy. Yes, there have been some “payoffs” to organized labour, but at the end of the day are people ahead or behind?

    I’ve shared my opinion. It’s up to others to counter that if they wish.

  7. Jamie you are being a little ridiculous in your theory and position. You are claiming that raising the minimum wage actually triggers inflation to a rate that wipes out any gains someone making min wage would get.
    Well the math doesn’t ring true. This year inflation will be around 2.5-3.0 % but raising the min wage to 11 bucks represents a 7% increase. Simple math show that as a 4% gain.

    Inflation is caused by economic growth not raising the min wage, the last time the min wage was upped was a 17% increase but inflation has held steady at about 2-3%.
    What about the other claim you made that “……cleaning staff end up earning more than skilled labour……”? Where are your facts and you have no follow up to this opinion?
    I know your purpose is to pimp the liberal candidate, but Jamie this is no better than Hudak and company, just making up BS that sounds good with no meat or facts involved.

    I thought maybe being in the “news paper business” you might just do a little research. Is it to much to ask, at the very least, the media should have a researched educated opinion?

  8. I have a hard time coming to grips with the idea that someone should put in a forty hour week of hard work, and not make enough money to feed and house them self.

  9. Furtz arrive en ville! Its a sign of the times.

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