Ontario investigates businesses allegedly breaking new labour laws

TORONTO • Ontario is investigating businesses that are alleged to be illegally going after employees in order to cope with a minimum wage hike, the labour minister said Monday.

The province’s minimum wage increased on Jan. 1 from $11.60 an hour to $14 as part of sweeping labour reforms from the Liberal government, including increased personal emergency days and paid vacation time.

Before the changes came into effect, business groups warned that the increase was too quick for small businesses in particular to absorb. In the first week since the new wage kicked in, stories have emerged of some businesses implementing new rules to offset those expenses.

Labour Minister Kevin Flynn said the vast majority are complying with the legislation, but some business owners have been taking the increased pressure out on their workers.

“The minimum wage, I don’t believe, ever in history has been raised without the business community raising a fuss or concerns,” he said. “For some businesses to take it out on their workers, however, is completely unacceptable.”

A pair of Ontario Tim Hortons franchisees — who happen to be the children of the company’s billionaire cofounders — have made headlines for cutting paid breaks and forcing workers to cover a bigger share of benefits.

Flynn said that goes against the spirit, though not the letter, of the law, but another story about a Toronto Tims franchise allegedly banning workers from keeping tips clearly contravenes the legislation.

“In some cases it appears (businesses) have gone to the point of doing things that are alleged to be illegal,” Flynn said. “We’re investigating A Toronto Tim Hortons is alleged to be banning workers from keeping their tips. these charges. The information that came out of Scarborough on the tips, where employees were ... alleged to have been asked to put their tips into the till, that clearly contravenes the legislation. So it’s not just mean-spirited,

Flynn wouldn’t confirm any specific ministry investigations, but said inspectors are being sent anywhere contraventions are reported. it’s also illegal.”