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

September 2024

Better Farming Magazine

Farms.com Breaking News

$18.4M Boost for Canadian Cereal Grain Innovation

Thursday, September 19, 2024

Gate Project Receives Major Funding for Research Canada's position as a pioneer in cereal grain research is set to strengthen with the Gate Capital Campaign raising $18.4 million. This funding will support the Global Agriculture Technology Exchange (Gate) initiative, a project... Read this article online

BASF introduces Surtain herbicide for field corn growers

Tuesday, September 17, 2024

Field corn growers in eastern Canada have a new crop protection product available to them. After about 10 years of research and trials, BASF has introduced Surtain, a residual herbicide for corn that combines PPO inhibitor saflufenacil (Group 14) and pyroxasulfone (Group 15) in a premix... Read this article online

New home for the Christian Farmers Federation of Ontario

Saturday, September 14, 2024

The Christian Farmers Federation of Ontario (CFFO) has announced it has moved into its new office building in Ingersoll. Located at 274620 27th Line in Ingersoll, the new office will serve as the hub for CFFO’s ongoing efforts to advocate for and support Ontario’s Christian farmers.... Read this article online

Canadian Ag Youth Council Welcomes new Members

Saturday, September 14, 2024

Agriculture and Agri-Food Canada has announced the latest members to join the Canadian Agricultural Youth Council (CAYC). This update introduces nine fresh members alongside thirteen returning youths, marking a significant step towards involving young voices in agricultural... 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 Policy2024 ©AgMedia Inc. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
Back To Top