Ottawa sees biggest jump in living wage in Ontario, group says

Ottawa's found itself at the top of a new list — but not the good kind. 

According to a non-profit group that calculates and compares how much workers in 10 different Ontario regions need to earn per hour in order to make a living wage — and enjoy modest participation in civic and cultural life — Ottawa presents a steep hill to climb. 

The national capital's living wage has increased by 12 per cent since last year to $21.95 — the largest year-over-year bump among the 10 Ontario regions measured by the Ontario Living Wage Network. 

In the network's annual ranking released Monday. Ottawa's living wage also ranked as the third highest behind the Greater Toronto Area and Grey Bruce Perth Huron Simcoe in southwestern Ontario.

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Ottawa isn't special, per se, but this year's results show recent increases in food and rent costs have been felt more acutely by residents in the capital, said the network's Craig Pickthorne.

[The living wages] all go up by some degree year over year. They never go down, said Pickthorne.

According to the Canada Mortgage and Housing Corporation (new window), the average two-bedroom apartment in Ottawa rents for $1,625, while Ontario's minimum wage is $16.55.

Ottawa employees earning minimum wage and working full time are still short by $185 in terms of being able to pay your bills, Pickthorne said.

WATCH / What is a living wage, and how is it calculated?

What is a living wage, and how is it calculated?

Ottawa’s living wage has increased by 12 per cent since last year to $21.95 — the largest year-over-year bump among the 10 Ontario regions measured by the Ontario Living Wage Network. Craig Pickthorne, the network's communications coordinator, explains how the group calculates a region’s living wage.

Key to staff recruitment, owner says

The network defines a living wage as the hourly rate a person needs to earn to cover basic expenses — not just food and rent, but also clothing, transportation and internet. 

The network also certifies 33 businesses in Ottawa that pay a living wage.

Full Cycle, a bike shop, is one of them.

Owner Matti Pihlainen said all of his employees have been earning a living wage as of early 2023.

For him, it was key to recruitment.

We were finding that good staff were getting hard to come by, Pihlainen said. We needed to make sure we were keeping people and treating the people that we had as well as we could.

Guy Quenneville (new window) · CBC News