Minimum Wage in Ontario: 2025 Current Rates and Exemptions

The minimum wage in Ontario is updated annually on October 1st, with changes tied to the Consumer Price Index to account for inflation. These wage changes apply to full-time, part-time, and casual workers in many industries, including retail, hospitality, and services.

Because minimum wage in Canada varies from province to province, both workers and employers must understand Ontario’s specific regulations.

What is the current Ontario Minimum Wage?

The general minimum wage in Ontario is $17.60 per hour, effective October 1st, 2025. This represents an increase of $0.40 from the previous rate of $17.20 per hour, which was in effect from October 1, 2024.

This rate applies to most employees across Ontario, including Toronto, Ottawa, Mississauga, Brampton, Hamilton, London, Markham, Vaughan, Kitchener, Windsor, Richmond Hill, and Oakville.

Each year, the planned minimum wage increase is announced by April 1st and takes effect on October 1. This annual adjustment helps the minimum wage keep up with inflation and ensures workers can better manage rising costs for essentials like housing, food, and transportation.

Source: Ontario Raising Minimum Wage to Protect Workers – news.ontario.ca

Ontario Minimum Wage Rates Over Time (2020–2025)

Here is a summary of the minimum wage in Ontario, increasing from 2020 to the newly announced 2025 rate:

From 2020 to 2025, Ontario’s minimum wage increased by $3.35, representing a 23.5% gain over five years. The average annual increase has been $0.67 per year, though individual years have varied significantly.

Who qualifies for General Minimum Wage in Ontario?

In Ontario, the minimum wage law protects most workers, including full-time, part-time, and casual employees. Here are the 4 key points:

• There must be an employment relationship (not independent contractors).
• The work must be in a provincially regulated industry.
• Employers must pay at least the minimum wage for each pay period.
• Payment methods (hourly, salary, commission, piece rate) do not exempt workers from minimum wage.

Employers must ensure all employees earn at least the minimum wage for all hours worked, excluding meal breaks and rest periods.

Noteably, tips cannot be counted toward meeting the minimum wage, as they are always in addition to wages. However, commissions and non-discretionary bonuses do count as wages. So, this means employers must make sure that an employee’s total pay, including commissions, is at least the applicable minimum wage for every hour worked in each pay period.

Are There Exceptions to the Minimum Wage in Ontario?

While most employees in Ontario are entitled to the current general minimum wage of $17.60 per hour, some occupations have specialized rates:

Student Minimum Wage

Student minimum wage in Ontario is $16.60 per hour. This rate applies to students under the age of 18 who work part-time (28 hours a week or less) while school is in session. It also applies to students under 18 working during a school break or over the summer holidays, regardless of the hours worked.

However, there’s a crucial exception: If a student works more than 28 hours per week while school is in session, they are entitled to the general minimum wage in Ontario.

Hunting, Fishing and Wilderness Guides Minimum Wage

The minimum wage for hunting, fishing, or wilderness is $88.05 (less than 5 hours) and $176.15 (5 or more hours), as of October 1st, 2025.

Homeworkers Minimum Wage

The current minimum wage is $19.35 per hour for employees classified as “homeworkers” who work from home for a business. This higher rate compensates for the use of their own home and resources.

Liquor Servers Minimum Wage

Note that there is often a common area of confusion, the Server Minimum Wage in Ontario, as they are the same as the general minimum wage in Ontario. The previous “liquor server” minimum wage was officially eliminated on January 1, 2022. So, they are not an exception to the standard rate.

Source: Minimum wage – ontario.ca

What are the Three-Hour Rule Requirements in Ontario?

Ontario’s three-hour rule protects employees who are scheduled to work but are sent home early. Under this rule, workers receive the greater amount between:

• 3 hours at the usual wage rate
• Actual time worked plus regular wages for the remaining time up to 3 hours

However, the rule doesn’t apply to students working at children’s camps, supervising children, or in charity recreational programs unless they’re also wilderness guides.

Additionally, the rule also doesn’t apply when a worker is regularly scheduled for a shift that is under three hours, because that schedule is already part of their normal work arrangement. 

Finally, situations that are beyond the employer’s control, such as power outages, extreme weather, or emergency evacuations, may void requirements.

The Effects of Minimum Wage on Employers in Ontario

Employers in Ontario have a legal obligation to pay their employees at least the prescribed minimum wage. Employers must ensure that employees paid by commission’s total earnings meet the minimum wage when factoring in their hours worked.

With the increase to $17.60 per hour on October 1, 2025, employers must adjust their workers’ pay accordingly. Compliance involves:

• Paying all covered employees at least the general minimum wage or the specialized rate for their occupation (e.g. student wage)
• Ensuring total compensation for commission workers meets minimum hourly rates
• Only deduct rooms and boards in accordance with ESA regulations.
• Updating payroll systems and pay schedules to reflect new rates

Deductions for room and board can also impact take-home pay in Ontario. However, deductions cannot lower the worker’s pay below the minimum wage when accounting for hours worked.

Employees who believe they have not received proper minimum wage pay can file a claim with Ontario’s Ministry of Labour within two years. Investigations will confirm whether violations occurred.

For employers found to be non-compliant, consequences can include orders to pay owed wages plus penalties up to $500,000 for corporations, depending on the statute and the number of prior offences.

By complying with minimum wage laws, employers in Ontario can avoid potential penalties, legal issues, and reputational damage. It also contributes to a fair and ethical work environment.

Minimum wage in Ontario vs Minimum Wage across Canada

Ontario’s provincial minimum wage is $0.15 lower than the federal minimum wage of $17.75 per hour, effective April 1, 2025. Besides, as of October 2025, Ontario’s minimum wage is $17.60, making it one of the highest rates in Canada.

This table compares Ontario’s minimum wage with other provinces and territories:

Ontario has the second-highest rate among provinces, behind British Columbia, and trails only Nunavut and Yukon overall.

Key Takeaways on Ontario’s Minimum Wage

Below is a quick summary of key facts about minimum wage in Ontario that you should keep in mind:

• The general minimum wage increases to $17.60/hour, effective October 1st, 2025.
• Most employees are covered under the ESA and are entitled to the minimum wage.
• Specialized rates apply to students, guides, and homeworkers.
• Annual increases are tied to inflation and the Consumer Price Index.
• Employers must comply with minimum wage requirements.
• Claims can be filed for unpaid wages within a 2-year window.

Understanding and complying with these rules not only protects employees but also supports ethical business practices in Ontario’s labour market.

In Canada, each province and territory has the autonomy to set its own minimum wage rate that applies to provincially-regulated workers. See the current minimum wages across provinces below:

• Minimum Wage in New Brunswick
• Minimum Wage in Manitoba
• Minimum Wage in British Columbia
• Minimum Wage in Alberta
• Minimum Wage in Nova Scotia

The bottom line

The minimum wage of $17.60 reflects an ongoing commitment to protect the purchasing power of workers in Ontario. So, knowing your rights is important because it protects you from issues like misclassification or improper deductions. If an employer does not follow the law, you can file a complaint with the Ministry of Labour or take legal action. These steps ensure that every worker can maintain their basic right to fair and accurate pay.

FAQs related to minimum wage in Ontario