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Ontario Minimum Wage 2026: Current Rates, Who Qualifies, and What to Do If You Are Underpaid
Ontario's minimum wage changes every year, and every time it does, payroll mistakes happen. Employees continue to be paid old rates, overtime and vacation pay are calculated incorrectly, and employers misunderstand who the increase applies to. Those mistakes can mean you are being underpaid, sometimes for months, without realizing it.
This guide explains the current Ontario minimum wage, the confirmed increase coming on October 1, 2026, how wage changes affect more than just your hourly rate, and what to do if your employer has not applied the rates correctly.
Was your pay adjusted correctly after the last minimum wage change?
Minimum wage errors are more common than most employees realize. If your employer did not update your pay properly, you may be entitled to back pay and compensation. Get advice before the limitation period runs out.
Call: 1-800-771-7882 Speak With an Employment LawyerOntario minimum wage: current rate and the October 2026 increase
Ontario adjusts its minimum wage every year on October 1, tied to the Ontario Consumer Price Index under the Employment Standards Act, 2000. The current rates took effect October 1, 2025. The next increase, officially confirmed by the Ontario Ministry of Labour on April 1, 2026, takes effect October 1, 2026.
Who Ontario minimum wage applies to
Most provincially regulated employees in Ontario are entitled to minimum wage, including full-time, part-time, casual, hourly, salaried, commissioned, and piece-rate workers. Minimum wage must be calculated on a pay period basis, not averaged across multiple weeks.
Employees in federally regulated industries including banks, airlines, telecommunications companies, and railways are covered by the federal minimum wage, which increased to $18.15 per hour on April 1, 2026 under the Canada Labour Code. If you work in a federally regulated workplace and Ontario's general rate is lower than the federal rate, you are entitled to the higher federal rate.
Why minimum wage increases affect more than your hourly rate
When the minimum wage increases, it does not just change your base hourly pay. It also affects other entitlements calculated on your wages, and this is where most errors occur.
| Entitlement | How minimum wage affects it |
|---|---|
| Overtime pay | Calculated at 1.5x regular rate — if regular rate was not updated, overtime is also underpaid |
| Vacation pay | Calculated as a percentage of wages earned — lower base wages mean lower vacation pay |
| Public holiday pay | Based on regular wages divided by days worked — underpaid if base rate is wrong |
| Termination pay | Based on regular wages — if wages were too low, termination pay may also be incorrect |
| Severance pay | Calculated on wages paid — an underpaid base can undervalue the full severance entitlement |
Think your pay or overtime may have been calculated incorrectly?
Minimum wage errors often cascade across overtime, vacation, and holiday pay. Our team can help you assess what you are owed and file a complaint with the Ministry of Labour if needed.
Have Your Pay Reviewed Or call us: 1-800-771-7882Common employer mistakes after a minimum wage increase
When you may be owed back pay
You may have a claim for back pay if your hourly rate was not increased on the effective date of the new minimum wage, if your overtime or vacation pay was calculated using the old rate, if you were misclassified to justify paying a lower rate, or if deductions from your pay brought your effective hourly rate below the minimum. Even small differences in hourly pay add up quickly over weeks and months of underpayment.
If your employer terminates you after you raise a minimum wage concern, that may also constitute a reprisal under the Employment Standards Act, which is a separate legal violation with its own remedies.
What to do if you think you are being underpaid
Review your pay stubs immediately
Check your hourly rate against the current minimum wage. If the October 2025 rate of $17.60 is not reflected and you are a general worker over 18, you are being underpaid right now.
Check overtime, vacation, and holiday calculations
Confirm that your overtime pay reflects 1.5 times your current rate, that vacation pay was calculated on updated wages, and that public holiday pay is based on your correct rate.
Keep records
Save pay stubs, employment agreements, and work schedules. These documents are critical if you need to file a claim or complaint.
Do not assume your employer got it right
Mistakes after wage increases are extremely common. If you are unsure, get advice before raising the issue with your employer, particularly if you are concerned about retaliation.
File a complaint with the Ministry of Labour if needed
Employees who are being paid less than minimum wage can file a complaint through Ontario's Ministry of Labour complaints process. The Ministry can order back pay, interest, and penalties. Limitation periods apply, so acting promptly protects your claim.
How minimum wage affects termination pay and severance
Minimum wage impacts more than your current pay. If your wages were calculated incorrectly at the time of termination, your termination pay and severance may also be undervalued. Both are based on regular wages, so an incorrect base rate produces incorrect termination entitlements. If you were recently terminated and believe your wages were not properly updated before or after a minimum wage increase, seek legal advice before accepting any offer.
Frequently asked questions about minimum wage in Ontario
What is the minimum wage in Ontario in 2026?
The current general minimum wage in Ontario is $17.60 per hour, effective October 1, 2025. The student minimum wage is $16.60 per hour and the homeworker rate is $19.35 per hour. On October 1, 2026, the general minimum wage increases to $17.95 per hour, student minimum wage to $16.90 per hour, and homeworkers to $19.70 per hour.
When does Ontario minimum wage increase in 2026?
Ontario's minimum wage increases on October 1, 2026. The new rates were officially confirmed by the Ontario Ministry of Labour on April 1, 2026. Employers are required to apply the new rates from the first pay period that includes October 1, 2026.
What is the student minimum wage in Ontario?
The student minimum wage in Ontario is currently $16.60 per hour. It applies to employees under 18 who work 28 hours per week or less when school is in session, or who work during school breaks such as Christmas break, March break, or summer holidays. It increases to $16.90 per hour on October 1, 2026.
What can I do if my employer is not paying me minimum wage?
You can file a complaint with the Ontario Ministry of Labour, which can order your employer to pay back wages, interest, and penalties. You can also speak with an employment lawyer to assess whether additional claims are available, particularly if you raised the issue and faced retaliation. Limitation periods apply so acting promptly protects your ability to recover what you are owed.
Does minimum wage apply to salaried employees in Ontario?
Yes. Salaried employees are entitled to at least minimum wage when their salary is divided by the hours worked in a pay period. If a salaried employee's effective hourly rate falls below minimum wage, the employer is in violation of the Employment Standards Act, 2000.
Does the Ontario minimum wage apply to federally regulated workers?
No. Employees in federally regulated industries such as banking, airlines, telecommunications, and railways are covered by the federal minimum wage under the Canada Labour Code, which increased to $18.15 per hour on April 1, 2026. These employees must receive whichever rate is higher.
Think you may be owed back pay for minimum wage violations?
If your employer has not applied the correct minimum wage, or has miscalculated your overtime, vacation, or holiday pay as a result, our team can help you understand your options and file a complaint if needed. We advise employees across Ontario on employment standards complaints and severance pay. Contact us for a confidential consultation.
Call us at 1-800-771-7882 or fill out the form below and we will be in touch.
The article in this client update provides general information and should not be relied on as legal advice or opinion. Achkar Law Professional Corporation copyrights this publication and may not be photocopied or reproduced in any form, in whole or in part, without the express permission of Achkar Law Professional Corporation. ©