Increase to Minimum Wage in Ontario effective January 1, 2018
Please be advised that there is a possibility that as of January 1, 2018 Ontario will increase its minimum wage from $11.60 to $14.00 an hour. This would apply to any Temporary Help Services (THS) resource that works on the Ontario side of the National Capital Region (NCR).
Public Services and Procurement Canada (PSPC) have analyzed the impact that this will have on the overall THS in the NCR tool and on clients and suppliers.
Starting October 30th, 2017, clients should not use Streams 1 and 2 of the Standing Offer for any requirement that will extend beyond December 31, 2017. Clients should use the Supply Arrangement for requirements that go beyond December 31, 2017. An updated Request for Services template will allow users to quote two rates (one rate up to December 31, 2017 and another rate for the period after December 31, 2017) and can be found at on our Temporary help services for the National Capital Region site. The use of the Standing Offer can resume on December 18, 2017.
In order to mitigate the impact that the new Bill C-148 may have on existing call-ups and contracts that extend beyond December 31, 2017, PSPC will allow suppliers to have their call-ups and contracts terminated by mutual consent if the reason for termination is due to Legislation introduced by the Ontario Government as a result of Bill C-148. This will ensure that there will be no negative impact on vendor performance records.
Clients should have discussions with suppliers with regard to existing call-ups and contracts that go beyond December 31, 2017 to determine which call ups and contracts may be affected in order to plan in advance for these terminations by mutual consent and the replacement call-ups and contracts. Some suppliers may choose to keep their contracts.
If there is a termination by mutual consent as a result of the new legislation and the services are still required, three options are available to clients for requirement that start on January 1, 2018:
- Clients may re-compete the requirement through the Supply Arrangement; or
- Clients may issue a new call-up (either through the first right of refusal method or the directed method) as of December 18th, 2017 for a requirements starting in January 2, 2018; or
- Clients may issue a sole source (directed) contract against the Supply Arrangement if the value of the requirement is under $25,000.
It is possible that other measures be put in place to mitigate the effects of this new Bill. These will be communicated as they become available.
The THS Team is available respond to any questions or concerns regarding this matter. Questions and Answers will be posted on our Temporary help services for the National Capital Region site and our THS GCPedia site in the next few weeks.
Best regards,
The THS Team
Temporary Help Services (THS) in the National Capital Region (NCR)
Acquisitions Branch / Public Works and Government Services Canada / Government of Canada
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