For many Tim Horton’s employees, one of the best parts of the job is the benefits. The company offers all sorts of bonuses like family scholarships, paid days off for birthdays, and incentives to cover other employee’s shifts. The 100% coverage of medical and dental bills has been a huge selling point for potential employees. But, as of this month, all of that may change.
Ontario has recently raised the minimum wage from $11.25/hour to $14/hour on January 1st. Plans are to raise the minimum wage by another dollar this time next year. The significant rise has had a detrimental impact on small to medium businesses, and now one of the provinces largest employers is making adjustments.
Tim Horton’s has released a letter to all employees in Ontario stating that many of the company’s benefits will be cut. Tim Horton’s will no longer pay for employee breaks or their unique paid day off for birthdays. More drastic is the companies changes to health benefits cutting down from 100% coverage to 50% coverage of employees of over five years, and only 25% of anyone under the five-year mark.
The statement continues to say that should things improve in the future some, or all, of these benefits, could return. However, a report from the CBC averages that a Tim Horton’s employee earning minimum wage will be making less money overall this year with all of the cuts.