The McGuinty government will review Ontario's Fair Wage Policy to ensure that employees of contractors hired by the government are paid fairly, Minister of Labour Steve Peters said.

"Our government believes that all Ontarians must be able to share in our province's economic growth," said Peters. "The Fair Wage Policy is intended to level the playing field for businesses bidding for government contracts by ensuring fair compensation levels for employees."

Professor Morley Gunderson, from the University of Toronto, is being retained to conduct a review of this policy, which is expected to be completed by the end of 2007. The policy sets minimum pay requirements that private sector employers must meet in order to bid on certain Ontario government contracts.

Ontario's fair wage policy sets minimum wage and employment conditions based on the type of work being done and the part of the province in which the work will be done. It currently applies to the following types of services:
• Contracts for any janitorial and security services, regardless of contract value
• Construction projects in the industrial, commercial, and institutional (ICI) sector valued at $100,000 or more
• Road building projects where the contract value is $160,000 or more
• Sewer and watermain projects, regardless of the contract value

"Our fair wage policy must ensure a fair playing field for companies bidding for government contracts and a fair income for employees performing these services," said Peters. "This review will help ensure that this is the case."

To review this policy, click here.