Has anyone raised their fees as a direct result of the increased minimum wage as of Jan 1st 2018?
I typically say raising rates annually as a provider doesn't work with the market. I need to stay competative and priced for my areas norm. That being said, everything has gone up in price by a lot since the MW increase. Groceries are noticably more expensive, and not just by a few pennies.
My rate was $45 a day which was the going rate for my area from 2012-2017. It didn't increase during that time. Last year, any new parents were signed on as $47 a day even though my areas average had not increased. Cost of living has still gone up but i was stuck between a rock and a hard place...increased costs vs frozen area average. Since I did this I saw others increase and I thought at just $2 a day difference, any parents who chose not to go with me due to that small difference were not families i wanted anyway.
Well here we are 2018 and the minimum wage has gone up from 11.70-14.00 and will go to 15.00 Jan 2019. I feel to be able to recover the significant increase in costs which are far more than previous years, I need to charge $50 a day. I wouldn't increase it again in 2019 with the additional $1 raise, I would lock that price in for everyone coming in during 2018 and likely wouldnt raise my rates again for a few years.
I have it in my contract that I can raise rates annually for thise currently with me and anyone new coming in would get the new $50 a day rate.
What are anyones thoughts on this? And how have any Ontario Providers acted in response to this change? TIA