Item - 2023.GG1.12

Tracking Status

  • This item was considered by the General Government Committee on January 20, 2023 and adopted without amendment. It will be considered by City Council on February 7, 2023.

GG1.12 - Updating the Fair Wage Schedule, 2019-2022

Consideration Type:
ACTION
Wards:
All

Committee Recommendations

The General Government Committee recommends that:

 

1. City Council delete Schedule C to Municipal Code, Chapter 67, and adopt the six updated schedules attached to this report as Attachment “A”, as the new Schedule C to Chapter 67 effective March 1, 2023 (the “Effective Date”).

 

2. City Council amend Schedule A to Municipal Code, Chapter 67, by inserting the following new subsections under Section 67-A6 - Establishment of Rates:

 

"G. All City procurement documents issued prior to any revised Fair Wage Schedules coming into force will include the Fair Wage Schedules in force on the date of issuance.

 

H. All City contracts awarded prior to any revised Fair Wage Schedules coming into force will not be affected by the revised Fair Wage Schedules coming into force."

Summary

The purpose of this report is to update Schedule C of Toronto Municipal Code Chapter 67, Fair Wage (the "Fair Wage Schedule"). The Fair Wage Schedule is comprised of six schedules for the following classifications of work: General Classifications, Heavy Construction Work; Industrial, Commercial, Institutional (I.C.I.) Work; Road Building; Sewer and Watermain Construction; and Utility Work. The Fair Wage Schedule is used with the Fair Wage Policy, being Schedule A to Chapter 67, to harmonize hourly wages, vacation and holiday pay, benefits, and weekly hours of work received by organized and unorganized workers performing City work and to create a level playing field for contractors bidding on City contracts.

 

An updated Fair Wage Schedule is recommended to Council for approval every three years. Updating the Fair Wage Schedule took longer to complete than expected due to a number of factors, including limited staffing resources and the impact of the COVID-19 pandemic. The current Fair Wage Schedule covers 2016 to 2019 and must be updated to reflect 2019 to 2022 rates. The updated Fair Wage Schedule set out in Attachment "A" reflects wage increases recognized by the construction labour markets. The Fair Wage Schedule for 2022 to 2024 will be updated later in 2023.

 

This report recommends that the updated Fair Wage Schedule take effect for all new City procurements issued on or after March 1, 2023. All City contracts or procurement documents issued before March 1, 2023 will use the Fair Wage rates set out in the current Fair Wage Schedule (2016 to 2019). In order to maintain a record of historic wages. The Fair Wage Office will maintain copies of the former Fair Wage Schedules at the Fair Wage Office and on the Fair Wage Office website.

Background Information (Committee)

(January 6, 2023) Report from the Manager, Fair Wage Office, Purchasing and Materials Management on Updating the Fair Wage Schedule, 2019-2022
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230795.pdf
Attachment A - Part 1 - General Classification Work
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230796.pdf
Attachment A - Part 2 - Industrial, Commercial, Institutional (I.C.I.) Work
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230797.pdf
Attachment A - Part 3 - Heavy Construction Work
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230798.pdf
Attachment A - Part 4 - Road Building
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230799.pdf
Attachment A - Part 5 - Sewer and Water Main Construction
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230800.pdf
Attachment A - Part 6 - Utility Work
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230801.pdf

GG1.12 - Updating the Fair Wage Schedule, 2019-2022

Decision Type:
ACTION
Status:
Adopted
Wards:
All

Committee Recommendations

The General Government Committee recommends that:

 

1. City Council delete Schedule C to Municipal Code, Chapter 67, and adopt the six updated schedules attached to this report as Attachment “A”, as the new Schedule C to Chapter 67 effective March 1, 2023 (the “Effective Date”).

 

2. City Council amend Schedule A to Municipal Code, Chapter 67, by inserting the following new subsections under Section 67-A6 - Establishment of Rates:

 

"G. All City procurement documents issued prior to any revised Fair Wage Schedules coming into force will include the Fair Wage Schedules in force on the date of issuance.

 

H. All City contracts awarded prior to any revised Fair Wage Schedules coming into force will not be affected by the revised Fair Wage Schedules coming into force."

Origin

(January 6, 2023) Report from the Manager, Fair Wage Office, Purchasing and Materials Management Division

Summary

The purpose of this report is to update Schedule C of Toronto Municipal Code Chapter 67, Fair Wage (the "Fair Wage Schedule"). The Fair Wage Schedule is comprised of six schedules for the following classifications of work: General Classifications, Heavy Construction Work; Industrial, Commercial, Institutional (I.C.I.) Work; Road Building; Sewer and Watermain Construction; and Utility Work. The Fair Wage Schedule is used with the Fair Wage Policy, being Schedule A to Chapter 67, to harmonize hourly wages, vacation and holiday pay, benefits, and weekly hours of work received by organized and unorganized workers performing City work and to create a level playing field for contractors bidding on City contracts.

 

An updated Fair Wage Schedule is recommended to Council for approval every three years. Updating the Fair Wage Schedule took longer to complete than expected due to a number of factors, including limited staffing resources and the impact of the COVID-19 pandemic. The current Fair Wage Schedule covers 2016 to 2019 and must be updated to reflect 2019 to 2022 rates. The updated Fair Wage Schedule set out in Attachment "A" reflects wage increases recognized by the construction labour markets. The Fair Wage Schedule for 2022 to 2024 will be updated later in 2023.

 

This report recommends that the updated Fair Wage Schedule take effect for all new City procurements issued on or after March 1, 2023. All City contracts or procurement documents issued before March 1, 2023 will use the Fair Wage rates set out in the current Fair Wage Schedule (2016 to 2019). In order to maintain a record of historic wages. The Fair Wage Office will maintain copies of the former Fair Wage Schedules at the Fair Wage Office and on the Fair Wage Office website.

Background Information

(January 6, 2023) Report from the Manager, Fair Wage Office, Purchasing and Materials Management on Updating the Fair Wage Schedule, 2019-2022
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230795.pdf
Attachment A - Part 1 - General Classification Work
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230796.pdf
Attachment A - Part 2 - Industrial, Commercial, Institutional (I.C.I.) Work
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230797.pdf
Attachment A - Part 3 - Heavy Construction Work
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230798.pdf
Attachment A - Part 4 - Road Building
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230799.pdf
Attachment A - Part 5 - Sewer and Water Main Construction
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230800.pdf
Attachment A - Part 6 - Utility Work
https://www.toronto.ca/legdocs/mmis/2023/gg/bgrd/backgroundfile-230801.pdf

Motions

Motion to Adopt Item moved by Councillor James Pasternak (Carried)

Vote (Adopt Item) Jan-20-2023

Result: Carried Majority Required
Total members that voted Yes: 4 Members that voted Yes are Alejandra Bravo, Lily Cheng, James Pasternak (Chair), Gord Perks
Total members that voted No: 1 Members that voted No are Stephen Holyday
Total members that were Absent: 1 Members that were absent are Josh Matlow
Source: Toronto City Clerk at www.toronto.ca/council