The Ontario government will raise the minimum wages for early childhood care centers to $23.86 per hour starting next year in an effort to address the shortage of early childhood educators (ECE) in most licensed childcare centers. Earlier, there was a plan to increase this wage to $20 per hour.

Earlier, Education Minister Stephen Lecce issued his workforce strategy for childcare on Thursday, including wage increases that the government says will raise base wages for early childhood education in Ontario from the lowest levels in Canada to one of the highest levels.

He said this would help achieve wage parity with early childhood educators working in kindergarten classrooms.

Ministry officials also warned that the province could face a shortage of 8,500 childcare centers by 2026, the year Ontario hopes to create 86,000 new spaces under the national childcare system.

Family fees have already been reduced by 50% for families with children in 92% of licensed centers and home daycare participating in the national childcare program, and fees will be reduced to an average of $10 per day by 2025.

But early childhood education sector advocates say the lack of early childhood education is hindering the growth of the sector, and many centers have had to close due to staff shortages. Many wage advocates have called for $25, $30, or $40 per hour.

For her part, Elena Powell, Executive Director of the Ontario Early Childhood Educators Association, said the announcement will help provide opportunities for registered early childhood educators to stay and see growth in the sector.

She added that although the amount of the increase from the province is not optimal, it will still have a tangible impact on the profession in Ontario.

Lecce said this is especially important for ECEs because it is part of the federal agreement.

Ontario was scheduled to set a base wage of $18 per hour in 2022 and raise it by one dollar annually to $25 as part of an agreement signed with the federal government to join the national program.

Under Lecce’s new strategy, the base wage will rise to $23.86 per hour next year and continue to increase by one dollar per hour each year until $25.86 in 2026.