Tim Hortons increases prices for breakfast to tackle minimum wage hike?
Toronto, Jan 12 (IBNS): Tim Hortons has increased the prices of the breakfast amid widespread criticisms the restaurant is facing over the reduction of employee benefits following the Ontario government's rule of minimum wage hike, media reports said.
The restaurant has raised the price slightly in some branches, CBC News reported.
One of the consumers, shaaaan, tweeted: " @TimHortons breakfast combo went up to 7.22 from the 7.00 it was for years..the minimum wage price hike begins."
@TimHortons breakfast combo went up to 7.22 from the 7.00 it was for years..the minimum wage price hike begins
— shaaaan (@ylanahs) January 11, 2018
Now the burning question is whether the raise in price is a solution that the restaurant has sought to tackle Ontario's decision to hike minimum wage.
However, Tim Hortons denied such claims.
One of the spokespersons of Tim Hortons told CBC News: " Regular adjustments to menu prices are a normal part of the restaurant business."
"Many factors are considered when determining the final price of each menu offering and prices may vary by region," the spokesperson added.
Son of Tim Horton's co-founder, Ron Joyce, and his wife issued a letter in December stating the employees will not get the benefit of paid breaks and also they will have to pay half the cost of dental and health benefits from Jan 1, 2018.
The reduction in the benefits by the company came after the province increased the hourly wage of employees from $11.60 to $14.
The company owns two restaurants in Ontario.
The consumers of Tim Hortons took to social media and started a #boycottTimHortons campaign to support the restaurant employees who are suffering the aftermath of the province's call.
Onatrio premier Kathleen Wynne sharply reacted to the development days ago.
Wynne's reaction was quoted by Financial Post: "When I read the reports about Ron Joyce, Jr., who is a man whose family founded Tim Hortons, the chain was sold for billions of dollars, and when I read how he was treating his employees, it just felt to me like this was a pretty clear act of bullying."
"I hope that he understands this is really not a decent thing to be doing in a place as wealthy as Ontario" she added.
Expressing concern for the employees, the Ontario Premier said: "I hope he recognizes that his employees need to be treated decently."
Hitting out at the company, Wynne said Tim Hortons should restrain itself from taking a toll on the employees because of the pay hike by the Ontario. She said the company must walk up to her if it wants to challenge the Ontario government policy at all.
She even urged Tim Hortons to reverse its decision of cutting the employees' benefits.
(Reporting by Suman Das)
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