A recent report highlights a troubling reality for minimum-wage workers in Toronto: they would need to earn double their current hourly wage to afford rent in the city. The findings underscore the growing housing affordability crisis, where many are struggling to keep up with rising rent prices. The city's high demand for housing, coupled with limited supply, has pushed rents beyond what minimum-wage earners can reasonably pay.
The report reveals that for a one-bedroom apartment, workers would need to earn around $33 an hour, far above Ontario’s minimum wage of $16.55 per hour. This gap leaves many workers forced to choose between basic necessities, with some resorting to sharing small living spaces or moving farther from the city, where rents are slightly more affordable. However, even those options are becoming scarce as rent increases spread to suburban areas.
The affordability issue affects not only minimum-wage workers but also individuals earning slightly above the minimum. Many households now spend more than 50% of their income on rent, far exceeding the recommended 30% for housing costs. This puts them at higher risk of homelessness or housing insecurity, especially as rental prices continue to climb.
Advocates are calling for government intervention, such as rent control policies and increased affordable housing projects. Without significant changes, Toronto’s housing crisis may worsen, pushing even more workers to the brink of financial instability.
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