FOR IMMEDIATE RELEASE April 2, 2026
\nOntario Businesses Welcome Minimum Wage Increase - And Say It's Not Enough
\nBetter Way Alliance also calls for commercial rent relief and elimination of double taxation on business insurance
\nTORONTO — While many business groups have pushed back on Ontario's minimum wage increases, the Better Way Alliance (BWA), Canada's Good Jobs Business Network, is taking a different position: the increase to $17.95 per hour on October 1, 2026 is welcome - and the province needs to go further. The BWA is calling on Ontario to pair the wage increase with immediate relief on commercial fixed costs that are pushing good employers to the breaking point.
\nThe BWA's two immediate provincial asks are:
\n\n\n$17.95 is a step forward. But $14 more a week doesn't change a worker's life, and it doesn't save a business being crushed by rent it can't negotiate and insurance taxes it can't recover,\" said Aaron Binder, Director of the Better Way Alliance. \"If Ontario is serious about supporting workers and the businesses that employ them, wages and fixed cost inputs have to move together.
\n
BWA's Fixed Cost Crunch report documents the gap. Toronto retail rents increased 142 per cent between 2019 and 2024 - from roughly $19 to nearly $50 per square foot - including a single-year spike of nearly 70 per cent. The pressure isn't limited to Toronto: businesses across Ontario, in cities, towns, and rural communities, are facing lease renewals at multiples of what they were paying five years ago, with no negotiating power and no legislative protection. Over that same period, minimum wage increased 23 per cent.
\nWage increases return to communities through the local multiplier effect. That extra $14 a week goes to the corner store, the transit pass, the lunch spot down the street - and those businesses pay staff, who spend locally too. Fixed cost increases extract that same money and send it elsewhere. Reducing the insurance tax burden and introducing basic commercial rent protections would stabilize the small business economy - helping businesses significantly invest more than just $14 a week in Ontario's workers.
\nAbout the Better Way Alliance The Better Way Alliance is Canada's Good Jobs Business Network — a coalition of more than 100 businesses committed to fair wages, decent working conditions, and thriving local economies. Learn more at betterway.ca.
\nMedia Contact: Aaron Binder | 416-677-5088 | aaron@betterwayalliance.ca
", "image": "https://betterwayalliance.ca/media/posts/9/young-woman-cafe-worker.jpg", "author": { "name": "Aaron Binder" }, "tags": [ ], "date_published": "2026-04-02T12:00:00-04:00", "date_modified": "2026-04-04T00:08:29-04:00" }, { "id": "https://betterwayalliance.ca/the-osfi-great-redirect-why-cheaper-loans-wont-save-us-without-rent-reform.html", "url": "https://betterwayalliance.ca/the-osfi-great-redirect-why-cheaper-loans-wont-save-us-without-rent-reform.html", "title": "The OSFI "Great Redirect": Why Cheaper Loans Won’t Save Us Without Rent Reform", "summary": "Will OSFI’s New Lending Rules Actually Save Small Business? If your landlord doubles your rent tomorrow, does a “cheaper…", "content_html": "Will OSFI’s New Lending Rules Actually Save Small Business?
\nIf your landlord doubles your rent tomorrow, does a “cheaper loan” from the bank solve your problem?
\nCheaper Loans are Coming—But They Won’t Stop the Rent Crisis
\nStarting in 2027, Canada’s federal banking regulator (OSFI) plans to make it cheaper and easier for big banks to lend to small businesses like yours. They are lowering the “risk weight” on SME loans, which essentially means banks don’t have to hold as much cash in reserve to lend to you.
\nThis is a significant win for BWA members and all of Canada’s small businesses.
\nIn plain English: they’re making it cheaper and easier for big banks to lend to you. OSFI Superintendent Peter Routledge notes that the old rules often made it more expensive for banks to lend to a local shop than to a mortgage holder. This change is exactly what we’ve been asking for – but it comes with a massive caveat.
\nThe Elephant in the Storefront
\nAt the Better Way Alliance, we’ve spent the last years tracking what is actually crushing Canada’s businesses. Our Fixed Cost Crunch Report found that while policy talk often focuses on labour, the real crunch is often occupancy and fixed costs.
\nThe Rent vs. Wage Gap: Between 2019 and 2024, minimum wages rose 23%. In that same period, Toronto retail rents spiked 142%.
\nThe “Default Cliff”: A typical micro-business now pays $5,534 more annually in rent alone – costing them 1.4 times more than recent wage increases.
\nCumulative Impact: When you add up rent, insurance, and electricity, a typical 3-employee micro-business has seen an annual cost spike of $51,890 over five years.
\nWhy This Matters for Your Bank Loan
\nOSFI is lowering capital requirements because they want to support “productivity and growth”. But if your business is haemorrhaging cash to an unregulated commercial landlord, that bank loan isn’t being used for training or new equipment. It’s being used to pay for a rent increase that arrived as a “shock” at lease renewal.
\nOur Position: We support OSFI’s move to lower risk weights. But we are telling the regulator – and the government – that this policy needs to be paired with a stable commercial rent market. Otherwise, “easier lending” just means we’re letting small businesses borrow their way into bankruptcy to keep their landlords afloat.
\nWhy BWA is Taking This to OSFI
\nWe submitted a formal position to the federal government – read the PDF here. Our message is simple: We support making it easier for banks to lend, but if that capital is immediately sucked up by unregulated, triple-digit rent hikes, the loan isn’t helping the business – it’s just subsidizing the landlord.
\nWe are calling for a Commercial Renter Bill of Rights and rent stability so that these new bank loans can actually be used for what they’re meant for: training your staff, buying equipment, and growing your business.
\nRead Our OSFI Submission: See how we’re using bank regulations to fight for rent reform.
\nRead the Fixed-Cost Crunch Report: The data proving rent – not labour – is what’s crushing Main Street businesses
\nSecure Your Space Canada: Send a message to your local rep and help local entrepreneurs move from being renters to owners
", "image": "https://betterwayalliance.ca/media/posts/1/yellow-paper-arrow-pointing-down.jpg", "author": { "name": "Aaron Binder" }, "tags": [ ], "date_published": "2026-02-17T12:00:00-05:00", "date_modified": "2026-04-04T09:54:15-04:00" }, { "id": "https://betterwayalliance.ca/the-business-case-for-investing-in-canada-post.html", "url": "https://betterwayalliance.ca/the-business-case-for-investing-in-canada-post.html", "title": "The Business Case for Investing in Canada Post", "summary": "Canada Post is Essential Small Business Infrastructure What Canada can learn from the UK’s Royal Mail privatization – and…", "content_html": "Canada Post is Essential Small Business Infrastructure
\nWhat Canada can learn from the UK’s Royal Mail privatization – and why we should avoid it.
\nWhy Small Businesses Need Canada Post to Work
\nThe Reality of the “Holiday Scramble” This past holiday season, Province of Canada made a difficult choice: they walked away from Canada Post after 11 years. While it was a temporary hiatus – it highlighted the unreliability of Canada’s crown mail corporation. Province of Canada hadn’t found a better or less expensive option either – they simply needed stability during their busiest period.
\nThis is the reality facing small businesses across Canada. Many are using private couriers because of temporary predictability – but most would prefer to use Canada Post for price and service reliability. In 2026, Canada’s government will likely face a choice – privatize or invest. At the BWA we stand firmly in camp invest.
\nWhy?
\nCanada Post is Essential Infrastructure We need to stop thinking of the postal service as just a “delivery company.” It is one of Canada’s greatest small business assets. The price is the price is the price regardless of where a business is shipping to in Canada.
\nUniversal Pricing: A business in Moose Jaw competes nationally on the same terms as one in Toronto. No zones, no rural premiums, and no corporate volume discounts required.
\nPrice Discipline: Without Canada Post keeping them honest, private courier costs would skyrocket for every small business in the country. We’ve seen this in other countries and in multiple other industries. Rarely does privatization deliver on the promise of better prices and service.
\nInvesting in Canada maintains a predictable level of pricing and service during a period of time when major uncertainty is striking fear into the hearts of business owners and their Profit/Loss statements. When costs like shipping go up they hinder a business’s ability to reinvest in wages, benefits, or growth plans.
\nAcross the pond we’ve already seen what happens when essential services are handed over to private oligopolies. The UK privatized Royal Mail in 2013. By 2024, performance collapsed – only 75% of first-class mail arrived on time – while stamp prices more than doubled. That same year, the 500-year-old institution was sold to a foreign billionaire.
\nWe cannot afford to replicate the failures seen in Canada’s grocery and telecom sectors, where massive consolidation has driven prices up and service quality down. Denise Hearn and Vass Bednar’s The Big Fix highlights exactly how concentrated markets harm small businesses by stripping away choice and leverage. Surrendering our postal infrastructure to the same consolidated market forces is a direct threat to the stability of Canada’s businesses.
\nBy investing in Canada Post as public infrastructure, the government can provide extra stability that businesses need to stop playing defense and start reinvesting in their staff and communities. Securing the crown corp will help Canada’s government continue to build a sovereign system where:
\nService is the Priority: Businesses get a reliable, affordable cost and delivery floor they can count on to serve their customers anywhere in the country.
\nWages are Protected: Stable shipping costs allow owners to keep their focus on providing fair wages and innovation rather than padding margins against logistical spikes.
\nAccess is Universal: Every community, regardless of geography, remains an active participant in the national economy.
\nWhen infrastructure like Canada Post is left to drift, businesses are forced to pay an “uncertainty tax” through expensive workarounds and lost time.
\nInvesting in a modernized, public floor replaces that chaos with the predictability every entrepreneur needs to stop playing defense and start building for the long term.
\nRelated Reading:
\nCanadian Anti-Monopoly Project
\nCanadian SHIELD Institute
\nThe Big Fix: How Companies Capture Markets and Harm Canadians
\nWe need to talk about Canada’s painful lack of competition – Vass Bednar
\n“Canadian retailer drops Canada Post as its carrier ahead of holiday season” – CTV News
", "image": "https://betterwayalliance.ca/media/posts/2/canada-post-mailbox-in-winter.jpg", "author": { "name": "Aaron Binder" }, "tags": [ ], "date_published": "2026-01-07T12:00:00-05:00", "date_modified": "2026-04-04T13:31:34-04:00" }, { "id": "https://betterwayalliance.ca/we-are-hiring-membership-growth-lead.html", "url": "https://betterwayalliance.ca/we-are-hiring-membership-growth-lead.html", "title": "We Are Hiring: Membership Growth Lead", "summary": "Canada’s network of great employers is growing. Help us build what comes next. JOB POSTING: Membership Growth Lead Location:…", "content_html": "Canada’s network of great employers is growing. Help us build what comes next.
\nJOB POSTING: Membership Growth Lead
\nLocation: Remote across Canada (Toronto co-working space available)
\nDuration: 11 months (February – December 2026)
\nCompensation: $32.20/hour, 35 hours/week, 3 weeks paid vacation, benefits stipend
\nApplication Deadline: January 14, 2026, 5:00 PM
\nABOUT THE BETTER WAY ALLIANCE
\nThe Better Way Alliance (BWA) is a Canada-wide network of employers across all sectors investing in Good Jobs for their staff because it strengthens their businesses and shapes an economy that works for everyone.
\nEstablished in 2017, the BWA develops practical resources to support business owners in creating and strengthening Good Jobs practices. We represent the interests of these employers in policy discussions, media, and with business & community groups by sharing real stories about how investing in workers contributes to a more inclusive Canadian economy.
\nSince 2022, we have advocated for systemic policy innovations that make it easier for all businesses to offer quality jobs – such as rent protections for commercial tenants, access to capital that increases ownership of small businesses and their spaces, and tax credits for employers retaining good jobs.
\nWe are now hiring a full-time (contract) Membership Growth Lead to strengthen and grow our base of members. Currently at 100 members, our vision is to:
\nCount 150+ members, across every Canadian province & territory by the end of 2026
\nEngage more of our members in policy and media discussions around the country
\nEnhance visibility of Good Jobs employers in their local communities, media and in front of elected officials
\nThe BWA team works primarily remotely and welcomes applicants from across the country. We also have access to an inclusive and collaborative coworking space in Toronto, for candidates based locally. This position is funded until December 2026.
\nPOSITION SUMMARY
\nThe Membership Growth Lead’s main objectives are to:
\nIncrease our membership numbers by 50 over 2026
\nPromote engagement opportunities amongst members and coordinate their involvement
\nCreate content for our communications channels (social media and newsletter) based on collected member stories
\nThe Lead will work closely with the Communications Director on membership growth and content creation. They will work closely with the Knowledge Director on member engagement opportunities and sharing resources to support members.
\nWe are seeking an ambitious and driven individual who will propose new ideas, use rapid feedback cycles to improve our work, and shape our growing organization with their creativity and strategic mindset over the course of this temporary contract.
\nYou know how to communicate with business owners in a way that builds trust and grows the network – respectful, consistent, effective, and yes, fun when the moment calls for it. You’ve executed both cold and warm outreach strategies, and you understand that small business owners respond to authenticity.
\nSUMMARY OF WORK AREAS
\nBuild membership pipeline to reach 50 net new members by December 2026
\nExecute targeted outreach to diaspora business groups, settlement agencies, ethnic chambers of commerce, youth business owner groups, and local community networks across Canada
\nTrack outreach metrics and conversion rates to refine targeting and messaging
\nFollow up on inbound interest from media coverage and social channels
\nLead structured onboarding of new members to BWA tools and resources, with the support of a BWA Director
\nLead structured onboarding of new members to BWA tools and resources, with the support of a BWA Director
\nManage social media channels and newsletter to grow audience engagement
\nLead structured onboarding of new members to BWA tools and resources, with the support of a BWA Director
\nLead structured onboarding of new members to BWA tools and resources, with the support of a BWA Director
\nCollect member stories, quotes, short videos, and testimonials for use across communications channels
\nRecommend improvements to increase reach, open rates, and engagement
\nEvolve email marketing to leverage segmentation and targeting for membership growth, policy collaborations, and funder relationships
\nCoordinate member engagement in policy advocacy and media opportunities
\nSupport Policy Working Groups where members provide input on workforce and rent challenges
\nRecruit and prepare members to participate in media training and join the BWA’s media roster
\nShare resources and schedule coaching sessions with BWA Directors
\nConnect members to speaking and advocacy opportunities
\nEXPERIENCE & QUALIFICATIONS
\nExperience leading email outreach, including list building and new audience activation
\nExperience with engagement campaigns combining digital and in-person relationship building
\nStrong written and verbal communication, with ability to adapt tone across channels (social media, newsletters, presentations, factsheets)
\nUnderstanding of email marketing fundamentals: segmentation, targeting, message testing, and performance tracking
\nComfortable adapting messaging based on engagement data and feedback to improve reach and response
\nAbility to lead rapid feedback cycles with insights from members, including providing clear rationale for decision making and adjusting recommendations when new information emerges
\nDemonstrates sound judgement and professionalism when representing the organization with members, partners, and external stakeholders
\nStrong coordination, project and time management skills
\nWorks effectively with colleagues, balancing independence with teamwork
\nFluent in using digital tools for contact management, outreach, and coordination
\nAbility to work remotely across Canadian time zones with flexible hours
\nAdditional language skills are an asset
\nExisting connections in the small business community are an asset but not required
\nAbility to work flexible hours is essential.
\nWe encourage applications from Black people, Indigenous people, people of colour, Women, people who identify with disability, LGBTQ+ people and people from other equity-seeking groups that face systemic discrimination.
\nThe BWA is a project supported by the Ontario Employment Education & Research Centre (OEERC). The OEERC and BWA are committed to an inclusive and diverse workplace, and a working environment free from all forms of discrimination, harassment and violence. We are committed to understanding how racism, sexism and other forms of oppression result in poor working conditions and health, and are committed to the ongoing work of challenging these oppressions in our work and community.
\nSubmit a cover letter and resume by email to info@betterwayalliance.ca by 5pm, January 14, 2026. Only candidates selected for an interview will be contacted.
", "image": "https://betterwayalliance.ca/media/posts/3/still-life-office-chair-indoors.jpg", "author": { "name": "Aaron Binder" }, "tags": [ ], "date_published": "2025-12-29T12:00:00-05:00", "date_modified": "2026-04-03T23:56:30-04:00" }, { "id": "https://betterwayalliance.ca/the-costco-effect-why-good-jobs-are-smart-economics.html", "url": "https://betterwayalliance.ca/the-costco-effect-why-good-jobs-are-smart-economics.html", "title": "The Costco Effect: Why Good Jobs Are Smart Economics", "summary": "When Costco opened a warehouse in rural Meiwa, Japan in 2023, a nearby noodle shop called Yamada-udon faced a…", "content_html": "When Costco opened a warehouse in rural Meiwa, Japan in 2023, a nearby noodle shop called Yamada-udon faced a crisis. Costco was offering starting wages of 1,500 yen per hour- 60% above the local minimum wage. For a business selling $2.48 bowls of noodles, even a 10-yen wage increase was “extremely challenging.”
\nSo Yamada-udon did something almost unthinkable: they raised wages by a third to compete. And then something unexpected happened. Their revenues jumped 40-50%. This is the Costco effect – and it’s the opposite of what happens when a Walmart moves in.
\nTwo Models, Two Outcomes
\nResearch has documented what’s called the Walmart effect: when big box retailers open, they force out smaller local competitors through their pricing power, and when they become the only employer in town, they push local wages down.
\nCostco operates differently. The warehouse club pays its workers an average of $26 an hour in the U.S., far more than the average $17 paid by other retailers. Their turnover rate is about 8%, compared to a whopping 60% at other retailers.
\nIn March 2025, they raised their minimum wage to $20 per hour with an average wage exceeding $31.
\nBut here’s what makes this economically fascinating: when Costco opened in Meiwa, local businesses had to raise wages to compete, forcing businesses like Yamada-udon to increase hourly pay. Within three months of Costco’s opening, local businesses reported paying staff 40% more than before.
\nThose higher wages didn’t crush local businesses. They strengthened them. Costco became a destination that attracted shoppers from across the region. Once people drove an hour to get there, many grabbed lunch at local restaurants or stopped at nearby shops. The influx of customers with higher purchasing power meant local businesses could charge more and still thrive.
\nThe Research Backs This Up
\nMIT Sloan Professor Zeynep Ton has spent 15 years studying what she calls the “good jobs strategy.” Companies that implement her framework – combining strategic investment in employees with operational decisions that increase productivity – have seen drops in employee turnover between 25% and 52%, along with significant increases in productivity and sales.
\nWhen Sam’s Club CEO John Furner raised wages despite pushback from HR and finance, productivity increased 16%, turnover dropped 25%, and sales rose 25% in just two years. The struggling chain became a growth engine for Walmart.
\nCostco’s turnover rate of 8% saves them more on training and hiring expenses than they lose through higher wages.
\nThe cost of constantly replacing workers – the mistakes, operational problems, and lost institutional knowledge – vastly exceeds the cost of paying people well.
\nWhy This Matters for Canadian Businesses
\nBusiness owners often hear they need to minimize labor costs to stay competitive. But that creates what Ton calls a “vicious cycle”: low pay leads to high turnover, which creates operational problems, which reduces profitability, which means you can’t invest in people, which perpetuates the cycle.
\nThe alternative is a virtuous cycle: invest heavily in people, get low turnover and strong operational execution, achieve higher profitability and sales, then reinvest in your people.
\nCanada needs this model. When wages stagnate and workers struggle to make ends meet, they can’t spend locally. Money doesn’t recirculate through communities. Local businesses suffer from lack of foot traffic and purchasing power.
\nWhen workers earn fair wages, they spend more locally. They support neighboring businesses. They stay in their jobs longer, becoming more skilled and productive. The entire local economy strengthens.
\nWhat Does This Mean for Your Business?
\nThe good jobs strategy is a complete operating system. It means:
\nInvesting in people: Competitive wages, strong benefits, and genuine career pathways
\nFocusing operations: Offering less variety but doing it exceptionally well
\nCross-training staff: Making employees more productive and valuable
\nOperating with slack: Giving workers time to actually serve customers well
\nEmpowering frontline workers: The most important work happens where customers meet your company
\nNot every business can become Costco. But every business can ask: are we treating labor as a cost to minimize, or as an asset to maximize? Companies that view their workforce as drivers of growth and profitability – not expenses to be cut – end up with happier workers, more loyal customers, and better financial results.
\nAnd that’s smart economics.
\nWant to see where your business stands on retention and productivity? Take our Good Jobs Scorecard – a 3-minute assessment that shows you where you are and identifies opportunities to build a more resilient, productive workplace.
", "image": "https://betterwayalliance.ca/media/posts/4/costco-warehouse-side-view.jpg", "author": { "name": "Aaron Binder" }, "tags": [ ], "date_published": "2025-11-24T12:00:00-05:00", "date_modified": "2026-04-04T09:54:26-04:00" }, { "id": "https://betterwayalliance.ca/better-way-alliances-analysis-of-the-federal-budget-2025.html", "url": "https://betterwayalliance.ca/better-way-alliances-analysis-of-the-federal-budget-2025.html", "title": "Better Way Alliance’s Analysis of the Federal Budget 2025", "summary": "This week, the Carney government tabled its new budget – the first in this Prime Minister’s term in office,…", "content_html": "This week, the Carney government tabled its new budget – the first in this Prime Minister’s term in office, and an important one given the challenges of tariffs, trade, economic slowdown and war. The Budget was framed as an offensive, take-charge document that aimed to re-establish Canada’s position in the world economy:
\n“Our Canadian Advantage: Despite challenges, Canada remains strong and has what the world wants: Talent…Resources…Market access…Resilience…Rule of law…Investment attractiveness…and Tax competitiveness.”
\nWe believe another major advantage is a substantial small and medium-sized enterprise (SME) base and a strong culture of entrepreneurship – especially amongst newcomers, who are more likely than long-term Canadians to start businesses in Canada.
\nBudget 2025 acknowledges the financial pressure on small businesses
\nWe believe the government has an opportunity to lean into its strengths – our entrepreneurial spirit, highly capable workers, and market access – to ease the financial pressures forcing smaller businesses to shut down. This would require targeted adjustments on only a few highly effective levers – rent, insurance, SME financing, and incentives for living wages – and it could unlock private sector investments into growth for the 98% of employers left out of the Budget’s major initiatives.
\nWe encourage the Carney government to understand the pressures on our country’s businesses and improve existing SME programs. The Budget’s focus on large-scale investment targets only half of Canada’s economy
\nThere were no new supports to small businesses facing enormous fixed cost increases. Their continued struggle puts 50% of Canada’s GDP and jobs at risk. We encourage the Carney government to understand the pressures of our country’s smaller businesses to improve eligibility of small business financing programs and provide the pathways they need to achieve stability, productivity and growth.
\nWe propose a Good Jobs Tax Credit to help millions of Canadians achieve financial stability and recirculate wealth to local communities.
\nThe CSBFP would be an easy win
\nThe Canada Small Business Financing Program (CSBFP) is a historically underutilized program designed for SMEs but the government’s own evaluation of the program recognizes its loans are too small for typical business requirements and it is underused. The BWA’s own conversations with business owners reveals the program is too inflexible on its eligibility requirements to accommodate many small businesses (a significant portion of small businesses are under 4 employees and don’t meet the minimum revenue requirement).
\nIncreasing the loan size and expanding eligibility would greatly increase uptake of an already-established program with existing administrative resources dedicated to it (…in the spirit of efficiency…!). Updating the program would cost nothing and improve capital access for SMEs, while providing greater revenue to the government in interest charges and reducing the per-loan cost of delivering the program.
\nOverhauling the CSBFP would create greater access to capital for SMEs, a more effective tool for Canada’s smaller businesses versus the Productivity Super-Deduction.
\nThe budget is both ambitious and vague – which could be an opportunity for SMEs
\nOverall, the budget invests in many of Canada’s strengths, and rightfully so. But it misses out on the 50% of the economy that is driven by small and medium-sized enterprises. But alas!, all is not lost. Why do we think so?
\nThe budget document is heavy on direction, but light on details. We believe this means the budget will act as a mandate for various government ministries, who will be tasked with fleshing out the details. This indicates a window of opportunity, given that civil servants will be thinking through implementation design and listening for ideas. Unfortunately, there is no mandate for SMEs in this budget, making it difficult to insert our membership base into the conversation.
\nNonetheless, we believe SMEs need to be part of the conversation, and as such we will be reaching out to Ministers in November to brief them on the importance of the SME economy. The government already acknowledges that SMEs are facing financial pressures – a promising starting point. Our intent will be to help them close the loop on this large and significant sector of Canada’s economy.
", "image": "https://betterwayalliance.ca/media/posts/5/ottawa-parliament-hill-buildings.jpg", "author": { "name": "Aaron Binder" }, "tags": [ ], "date_published": "2025-11-07T12:00:00-05:00", "date_modified": "2026-04-04T09:54:01-04:00" }, { "id": "https://betterwayalliance.ca/why-commercial-rent-control-is-key-to-canadas-economic-sovereignty.html", "url": "https://betterwayalliance.ca/why-commercial-rent-control-is-key-to-canadas-economic-sovereignty.html", "title": "Why Commercial Rent Control is Key to Canada’s Economic Sovereignty", "summary": "The Trump administration’s tariffs and threats are hurting many Canadian businesses. But there is an equally concerning threat closing…", "content_html": "The Trump administration’s tariffs and threats are hurting many Canadian businesses. But there is an equally concerning threat closing main street doors and costing jobs: skyrocketing and unregulated commercial rent increases.
\nBusiness closures in Ontario increased by almost 10% between January 2023 and January 2024. I interviewed a dozen long-time business owners in Ontario who say they wouldn’t start their businesses here today if given the chance to begin again. These are skilled entrepreneurs, often running family businesses with decades of experience. The problem isn’t their business models or talent—it’s the mounting external pressures that make success so difficult.
\nWhile business costs are up across the board, one of the biggest pain points is commercial rent. According to a recent survey by the Better Way Alliance (BWA), a network of Canadian business owners that advocate for fair wages, reasonable work hours and equitable workplace conditions, 75 per cent of businesses that had renewed their commercial leases experienced a rent increase by double or triple digits.
\nAccording to the Toronto Regional Real Estate Board, retail rents in Toronto have risen by a whopping 128 per cent since 2020. In cities like Toronto, Vancouver and Waterloo, industrial rents have doubled over the past eight years and, in 2024, approximately half of businesses across Canada reported difficulty coping with rising occupancy costs.
\nLarge commercial real estate landlords, and the global multinationals that can afford their storefront leases, are transforming our neighbourhoods in ways that undermine Canada’s economic resilience and economic sovereignty. We’ve all seen a new condo tower wipe out local shops and replace them with predictable pizza chains and cookie-cutter convenience stores–often owned by global firms or American investors.
\nWhen those local independent businesses close, we’re not just losing unique retail shops and services—we’re losing good jobs for local workers, wiping out retirement savings for long-time business owners and making it harder for new entrepreneurs to take the leap.
\nContrary to some beliefs, a shortage of commercial real estate is not what’s behind the rising rents. Often, big landlords have little incentive to negotiate fairly, because they’re willing to forgo rent payments today to hold out for a higher-paying tenant tomorrow—even if it means leaving storefronts vacant. For some commercial real estate investors, leaving the property empty and expecting appreciation in its value is a perfectly reasonable business strategy, even if it is bad for the community.
\nIn Canada, commercial renters don’t have the same legal protections as residential tenants. Policymakers and the public both understand that if a business faces tariffs of 25%, they may not be able to survive. And yet provincial and territorial governments have been unwilling to step in to prohibit commercial rent increases of 25% or far more.
\nThe exploitation happens because it’s been allowed to happen. Commercial leases are not only not protected by province- or territory-wide rent control caps, but most jurisdictions don’t offer affordable dispute resolution: in Ontario, for instance, commercial landlords can evict a tenant only 16 days after rent is missed, effectively making it impossible to withhold rent if a landlord has failed to cover unexpected repairs or renovations.
\nThere are jurisdictions that have solved for commercial rent hikes that we can learn from in this moment.
\nFrance caps commercial rent increases at 10 per cent between lease terms and prohibits tenants from paying for major repairs. Small retail tenants in Australia have access to mediation services for disputes. In New York, tax incentives encourage landlords to lease long-term to local businesses in order to create jobs and California recently adopted progressive legislation that caps rent increases for small brick-and-mortar businesses, while granting tenants additional protections.
\nIn Vancouver, the New Westminster city council passed a motion in 2024 asking the province to explore commercial rent controls to help local businesses and Toronto City Council followed suit shortly after. Toronto voted almost unanimously for a motion that requested the Province of Ontario implement commercial rent reform and other legal protections for commercial tenants—unfortunately, for all its “Canada is not for sale” talk (and hats), the province has not yet moved on these small business protections.
\nUrgent, actionable changes to provincial and territorial commercial tenancies acts can level the playing field for Canadian small businesses under threat. These include:
\nWith commercial rent control, small businesses could focus on growing and investing in their businesses, rather than grappling with uncertain rent spikes. Especially right now, this kind of growth is crucial in fostering the wellbeing of local economies, protecting and generating Canadian jobs and keeping Canadian businesses locally owned.
\nA lack of commercial tenancy protections causes undue financial distress and threat of closure. Smart policy in the commercial rent market would provide Canada’s small businesses the vital opportunity to make the investments necessary to overcome this moment.
\nCanadians are seized with a commitment to buy locally. But many of our policy frameworks are crushing local small businesses, and the only ones that can afford rent are the big global chains. That is not good for the resilience of Canadian businesses or communities. It is also clearly not what Canadians want.
\nLearn more about the Better Way Alliance’s comprehensive plan for commercial rent modernization – commercialrent.ca
", "author": { "name": "Aaron Binder" }, "tags": [ ], "date_published": "2025-04-03T12:00:00-04:00", "date_modified": "2026-04-13T09:46:02-04:00" }, { "id": "https://betterwayalliance.ca/supercharging-small-business-in-canada-the-next-move.html", "url": "https://betterwayalliance.ca/supercharging-small-business-in-canada-the-next-move.html", "title": "Supercharging Small Business in Canada: The Next Move", "summary": "With eight recent or upcoming Provincial and Territorial elections across Canada and a new Prime Minister set to call…", "content_html": "With eight recent or upcoming Provincial and Territorial elections across Canada and a new Prime Minister set to call an election in the upcoming months, the next four years present a clear opportunity to start building an economy that truly works for our country’s locally owned small and medium businesses.
\nSmall and medium sized businesses (< 250 paid employees) make up 99% of employers in Canada. That’s over 1 million businesses keeping our communities vibrant, creating 7.9 million jobs, and driving innovation. And yet, rents are crushing them, insurance is bleeding them dry, and retiring business owners are having difficulty finding local buyers.
\nAll levels of government have a strong mandate to build a powerful grassroots economy across the province to protect and grow employment beyond 60% of Canada’s workforce and generate more GDP in the face of tariffs from our southern neighbour. But tweaks in our industrial policies won’t cut it. If Canada is serious about economic strength, we need bold action beyond tax cuts.
\nThe usual small business playbook of tax cuts isn’t enough. Small businesses don’t need to save a thousand dollars here or there; they need a playing field that isn’t tilted against them. That means:
\nOther countries are getting this right—so we can too. In Singapore, targeted support for small enterprises has strengthened local innovation. South Korea’s Ministry of SMEs and Startups has helped businesses scale while keeping ownership local. Texas’ business-friendly policies have fueled job growth and economic expansion. Canadian jurisdictions can adopt proven strategies that enable small businesses to thrive instead of forcing them to operate in survival mode.
\nOne way to start is by taking inspiration from Canada’s Digital Main Street program. During the pandemic, this initiative helped small businesses modernize through funding e-commerce infrastructure and digital upgrades for small businesses.
\nA similar model – a $2,400 grant for SMEs to support higher wages tied to a career-development or skills-growth plan – could jump-start workforce investment, giving small business owners the initial capital and confidence to offer better wages, improve retention, and reinvest in local economies.
\nEven at the smallest of employers, this program could upskill the workforce, increase business revenues, and put wealth into frontline employees’ pockets – circulating cash where it’s needed most. The productivity and business decisions such an investment creates provides SMEs with the future cash flow they need to fund wages and upskilling on an ongoing basis, raising Canada’s overall productivity and worker retention rates.
\nOur policymakers can also look at how other jurisdictions finance small business growth. Community Development Financial Institutions (CDFIs) in the U.S. provide targeted lending to small businesses that struggle with traditional bank financing. The European Union’s Small Business Act ensures that regulations are designed with small businesses in mind. Poland’s Special Economic Zones offer tax incentives for locally owned businesses. Ontario can integrate these ideas to create an ecosystem where small businesses don’t just survive – they thrive.
\nLet’s stop managing decline. Let’s start building something stronger.
\nLearn more about our policy vision for Ontario’s small business ecosystem.
", "author": { "name": "Aaron Binder" }, "tags": [ ], "date_published": "2025-03-26T12:00:00-04:00", "date_modified": "2026-04-13T09:54:58-04:00" } ] }