Despite the negative publicity surrounding two Tim Horton’s locations in Cobourg, Ontario, Algonquin’s employees have not been affected.
The general manager of AC’s Food and Conference services, Mary Baxter, stated in an e-mail that “the individuals working at the location are employees of Algonquin College and therefore fall under college Human Resources policies and procedures.”
As a result of the minimum wage increases, Tim Hortons employees will be losing their dental and health benefits, but most are unaffected, including those at Algonquin’s Tim Hortons. Tim Hortons employees at Algonquin aren’t actually employed by the franchise and instead receive their benefits from Algonquin.
A letter from Jeri Horton-Joyce and Ron Joyce Jr., children of the co-founders of Tim Hortons, was written to employees at their two locations in Cobourg, Ont. dated Dec. 2017. The letter stated that benefits were being cut as a result of the minimum wage increase legislated by the provincial government. Employees can continue receiving their benefits if they pay a large portion of the costs themselves and have enough seniority.
Employee breaks are also no longer compensated. Employees working nine-hour shifts are paid for eight hours and 20 minutes and three-hour shifts are paid for two hours and 45 minutes.
The letter also included an apologized for the changes, saying that some or all of the benefits and wages may be returned at a later date once the costs are better known. Should more locations receive benefit cuts, however, employees at Algonquin don’t need to worry as they do not receive their benefits from Tim Hortons.
The letter stated there still may be a risk of the cuts spreading after the next wage increase at the start of 2019 if the increases cost Tim Hortons more than anticipated.