Some Tim Horton’s sent out a letter to its employees letting them know and sign that they have read and understood the changes to their pay system / incentive program.
Before you read this letter, please keep in mind that Daniel Schwartz the CEO of Tim Hortons made $6,173,993 in total compensation in 2016. Also note that most Tim Hortons small business owners make a net profit (after taxes, salaries, expenses etc. are paid) of roughly over $300,000 on each location they run.
Click here to read the full letter. Here is what the letter said:
DEAR TEAM MEMBERS:
It is with great regret that Ron Joyce Jr. Enterprises (Tim Hortons) finds it necessary to make the following changes to our incentive programs, paid breaks, and policies.
These changes are due to the increase of wages to $14.00 minimum wage on January 1, 2018, then $15.00 per hour on January 1, 2019, as well as the lack of assistance and financial help from our Head Office and from the Government. The decisions of the following are the results of intense discussions with management and numerous small business owners in our area and other franchise owners.
Breaks will no longer be paid. A 9 hour shift will be paid for 8 hours and 20 minutes: 8 hour shift will be paid for 7 hours and 30 minutes: 7 hour shift will be paid for 6 hours and 30 minutes: 6 hour shift will be paid for 5 hours and 30 minutes: 5 hour shift will be paid fir 4 hours and 45 minutes: 4 hour shift will nee paid for 3 hours and 45 minutes: 3 hour shift will be paid for 2 hours and 45 minutes.
The incentives of working on your birthday and the day off with pay after six months of not calling in are cancelled.
The incentives of receiving bonus’ for covering shifts when called on days off and a day of pay for death in immediate family will continue.
Dental and Health Benefits will continue, but members will be required to cover the cost of the benefits by the following.
Over 5 years of employment will pay 50% of the cost of their benefits.
Employees with 6 months up to 5 years will pay 75% of their benefits cost.
Any employee may cancel their benefits if they wish. Please let us know as soon as possible.
We apologize for these changes. Once the costs of the future are better known we may bring back some or all of the benefits we have had to remove. All the above will become effective January 1, 2018.