TORONTO - A group representing Ontario restaurants says today's hike in the provincial minimum wage will hit the industry hard.

The 75-cent per hour increase -- the latest in a series of annual hikes -- boosts the rate to $10.25.

But the Canadian Restaurant and Foodservices Association says this will cost foodservice operators an extra $255 million in wage costs annually.

Stephanie Jones, of the group's Ontario branch, says she's received an "overwhelming number" of outraged calls and emails from restaurants.

She says an eight per cent hike in the wage when inflation is just 0.4 per cent, will force restaurant owners to cut hours and jobs.

Jones points out that Ontario's $23 billion restaurant industry employs 400,000 people and creates thousands of spin-off jobs.