Depending on where you reside in the country, you may have seen a recent change in the wage floor. As of January 1, 2018, twenty states have increased their minimum wage. Those changes are laid out in the chart below.

Minimum Wage rates for 2017 compared to 2018

With continuous pressure from the Fight for $15 campaign, as well as recent revelations in the positive effect higher wage minimums have on businesses, more and more states have raised their minimum wage in lieu of federal action. Nineteen states adopting a higher wage minimum in 2017; Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Florida, Hawaii, Maine, Massachusetts, Michigan, Missouri, Montana, New Jersey, New York, Ohio, South Dakota, Vermont, and Washington. Some of these states will see a continuous, steady increase over the next several years as they inch closer to long-term pre-approved rates. However, most of the adopting states will receive only smaller incremental increases mostly attributed to inflation. Currently, the federal minimum stands at $7.25 an hour. This rate has remained unchanged since 2009 and has been raised prior on only two other occasions in the past decade.

Following the example of the states above, twenty cities are set to increase their minimum salary this year. Washington D.C. and New York City have already achieved a minimum salary of $12 with a goal to  reach $15.

Twenty-nine states now have a minimum wage higher than the federally mandated $7.25. By 2022, 17% of all Americans will reside in either a city or state with a $15 minimum wage.

Posted in: Business Law, Employment Law