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State Minimum Wage Increases For 2017

state minimum wage increases for 2017

Just a few days in, 2017 is already a big year for state minimum wage increases.

Nineteen states rang in the New Year with increases to their state minimum wages. The reasons for the increases were almost a dead-even three-way split between automatic increases based on cost of living (AK, FL, MO, NJ, OH, SD), previously approved ballot initiatives (AZ, AR, CO, ME, WA) and state legislation passed in prior sessions (CA, CT, HI, MA, MI, NY, VT).

In addition to those with minimum wage increases effective January 1, two more states (MD, OR) and Washington D.C. have minimum wage rate increases scheduled for later this year.

Does your business have employees in states with increased or increasing minimum wages?

Find out by exploring our interactive map below!

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For more detailed information on the state minimum wage rates, visit the Economic Policy Institute’s Minimum Wage Tracker.

How does minimum wage work?

The Fair Labor Standards Act (FLSA) requires certain employers, as defined by the law, to pay a minimum wage for all hours an employee is suffered or permitted to work. The federal minimum wage rate has been set at $7.25 an hour since 2009. Individual cities and states have the power, however, to set their minimum wages at a higher rate than that of the federal minimum wage.

The U.S. Department of Labor also enacted legislation earlier this year that requires federal contractors and subcontractors to pay workers performing on or in connection with federal grants covered by Executive Order 13658 (Establishing a Minimum Wage for Contractors). at least $10.20 per hour.

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Employers affected by these state minimum wage increases, or with questions about which minimum wage laws may or may not apply to them, should consult their employment counsel or compliance officer.

This article is not intended to be exhaustive nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel for legal advice.

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