23 states raise minimum wage in 2015
The new year got more expensive for employers in 23 states, plus the District of Columbia. Or it will soon.
Nearly half of the states in the union will see a jump in the minimum wage in 2015.
And some of them aren’t small either. A few minimum wages increase by as much as 20%. That’s not small change for any business, even if the impact is on your lowest wage earners.
Is your state impacted?
Take a look at who’s getting a raise in this new year, so you can be sure your company remains in compliance.
- West Virginia – $8.00 – effective Jan. 1, 2015 (a 20.7% increase)
- Arkansas – $7.50 – effective Jan. 1, 2015 (a 20% increase)
- South Dakota – $8.50 – effective Jan. 1, 2015 (a 17.2% increase)
- Maryland – $8.00 – effective Jan. 1, 2015 (a 13.8% increase) and then $8.25 effective July 1, 2015
- Alaska – $8.75 – effective Feb. 24, 2015 (a 12.9% increase)
- Minnesota – $9.00 for large employers, $7.25 for small employers, effective August 1, 2015
- Massachusetts – $9.00 – effective Jan. 1, 2015 (a 12.5% increase)
- New York – $8.75 – effective Jan. 1, 2015 (a 12.5% increase)
- Rhode Island – $9.00 – effective Jan. 1, 2015 (a 12.5% increase)
- Washington DC – $10.50 – effective July 1, 2015 (a 10.5% increase)
- Nebraska – $8.00 – effective Jan. 1, 2015 (a 10.3% increase)
- Hawaii – $7.75 – effective Jan. 1, 2015 (a 6.9% increase)
- Delaware – $8.25 – effective June 1, 2015 (a 6.5% increase)
- Connecticut – $9.15 – effective Jan. 1, 2015 (a 5.2% increase)
- Vermont – $9.15 – effective Jan. 1, 2015 (a 4.8% increase)
- Colorado – $8.23 – effective Jan. 1, 2015 (a 2.9% increase)
- Missouri – $7.65 – effective Jan. 1, 2015 (a 2.0% increase)
- Arizona – $8.05 – effective Jan. 1, 2015 (a 1.9% increase)
- Montana – $8.05 – effective Jan. 1, 2015 (a 1.9% increase)
- Ohio – $8.10 – effective Jan. 1, 2015 (a 1.9% increase)
- Oregon – $9.25 – effective Jan. 1, 2015 (a 1.6% increase)
- Washington – $9.47 – effective Jan. 1, 2015 (a 1.6% increase)
- New Jersey – $8.38 – effective Jan. 1, 2015 (a 1.6% increase), and
- Florida – $10.50 – effective Jan. 1, 2015 (a 1.5% increase).
One minimum wage change across all 50 states
Remember, employers in certain industries will face a higher minimum wage, no matter where you’re located.
In the fall, the Department of Labor finalized its regs, setting a $10.10 per hour minimum wage for federal contractors and subcontractors, effective Jan. 1, 2015.
You’ll have to pay that rate to service employees working on Service Contract Act contracts and laborers and mechanics working on Davis-Bacon Act contracts.
Note: Administrative personnel covered by the Fair Labor Standards Act must also be paid the new rate – but only for work done “in connection with” federal contracts.
One exception: The regs allow for an exclusion for administrative personnel if the work amounts to less than 20% of their workweek.
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