State Minimum Wage Chart State-by-State Requirements

usa minimum wage

The figures don’t include city and county minimum wage increases. Employers must also display new labor law posters for employees in the workplace. There are federal and state labor law postings required for every business. In both of these states, the minimum wage sits at $5.15 per hour. However, employers and employees covered by the FLSA are entitled to the federal minimum wage, which is $7.25. Furthermore, workers covered by both the state minimum wage law and FLSA are entitled to receive the federal minimum rate (since it’s a higher wage).

What is US minimum wage 2023?

Is the Federal Minimum Wage Rising in 2023? No. The federal minimum wage has remained $7.25 since 2009.

President Joe Biden has campaigned to raise the federal minimum wage to $15 per hour. He signed an executive order in 2022 raising it to that level for federal workers and contractors. Below is a table outlining upcoming changes to the hourly state minimum wages and when these changes are taking place to help employers stay ahead of what’s coming and be proactive with labor law compliance. The federal minimum wage provisions are contained in the Fair Labor Standards Act (FLSA).

Which State Has the Lowest Minimum Wage?

While 4.3% of hourly workers between 16 and 24 years old earn $7.25 per hour or less, 1.4% for hourly workers over the age of 25 are. President Biden proposed raising the federal minimum wage to $15 an hour as a part of his $1.9 trillion stimulus plan. The Census Bureau breaks annual earnings data into deciles and publishes the percentage of people who are in each of those 10 income brackets. To estimate the percentage of single people earning close to or below the living wage, we matched MIT’s living wage estimates for each state to the corresponding Census Bureau income bracket. To make it easier to identify updates, we’ve provided a list of 2023 and 2022’s hourly minimum wages by state. Keep in mind this list doesn’t consider every city or municipality with its own wage requirement.

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The living wage is a subjective concept calculated by policymakers and advocacy groups that works backward to calculate a wage to cover the basic needs and expenses of individuals in particular areas. In cases where the minimum wage is less than the estimated living wage, the suggestion is that earnings usa minimum wage from a full-time minimum-wage job are not enough to support someone without additional income or aid. Among hourly workers without a high school degree, 3.1% earn the minimum wage or less. That’s compared to 2% of high school graduates and 1.2% of workers with a bachelor’s degree or higher.

What is the highest minimum wage in the world?

Luxembourg. Luxembourg offers the highest minimum wage of any country worldwide at US$3,169 (EUR 2,936) per month for skilled talent over the age of 18. Unskilled talent, or talent under the age of 18, receives a lower monthly minimum wage: Unskilled workers 18 years of age and older: US$2,641 (EUR 2,447)

Today, the US federal minimum wage sits at $7.25 per hour — and it has been that way since the 24th of July 2009. This change was a result of the Fair Minimum Wage Act of 2007 which proposed a gradual increase in the minimum wage. So, at the beginning of the 1900s, several states adopted minimum wages in an attempt to regulate the issue of low pay. However, in 1923, the US Supreme Court ruled against state minimum wages and found them to be unconstitutional. More than half of the workers in the United States work entry level and minimum wage jobs, according to the BLS. As the majority workforce, they’re an essential part of nearly every industry.

Minimum wage expected to increase in at least 20 U.S. states in 2023

“The movement to raise wages continues to gain momentum,” said Yannet Lathrop, NELP’s senior researcher and policy analyst. The BLS is committed to providing data promptly and according to established schedules. Automated retrieval programs (commonly called “robots” or “bots”) can cause delays and interfere with other customers’ timely access to information. Therefore, bot activity that doesn’t conform to BLS usage policy is prohibited.

usa minimum wage

This increase was largely in response to inflation and one of the most competitive labor markets in history. According to the BLS, at least half of U.S. states will increase the minimum wage again for 2023 (as of Dec. 1, 2022). Minimum wages are set to go up across the country in the new year.

Government data from over 70 sources organized to show how the money flows, the impact, and who “the people” are. “I think the crux of it is that low pay in this country is a very widespread problem,” says Zipperer. There are many reasons why states won’t hike theirs minimums accordingly, more even than those outlined above. “The simple answer is, there are a lot of powerful people who don’t want that to happen,” he says.

Following the enactment of the Puerto Rico Minimum Wage Act (Law 47 of 2021) there will be a yearly increase of the minimum wage from $7.25 to $10.50 per hour by July 1, 2024. Yes, your wages still have to add up to at least minimum wage for each hour you worked. Others have scheduled yearly adjustments based on set formulas or are tied to inflation and changes in the Consumer Price Index (CPI — measures price changes over time).

Federal minimum wage law doesn’t cover all workers.

Cities and counties in certain states have their own minimum wage ordinances, allowing them to regulate local minimum wage rates. The following table provides more information on local minimum wage regulations. Companies with multiple locations have different options to align workers with the minimum wage in their respective city, county and state. But other employers apply the highest minimum wage from municipalities in which they operate to all locations. For example, many large corporations like CVS, Target, and Starbucks choose instead to raise their minimum wage company-wide. Thirty states and Washington, D.C., have higher minimum-wage rates than federal law.

usa minimum wage

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