February 21, 2024

With the federal minimal wage mired at $7.25 an hour since 2009, many cities and states have been taking it upon themselves to set the bar greater. And generally, greater once more.

The truth is, minimal wage earners in 22 states and 38 cities and counties received a pay bump on Jan. 1.

Right this moment, the best minimal wages, by state and Washington, D.C., are in D.C. ($17), Washington ($16.28), California ($16), Connecticut ($15.69) and New Jersey ($15.13). As well as, New York, Massachusetts and Maryland all have minimal wages of $15.

On the extra native degree, 58 cities and counties have minimal wages set greater than their state’s wage. All the prime 10 are within the West, and the highest three cities are shut neighbors:

  1. Tukwila, Washington: $20.29.
  2. Seattle: $19.97.
  3. SeaTac, Washington: $19.71.
  4. West Hollywood, California: $19.08.
  5. Mountain View, California: $18.75.
  6. Emeryville, California: $18.67.
  7. Sunnyvale, California: $18.55.
  8. Denver: $18.29.
  9. San Francisco: $18.07.
  10. El Cerrito, California: $17.92.

This yr’s state and native minimal wage will increase are estimated to influence 9.9 million employees, in accordance with the Financial Coverage Institute, which tracks minimal wage modifications.

Of these 22 state will increase on Jan. 1, 14 have been on account of computerized inflation changes. Two different locations have computerized changes on July 1 every year: Washington, D.C., and Oregon. However the state with the best improve as of Jan. 1 was Hawaii: a $2 improve to $14, representing a 28% bump.

Who’s most certainly to earn minimal wage?

A 2023 Bureau of Labor Statistics report highlights the demographic traits of employees making minimal wage or much less in 2022. These employees are most frequently:

  • Younger: 45% are below the age of 25.
  • Girls: 2% of girls in comparison with 1% of males.
  • Black: 2% are Black in comparison with 1% amongst all different race and ethnicity teams.
  • Half-time employees: 3% work fewer than 35 hours per week in comparison with 1% of full-time employees.
  • Within the leisure and hospitality trade: 3 in 5 of all employees at or beneath the federal minimal wage degree work in eating places, bars and different meals companies.
  • College students, these with some school expertise or affiliate diploma holders: 2% have some school expertise or maintain a two-year diploma in comparison with 1% of employees and not using a highschool diploma or these with a bachelor’s diploma and better.

Since 2009, the federal minimal wage has stayed caught at $7.25 per hour. It’s the longest stretch and not using a wage improve because the U.S. first instituted a minimal wage in 1938, federal knowledge reveals.

It’s price noting, nonetheless, that whereas 20 states have the minimal wage set to the federal minimal degree, that doesn’t imply nearly all of hourly paid employees aren’t incomes extra. In Louisiana and Mississippi, for instance, 3% of hourly paid employees are incomes $7.25 per hour. And in Alabama and Utah, it’s simply 1% of hourly paid employees.