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Minimum-wage hikes take effect in 19 states
Summary
Nineteen states raised their minimum wage this month, affecting an estimated 8.3 million workers. Some states and cities now set hourly rates well above the $7.25 federal minimum.
Content
Nineteen states implemented higher minimum wages this month, affecting an estimated 8.3 million workers through inflation adjustments, new laws or voter-approved measures. The changes span Democratic- and Republican-controlled states and include both statewide increases and higher local rates. Voters and officials have cited rising costs of living and affordability as factors elevating the issue. Economists remain divided on the likely effects of higher minimum wages on prices and employment.
Key details:
- Nineteen states raised their minimum wage starting this month, and 30 states now have minimums above the federal $7.25 hourly floor.
- Washington adopted a state rate of $17.13 an hour on Jan. 1, the first state rate above $17, while Hawaii’s baseline rose by $2 to $16 an hour, the largest single-state jump.
- Nebraska and Missouri increased their minimums to $15 an hour after voter-approved ballot initiatives.
- Several local rates exceed state levels: Seattle’s minimum rose to $21.30, New York City/Long Island/Westchester set $17 for workers there (above the state’s $16), and Los Angeles passed a law setting $30 an hour for hotel and airport workers beginning in 2028.
- Smaller Colorado cities also raised pay: Edgewater moved to $18.17 and Boulder to $16.82 per hour.
- The federal minimum wage has not changed since 2009; additional state increases are scheduled in Alaska and Oregon on July 1 and Florida will reach $15 on Sept. 30.
Summary:
These changes raise the pay floor for millions of workers and shift more workers into states paying $15 or higher per hour. Economists continue to debate how such increases affect prices and employment, and the topic is also prominent in public opinion and upcoming elections. Undetermined at this time.
