COMP NEWS – A new year means a new minimum wage in many states – 23 of them, in 2023.

A new year means higher minimum wages in 23 states, leading to increased pay for an estimated 8.4 million US workers, according to the Economic Policy Institute

The rate hikes are the result of a variety of factors, including inflation, state legislation, and ballot measures. They will benefit women and workers of color most, as noted by Insider’s Juliana Kaplan.

As a result of the boosts, two states will reach the $15-an-hour minimum for the first time, a salary floor that activist groups like Fight For $15 have pushed for heavily in recent years.

With the help of activist efforts and legislators, states and cities have been working independently to increase rates as the federal minimum wage stagnates at $7.25 — an amount that hasn’t risen in 13 years.

Here’s the full list of states increasing minimum wage and the new rates coming in 2023, according to NELP data:

  • Alaska: $10.85, up from $10.34
  • Arizona: $13.85, up from $12.80
  • California: $15.50, up from $14 for small employers and $15 for large employers 
  • Colorado: $13.65, up from $12.56
  • Delaware: $11.75 (with legislation to reach $15 by 2025), up from $10.50
  • Illinois: $13 (with legislation to reach $15 by 2025), up from $12 
  • Maine: $13.80, up from $12.75
  • Maryland: $13.25 for large employers and $12.80 for small employers (with legislation to reach $15 by 2025), up from $12.50 and $12.20, respectively
  • Massachusetts: $15, up from $14.25
  • Michigan: $10.10 (with pending legislation to reach $12.05 by 2030), up from $9.87
  • Minnesota: $10.59 for large employers and $8.63 for small employers, up from $10.33 and $8.42, respectively
  • Missouri: $12, up from $11.15
  • Montana: $9.95 (based on 2006 legislation), up from $9.20 
  • Nebraska: $10.50 (with legislation to reach $15 by 2026), up from $9
  • New Jersey: $14 for standard workers (with legislation to reach $15 by 2024-2027), up from $13
  • New Mexico: $12, up from $11.50
  • New York: $15 for New York City and suburbs/$14.20 upstate, up from $13.20 upstate 
  • Ohio: $10.10 (based on 2006 amendment), up from $9.30
  • Rhode Island: $13 (with legislation to reach $15 by 2025), up from $12.25
  • South Dakota: $10.80, up from $9.95
  • Vermont: $13.18, up from $12.55
  • Virginia: $12 (with legislation to reach $15 by 2026), up from $11
  • Washington: $15.74, up from $14.49

If you want to learn more about the legislative efforts that are pumping up minimum wage, click here.

For more Comp News, see our recent posts.

 

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