Dozens of states to raise minimum wage in 2023

As early as January 2023, minimum wage workers in two dozen states will see an increase. Three more states and the District of Columbia will follow suit in 2023, but a little later. The edition told in more detail AS.

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Three states will raise the minimum wage to $15 or more, joining California and the District of Columbia, as well as several municipalities that have already set such levels. This amount is more than double the federal minimum wage of $7,25 an hour, which has been in effect since the summer of 2009.

States are raising the minimum wage

While the federal minimum wage has remained at its current level, since 2014, more than two dozen states and Washington, D.C. have increased the base hourly wage. They are joined by 46 localities across the country, which require employers to pay their workers in excess of the level established by federal law.

The most recent measures have been taken in Nebraska, Nevada and the District of Columbia. In November, Nebraska approved an increase in the minimum wage to $15 an hour by 2026. Nevada increased to $12 for all workers.

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In Washington, D.C., hourly wages for tipped workers will reach $2027 an hour by 16,10, up from the current $5,35.

Salary in different states before and after the increase:

• Alaska - $10,34 (2022) - $10,85 (from January 1, 2023)
• Arizona - $12,80 (2022) - $13,85 (from January 1, 2023)
• California - $15 (2022) - $15,50 (from January 1, 2023)
• Colorado - $12,56 (2022) - $13,65 (from January 1, 2023)
• Connecticut - $14 (2022) - $15 (from June 1, 2023)
• Delaware - $10,50 (2022) - $11,75 (from January 1, 2023)
• District of Columbia - $16,10 (2022) - not yet announced (effective July 1, 2023)
• Florida - $11 (2022) - $12 (from September 30, 2023)
• Illinois - $12 (2022) - $13 (from January 1, 2023)
• Maine - $12,75 (2022) - $13,80 (from January 1, 2023)
• Maryland - $12,50 (2022) - $13,25 (from January 1, 2023)
• Massachusetts - $14,25 (2022) - $15,00 (from January 1, 2023)
• Michigan - $9,87 (2022) - $10,10 (early year) and $13,03 (later in 2023)
• Minnesota - $10,33 (2022) - $10,59 (from January 1, 2023)
• Missouri - $11,15 (2022) - $12,00 (from January 1, 2023)
• Montana - $9,20 (2022) - $9,95 (from January 1, 2023)
• Nebraska - $9 (2022) - $10,50 (from January 1, 2023)
• Nevada - $10,50 (2022) - $12,00 (from January 1, 2023)
• New Jersey - $13,00 (2022) - $14,13 (from January 1, 2023)
• New Mexico - $11,50 (2022) - $12,00 (effective January 1, 2023)
• New York (NYC/Upstate) - $15,00/13,20 (2022) - $15,00/14,20 (effective December 31, 2022)
• Ohio - $9,30 (2022) - $10,10 (from January 1, 2023)
• Oregon - $13,50 (2022) - not yet announced (effective July 1, 2023)
• Rhode Island - $12,25 (2022) - $13,00 (effective January 1, 2023)
• South Dakota - $9,95 (2022) - $10,80 (from January 1, 2023)
• Vermont - $12,55 (2022) - $13,18 (from January 1, 2023)
• Virginia - $11 (2022) - $12 (from January 1, 2023)
• Washington - $14,49 (2022) - $15,74 (from January 1, 2023)

Things are a little complicated in Michigan. The minimum wage will rise to $10,10 at the beginning of the year. However, everything depends on the final decision on an appeal against a court decision that found changes to the state minimum wage law unconstitutional.

The minimum wage could be raised later in 2023 to $13,03 for non-tipped workers and $11,73 an hour for tipped workers. In addition, the minimum wage for those who receive tips will increase from January 1 to $3,84 (from $3,75).

States Automatically Adjust Minimum Wage to Inflation

Of the 30 states and Washington, DC that have laws that set minimum wages above the federal base, eleven of them and Washington, DC, currently index their minimum wages. Eight others are also planning to do so.

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Currently, there are only a few states that have minimum wages above $13 an hour. But through indexing and planned increases, that number will rise to at least 14, including DC, in 2023. This is mainly the northeast of the United States and the west coast.

$15 an hour is not enough to keep a family afloat

A study published by Oxfam America, a pro-poor advocacy group, found that 52 million Americans (one in three) earn less than $15 an hour. However, even those fortunate enough to live where base wages are higher are likely to still struggle.

According to the Massachusetts Institute of Technology's cost of living calculation, the US cost of living is $24,16 per hour before taxes for a family of four. This estimate is nearly $3 an hour higher than a year earlier. While the cost of living varies from state to state and in urban and rural areas, the places with the highest minimum wages tend to have the highest cost of living.

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