By Thomas Berry
While the federal minimum wage remains unchanged at $7.25 per hour, both “red” and “blue” states continue to increase the required minimum wage rate under state law above the federal minimum wage rate on an increasing basis. As we previously reported, the minimum wage for Missouri employers increased on January 1, 2015 to $7.65 per hour. While there were efforts by the Illinois legislation to increase the state minimum wage rate to over $10.00 per hour in 2015, it was unable to pass both houses. Accordingly, the Illinois minimum wage rate remains at $8.25 per hour.
In addition to Missouri, 17 other states increased their minimum wage to varying amounts, effective January 1, 2015. Two other states (Alaska and Delaware) approved minimum wage increases that will take effect later this year. For those employers that only conduct business in either Illinois or Missouri, it is, of course, easier to keep track of the required minimum wage rate. For those employers with operations in different locations, it becomes an increasing challenge for employers to ensure that they are staying abreast of all required minimum wage changes throughout the country.
Finally, the federal government has increased the minimum wage rate for federal contractors to $10.10 per hour. Your Sandberg Phoenix Employment Team can certainly ensure continued compliance with all state and local minimum wage requirements, now and in the future.