May 01, 2014

State Governments Enacting Pay Increases Independently

While the proposed minimum wage hike to $10.10 is at a standstill in Congress, state governments are acting to enact pay increases independently. As of January 1, 2014, twenty-one states plus the District of Columbia have higher minimum wage requirements than the federal government’s current $7.25.

Currently, there are four states (Arkansas, Georgia, Minnesota, and Wyoming) that pay beneath the federal minimum wage, though many workers do automatically receive the federal rate. Some states are working on deals to increase their minimum wages using increments.

Recently, Connecticut approved a measure that would lift its minimum wage to $10.10 by 2017, making it the highest state minimum in the country and matching the level that President Obama pushed for federal. Delaware, West Virginia, Hawaii, and D.C. have also passed minimum wage increases this year, and 34 states, including Maryland, are also considering increases.

Minimum Wage by State, 2014

Please see the April 2014, Report #24 edition of DCR TrendLine for our analysis on the impact of the minimum wage increment on family income and employment.