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State and Local Minimum Wages Set to Increase in 2016

Posted by: on December 28, 2015 in Payroll


shutterstock_143787124 Many state and city minimum wage laws are set to change in 2016. Employers with locations in various jurisdictions should be mindful of the state and local minimum wage increase that will soon take effect. Below is a chart of what to expect in the New Year.

Jurisdiction

 Current

New

Effective Date

Notes
Alabama – Birmingham only

$7.25

$8.50

7/1/16

Alaska

$8.75

$9.75

1/1/16

Arkansas

$7.50

$8.00

1/1/16

California

$9.00

$10.00

1/1/16

California - Berkeley only

$11.00

$12.53

10/1/16

California - Emeryville only

$12.25 or $14.44

$13.00 or TBD

7/1/16

The minimum wage for employers with 56 or more employees in Emeryville will be set by consumer price indexing, currently estimated to be $14.82.
California - Los Angeles

$9.00

$10.50

7/1/16

Businesses with fewer than 26 employees will not be subject to the new minimum wage until 7/1/17.
California - L.A. County only

$9.00

$10.50

7/1/16

Businesses with fewer than 26 employees will not be subject to the new minimum wage until 7/1/17.
California - Mountain View only

$10.30

$11.00

1/1/16

California - Oakland only

$12.25

$12.55

1/1/16

California - Palo Alto only

$9.00

$11.00

1/1/16

California - Richmond only

$9.60

$11.52

1/1/16

Employers that pay $1.50 per hour towards health benefits plan may pay $10.02.
California - San Francisco only

$12.25

$13.00

7/1/16

California - Santa Clara only

$9.00

$11.00

1/1/16

California - Sunnyvale only

$10.30

$11.00

7/1/16

Colorado

$8.23

$8.31

1/1/16

Connecticut

$9.15

$9.60

1/1/16

Dist. of Columbia

$10.50

$11.50

7/1/16

Hawaii

$7.75

$8.50

1/1/16

Illinois - Chicago only

$10.00

$10.50

7/1/16

Kentucky - Lexington only

$7.25

$8.20

7/1/16

Kentucky - Louisville only

$7.75

$8.25

7/1/16

Maine - Portland only

$7.50

$10.10

1/1/16

Maryland

$8.25

$8.75

7/1/16

Maryland - Montgomery County only

$9.55

$10.75

7/1/16

Certain recreational facilities need only pay 85% of the regular minimum wage.
Maryland - Prince George's County only

$9.55

$10.75

10/1/16

Certain recreational facilities need only pay 85% of the regular minimum wage.
Massachusetts

$9.00

$10.00

1/1/16

Michigan

$8.15

$8.50

1/1/16

Minnesota

$7.25 or $9.00

$7.75 or $9.50

8/1/16

Businesses with an annual sales volume of $500,000 or more pay the higher rate.
Nebraska

$8.00

$9.00

1/1/16

New York

$8.75

$9.00

12/31/15

Fast food workers must be paid $9.75, or $10.50 if in NYC.
Rhode Island

$9.00

$9.60

1/1/16

South Dakota

$8.50

$8.55

1/1/16

Vermont

$9.15

$9.60

1/1/16

Washington - Seattle only

$11.00

$10.50 to $13.00

1/1/16

Businesses with more than 500 employees pay $13.00; large employers contributing to health benefits pay $12.50. Smaller employers that pay $1.50/hour towards health benefits pay $10.50, and those that do not pay $12.00.
Washington - Tacoma only

$9.47

$10.35

2/1/16

West Virginia

$8.00

$8.75

12/31/15



Note: While the federal minimum wage will remain steady at $7.25 for 2016, federal contractors must pay a minimum wage of $10.15 to those employees working on contracts entered into on or after January 1, 2016 (an increase from $10.10).

Note: These wage rates do not include minimum wage rates for tipped employees, which may vary by jurisdiction.  

Please connect with your HR Consultant if the changes above will impact your business and employees.

If you have immediate questions or need further assistance, please call Emplicity's HR Line at 1-877-476-2339.