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Legal Alert

Minimum Wage Increases In Store For Many In 2017

12.19.16

While the federal minimum wage has remained steady at $7.25 for the past seven years, many state and local jurisdictions have set their own minimum rates higher than the federal level. And, of course, when a local jurisdiction mandates a rate higher than the federal rate, you must pay your employees the higher rate.

Here is a listing of all the planned increases currently on tap for 2017. If your state or local jurisdiction is not listed, there is presently no increase in store for you in the new year. Obviously, though, these laws may change at any time, and you should consult with your local employment counsel before acting upon the information contained in this summary.

NOTE: These rates are for non-tipped employees. Check with your Fisher Phillips attorney, or with any attorney in the Fisher Phillips Hospitality Practice Group, for information about minimum wage rates for tipped employees.


The Alaska minimum wage will increase from $9.75 to $9.80 on January 1, 2017.


Arizona will see a minimum wage increase from $8.05 to $10.00 on January 1, 2017. Also, the city of Flagstaff will see an increase from $8.05 to $10.00 on January 1, 2017, and an additional increase to $12.00 on July 1, 2017.


The minimum wage for Arkansas will increase from $8.00 to $8.50 on January 1, 2017.


There will be plenty of activity in California. The statewide minimum wage will increase from $10.00 to $10.50 as of January 1, 2017 (although employers with 25 or fewer employees will receive a one-year reprieve and will not face the statewide increase in 2017), but 18 local jurisdictions in the state will also see minimum wage increases this coming year:


The Colorado minimum wage will increase from $8.31 to $9.30 on January 1, 2017.


Connecticut will see an increase to the state minimum wage increase from $9.60 to $10.10 as of January 1, 2017.


In the District of Columbia, the minimum wage will increase from $11.50 to $12.50 as of July 1, 2017.


The Florida minimum wage will increase from $8.05 to $8.10 as of January 1, 2017.


The minimum wage in Hawaii will increase from $8.50 to $9.25 on January 1, 2017.


In Illinois, the statewide minimum wage will remain steady in 2017, but employers in Chicago will see an increase from $10.50 to $11.00 on July 1, 2017, and those in Cook County will face an increase from $8.25 to $10.00 on the same date. 


While the minimum wage in Iowa is not scheduled to increase in 2017, three local jurisdictions will see increases:


In Maine, the minimum wage will increase from $7.50 to $9.00 as of January 7, 2017. In Portland, the increase to the minimum wage will be from $10.10 to $10.68.


Maryland’s minimum wage will increase from $8.75 to $9.25 on July 1, 2017. Also:


In Massachusetts, the minimum wage will increase from $10.00 to $11.00 on January 1, 2017.


The minimum wage in Michigan will increase from $8.50 to $8.90 as of January 1, 2017.


In Missouri, the minimum wage will increase from $7.65 to $7.70 as of January 1, 2017. Further:


Montana’s minimum wage will increase from $8.05 to $8.15 on January 1, 2017.


New Jersey’s minimum wage will increase from $8.38 to $8.44 on January 1, 2017.

While the minimum wage in New Mexico is not scheduled to increase in 2017, various local jurisdictions will see increases:


In New York, the minimum wage will increase from $9.00 to $9.70 on December 31, 2016. For fast-food employers outside of New York City, the minimum wage will increase from $9.75 to $10.75 on the same date.


The minimum wage in Ohio will increase from $8.10 to $8.15 as of January 1, 2017.


Oregon’s minimum wage will increase from $9.75 to $10.25 as of July 1, 2017, unless otherwise described below:


In South Dakota, the minimum wage will increase from $8.55 to $8.65 as of January 1, 2017.


The minimum wage in Vermont will increase from $9.60 to $10.00 on January 1, 2017.


Washington’s minimum wage will increase from $9.47 to $11.00 on January 1, 2017. Meanwhile:


The minimum wage for federal contractors covered by those regulations and Executive Order 13658 (primarily those with Davis-Bacon Act and Service Contract Act contracts) will increase from $10.15 to $10.20 effective January 1, 2017. 

For more information, visit our website at www.fisherphillips.com, or contact your regular Fisher Phillips attorney.


This Legal Alert provides an overview of state and local minimum wage increases. It is not intended to be, and should not be construed as, legal advice for any particular fact situation.

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