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Employers Prepare for Patchwork of Minimum Wage Rates for 2017
Thursday, December 22, 2016

With the federal minimum wage stalled at $7.25 an hour since 2009, states, counties, and local governments have increasingly stepped in and passed legislation raising the minimum wage above the federal level. Because federal law does not prevent other jurisdictions from passing laws that are more protective of employees (the federal law establishes only a floor), the higher minimum wage rate in the employer’s jurisdiction applies.

In a 14-mile drive along the 101 in northern California between Palo Alto and Santa Clara, a job seeker will find four different hourly minimum wage rates, ranging from $10.50 (Los Altos) to $13.00 in Sunnyvale and Mountain View.

New York State, subject to the issuance of final regulations expected any day now, will be fractured into three different regions, each with different hourly minimum wage rates, as well as two separate rates for employers in New York City, depending on the size of the employer (large or small), and different rates for fast food workers.

It seems that no jurisdiction is too small. The small city of Emeryville, California, with an area of just 1.25 square miles has even established its own minimum wage rates.

Below are minimum wage increases slated to go into effect in the new year (January 1, 2017, unless otherwise noted). Increases range from a nickel all the way to $2.00 per hour. Anticipated increases in several jurisdictions are subject to legal challenge.

Jurisdiction

Rate

Increase

Alaska

$9.75

$0.05

Arizona

$10.00

$1.95

Arkansas

$8.00

$0.50

California (statewide, for employers with at least 26 employees)

$10.50

$0.50

    Cupertino, CA

$12.00

$2.00

    El Cerito, CA

 $12.25

 $0.65

    Long Beach, CA

 $10.50

 $0.50

    Los Altos, CA

 $10.50

 $0.50

    Mountain View, CA

 $13.00

 $2.00

    Oakland, CA

 $12.86

 $0.31

    

 

 

    Palo Alto, CA

 $12.00

 $1.00

    Richmond, CA

 $12.38

 $0.78

    Sacramento, CA

 $10.50

 $0.50

    San Diego, CA

 $11.50

 $1.00

    San Jose, CA

 $10.50

 $0.20

    Santa Clara, CA

 $11.10

 $0.10

    Sunnyvale, CA

 $13.00

 $2.00

Colorado

$9.30

$0.99

Connecticut

$10.10

$0.50

Florida

$8.10

$0.05

Hawaii

$9.25

$0.75

Iowa, Johnson County

$10.10

$0.95

Iowa, Wapello County

$10.10

$0.95

Maine (statewide)

$9.00

$1.50

    Portland, ME

$10.68

$0.58

Massachusetts

$11.00

$1.00

Michigan

$8.90

$0.40

Missouri

$7.70

$0.05

Montana

$8.15

$0.10

New Jersey

$8.44

$0.06

New Mexico

 

 

    Albuquerque, NM

$8.80/$7.80 (if employer pays $2,500 annually toward health or childcare)

$0.05

    Bernalillo County, NM

 $8.70

 $0.05

    Las Cruces NM

$9.20

$0.80

New York (statewide)

$9.70

$0.70

    New York City (employers with 10 or fewer employees)

$10.50

$1.50

    New York City (employers with at least 11 employees)

$11.00

$2.00

    New York City (for fast food employers)

$12.00

$1.50

    Nassau, Suffolk, and Westchester Counties

$10.00

$1.00

Ohio

$8.15

$0.05

South Dakota

$8.65

$0.10

Vermont

$10.00

$0.40

Washington (statewide)

$11.00

$0.53

    Seattle, WA (500+ employees in the U.S.)

$15.00/$13.50 (if employer pays toward medical benefits plans)

$2.00/$1.00

    Seattle, WA (

$13.00/$11.00 (if employee receives tips or employer pays money toward medical benefits equivalent to $2.00 per hour)

$0.50/$1.00

    SeaTac (hospitality/transportation workers)

$15.35

$0.11

    Tacoma, WA

$11.15

$0.80

(Increases to minimum wage in Kansas City and St. Louis in Missouri, scheduled to go into effect on January 1, 2017, have been postponed due to legal challenges. A ruling is expected soon.)

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