Six states have announced their annual adjustments to their minimum wages for inflation.
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Get Your Report Now!The six states are Arizona, Missouri, Montana, Ohio, Oregon, and Washington.
Arizona's minimum wage will rise from $6.75 to $6.90 per hour effective January 1, 2008. Arizona's Minimum Wage Initiative requires the state to adjust its minimum wage annually for inflation.
This change will mean that Arizona's minimum wage in 2008 will exceed the federal minimum wage. The federal minimum wage increased to $5.85 per hour in July of 2007. In July of 2008, the federal minimum wage will increase to $6.55. In July of 2009, the federal minimum wage will rise to its statutory maximum of$7.25 per hour.
Missouri's minimum wage will increase by 15 cents from $6.50 to $6.65 per hour on January 1, 2008. The minimum wage law applies to all businesses/employees that are not specifically exempted. Any business, except retail or service businesses whose annual gross volume sales or business is less than $500,000 needs to pay non-exempt employees the minimum wage.
Workers in Montana will see the state's minimum wage increase from $6.15 per hour to $6.25 per hour effective January 1, 2008. The state law requires that the minimum wage be the greater of the federal or current state minimum wage. Therefore, effective July 24, 2008, the minimum wage will increase to $6.55 per hour, based on the federal minimum wage increase.
The minimum wage in Ohio will increase from $6.85 per hour to $7.00 per hour effective January 1, 2008. The minimum wage for tipped employees will be $3.50 per hour (plus tips).
In Oregon, the annual cost-of-living increase will raise the state's minimum wage from $7.80 per hour to $7.95 per hour effective January 1, 2008. The state has one of the highest minimum wages in the country.
In Washington, the minimum wage will increase 14 cents to $8.07 an hour beginning January 1, 2008. Washington's minimum wage applies to workers in both agricultural and non-agricultural jobs, although 14‑ and 15-year-olds may be paid 85 percent of the adult minimum wage.
Four other states make annual adjustments to their minimum wages for inflation: Colorado, Florida, Nevada, and Vermont. They should be announcing their adjustments soon.