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What I’ve Been Reading This Week: Minimum Wage Edition


With the start of the year, there were quite a few minimum wage hikes around the country.  Following those wage hikes, I wanted to focus this post on some minimums wage developments around the country.  From a potential wage hike in Hawaii, to recently introduced legislation in West Virginia, to a minimum wage increase surviving a freeze attempt in Virginia, and a potential hike to the hourly pay rate for state employees in Missouri, there is quite a bit to page through this week.

As always, below are a couple articles that caught my eye this week.



As the legislative session kicks off in Hawaii, Scott Saiki (the House Speaker), indicated his intent to move forward with legislation to raise the hourly minimum wage rate to $18/hour.  (Under the proposal, the minimum wage rate would increase to $12/hour this October, $15/hour in 2024, and ultimately $18/hour in 2026.)  While the Senate President, Ron Kouchi, was non committal on supporting this proposal, he has apparently entertained raising the state’s minimum wage rate from its current $10.10/hour.  Although any proposed minimum wage legislation has a ways to go, this is one to keep an eye on in the months ahead.



Last month, Senate Bill 428 was introduced in the West Virginia legislature that would seek to raise the hourly minimum wage rate from $8.75/hour to $10.50/hour beginning January 1, 2023.  Future wage hikes, which would occur every September thereafter, would be tied to inflation.



During Virginia Governor Ralph Northam’s time in office, a minimum wage hike was approved that would gradually increase the state’s minimum wage rate to $15/hour and then increase the hourly wage rate based upon the rate of inflation.  However, after Governor Northam left office, Republicans made efforts to halt the wage hikes and instead freeze the hourly wage rate at $11/hour and introduced legislation seeking to do so.  However, the Virginia Senate Labor and Commerce Committee voted down the legislation along party lines 12 - 3.  For the time being, the wage hike is still set to take effect.



Recently, Missouri Governor Mike Parson proposed raising the hourly pay rate to $15/hour for state employees after reports that Missouri state employees are some of the lowest paid state employees in the country.  Due in part to high turnover in many state positions, a $15/hour wage rate could be one step to help retain workers and limit turnover.  Will it work, if the $15/hour wage rate is enacted?  Perhaps.  If nothing else, going from the current pay rate of $11.15/hour to $15/hour would be a welcome benefit to these state employees.

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