New Year Rings in Higher Minimum Wages in 22 States | Supermarket News
In the ever-evolving landscape of wages and labor, changes are afoot and not insignificant. As we approach the New Year, the minimum wage is rising in 22 states and approximately 70 local jurisdictions across the United States. Here’s the kicker: Every one of these updates pushes wages higher. If you thought the $15 an-hour minimum wage was a lofty goal, think again. On the West Coast, Washington and California have surpassed it, with Oregon hot on their heels, a mere 80 cents behind. Meanwhile, from Massachusetts down to Washington, D.C., the $15 mark has been met or exceeded on the East Coast.
However, there’s a flip side to this coin. Despite the national trend toward increasing minimum wages, 19 states have chosen to stick to the federal minimum wage of $7.25 an hour. Interestingly, some argue that very few employers in these states are paying wages that low due to current market conditions.
Now, here’s where things get truly intriguing. The two Washingtons, the District of Columbia and the state lead the pack with the highest minimum wages in the nation, boasting pay floors of $17 and $16.28, respectively. But here’s the twist: in California, come April 1, 2027, fast-food restaurant employees working for chains with at least 60 branches nationwide will be entitled to a staggering $20 an hour minimum wage. The impact of this impending increase is already being felt, with some Pizza Hut franchisees in California planning to eliminate self-delivery and laying off 1,000 on-staff drivers in preparation.
This wage hike trend reveals something even more interesting when we delve into the details. While the coastal states have raised their minimum wages, the most substantial increases are happening locally. 48 local jurisdictions are set to exceed $16 an hour as their minimum wage in 2024, with 40 of those areas in California, where the statewide minimum for most workers is $16……….
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How do these intricate connections between the minimum wage, local jurisdictions, and the labor market impact businesses, especially in the restaurant industry?
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