States Increase Minimum Wage Rates for 2014

Many employees will be happy to find out that their state minimum wage will be increasing beginning in 2014 and employers will need to be prepared to make these changes.  Currently, the federal minimum wage set by the Fair Labor Standards Act (FLSA) is $7.25 an hour, however state minimum wages may be different. Although a state cannot have a lower minimum wage, local laws will replace the federal limit if they set a higher per hour wage.

The below states are set to increase their minimum wage for 2014.

Minimum Wages Effective December 31, 2013

  • New York: $8.00 per hour. The minimum wage will increase again on Dec. 31, 2014 to $8.75 an hour and Dec. 31, 2015 to $9.00 an hour.

Minimum Wages Effective January 1, 2014

  • Arizona: $7.90 per hour.
  • Connecticut: $8.70 per hour. The minimum wage will increase again on January 1, 2015 to $9.00 an hour.
  • Florida: $7.93 per hour.
  • Missouri: $7.50 per hour.
  • Montana: $7.90 per hour.
  • New Jersey: $8.25 per hour.
  • Ohio: $7.25 per hour for employers making over $292,000 per year.
  • Oregon: $9.10 per hour.
  • Rhode Island: $8.00 per hour.
  • Vermont: $8.73 per hour.
  • Washington: $9.32 per hour.

Minimum Wages Effective July 1, 2014

  • California: $9.00 per hour. The minimum wage will increase again on January 1, 2016 to $10.00 per hour.

Additionally, the FLSA sets other minimum regulations that employers need to take into account. It says that employers are required to pay employees the minimum wage for all hours worked up to 40 hours per week and a higher overtime wage be paid for all additional hours worked.

Beyond the standard activities that employees are required to preform on the job, “hours worked” also considers the following; waiting time, travel time other than the daily commute to and from the job, breaks and meal periods less than 20 minutes, required training and meetings. The FSLA does not require employees to offer paid sick days, vacation or holidays.

For more updates, read Optimum’s blog for continuous Payroll and HR news and information.

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