Free Republic
Browse · Search
General/Chat
Topics · Post Article

Skip to comments.

Minimum wage hikes take effect for 880,000 workers across the U.S.
Fast Company ^ | July 01, 2025 | Sarah Bregel

Posted on 07/01/2025 1:03:52 PM PDT by Red Badger

New state and local increases are boosting paychecks in Alaska, California, Oregon, Washington, D.C., and other locations this week.

Workers in about 15 locations nationwide are about to receive a boost in their paychecks, thanks to minimum wage increases that went into effect this week around the country. On Tuesday, July 1, minimum wage increases went into effect in Alaska, Oregon, and Washington D.C. Additionally, 12 cities, including Chicago and Los Angeles, are doing the same.

The minimum wage hasn’t changed on a federal level since 2009. It remains stuck at $7.25. However, local governments have been moving the needle over the years, which is good news for workers, given the cost of living is at an all-time high.

Previously, on January 1, 21 states increased their minimum wage, impacting some 9.2 million workers. The July 1 wage increase isn’t quite so far-reaching, but it will still impact more than 880,000 workers, according to a recent report from the Economic Policy Institute. Per the report, the wage bump will collectively raise those workers’ earnings by around $397 million.

Washington, D.C., increased its minimum wage to $17.95, from $17.50. And statewide, Oregon went from $14.70 to $15.05, and Alaska, from $11.91 to $13.

In other areas of the country, changes vary depending on the city or county. And in some states, the minimum wage is set to increase little by little. In Alaska, which just upped its rate by $1.09 (from $11.91 to $13), it will increase until it reaches $15 in 2027.

Some wage increases depend on the size of companies, too. In Maryland’s Montgomery County, employers with 10 or fewer employees now have to pay them $15.50 an hour, up from $15. If companies have 11 to 50 employees, the rate is $16, up from $15.50. And if there are 51 or more employees, the rate is $17.65, up from $17.15.

Another notable point is that some locations increased not only the minimum wage, but also the minimum wage for tipped workers (those who rely mostly on tips and a traditionally low hourly wage). In Chicago, the minimum wage went from $16.20 to $16.60. The rate for tipped workers went from $11.20 to $12.62.

Currently, there are only a handful of locations with minimum wages over $20. The state of California pays fast-food workers $20 an hour, and Seattle has a minimum wage of $20.67. Now, the cities of Tukwila and Everett, Washington, have joined the over-$20-an-hour club. In Tukwila, employers with 15 to 500 workers will now pay minimum-wage employees an hourly rate of $21.10—up a full dollar from $20.10. In Everett, employers with more than 500 employees will pay a minimum rate of $20.24, up from $16.66.

For a full list, as well as to see other minimum wage increases set to hit in 2025, check out the National Employment Law Project’s “Raises From Coast to Coast in 2025” report. Find it here.

https://www.nelp.org/insights-research/raises-from-coast-to-coast-in-2025/


TOPICS: Business/Economy; History; Society; Travel
KEYWORDS: alaska; california; districtofcolumbia; goingoutofbusiness; inflation; oregon; unemployment; washington
Navigation: use the links below to view more comments.
first previous 1-2021-4041-49 last
To: dragnet2

as did greedy Americans who hired illegals as lawn care, nanny’s, house cleaners etc etc and paid them cash as opposed to hiring legal citizens with businesses or self employed trying to make their living.

Too many Americans want to cut corners themselves, then blame others for why we have a problem.


41 posted on 07/01/2025 4:15:35 PM PDT by b4me (Pray, and let God change you. He knows better than you or anyone else, who He made you to be.)
[ Post Reply | Private Reply | To 18 | View Replies]

To: Red Badger

Restaurants closing like flies in Chicago!😀


42 posted on 07/01/2025 6:12:00 PM PDT by Bonemaker (invictus maneo)
[ Post Reply | Private Reply | To 1 | View Replies]

To: central_va

No, they are not. The higher wage costs are pushed onto the customer as much as possible, but at the higher price, consumers buy less...especially in the short run. Less sold means fewer resources needed, including labor. Unless the demand for the product is perfectly price inelastic (almost never), price goes up and less is sold and some resources become unemployed...including labor.


43 posted on 07/01/2025 6:42:15 PM PDT by econjack
[ Post Reply | Private Reply | To 27 | View Replies]

To: dragnet2
No, I'm not okay with it, but until the border is really closed, I understand why businesses hire them, but I don't agree with it. To stop it, the illegals should be sent back, but the employer should also be punished. However, I don't know the best way for that punishment to take place. If you put the owner in jail, the business may have to close throwing legitimate workers out of a job. Fines might do the job, provided they don't force closure of the business. It's a tight wire to walk...
44 posted on 07/01/2025 6:48:00 PM PDT by econjack
[ Post Reply | Private Reply | To 28 | View Replies]

To: dragnet2

It’s the gov’t who controls the flood gates and until now, they did nothing to stop it.


45 posted on 07/01/2025 6:50:06 PM PDT by econjack
[ Post Reply | Private Reply | To 30 | View Replies]

To: napscoordinator

Read my post...that’s not what I said. Also, this is not a 50 cent raise. In some cases, it’s a $4/hr change. Employers will respond to that.


46 posted on 07/01/2025 6:52:02 PM PDT by econjack
[ Post Reply | Private Reply | To 36 | View Replies]

To: econjack

There is no difference between the cost of labor and any other cost. Labor is a commodity.


47 posted on 07/02/2025 6:20:54 AM PDT by central_va (The I won't be reconstructed and I do not give a damn...)
[ Post Reply | Private Reply | To 43 | View Replies]

To: central_va
I'm not arguing that point. What I'm saying is that the employer cannot push ALL of the increased labor costs onto the consumer. Except for cases where the demand is completely vertical (i.e., perfectly price inelastic...almost never), any increase in any cost is shared between the company and its customers. See:

https://www.econgraphs.org/textbooks/intermediate_micro/firm_theory/competitive_firm/price_and_wage_responses

Note, you can drag the parameters using the bullets on the right side of the graph.

48 posted on 07/02/2025 7:33:35 AM PDT by econjack
[ Post Reply | Private Reply | To 47 | View Replies]

To: econjack

You don’t seem to get it. The government and big business are riding in the same limo. C’mon. Big biz donated to corrupt politicians to ensure that lawless violent border stayed wide open decade after decades while they gave the taxpayers lip service while looting them. The insiders never had any intention of securing the border prior to Trump. Low wage labor was their golden goose. Profits regardless of consequences.


49 posted on 07/03/2025 9:10:06 PM PDT by dragnet2 (Diversion and evasion are tools of deceit)
[ Post Reply | Private Reply | To 45 | View Replies]


Navigation: use the links below to view more comments.
first previous 1-2021-4041-49 last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
General/Chat
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson