U.S. Cities and States Implement New Minimum Wage Rates

By Elena Cordelia

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A new minimum wage increase is now in effect for businesses of all sizes in the United States. The Minimum Wage Ordinance sets the lowest hourly rate for work, which varies depending on the size of the business.

By 2027, all firms must pay their employees at least $15 per hour. This change aims to help workers keep up with rising living costs due to inflation. Let’s explore the states and cities that are seeing minimum wage increases starting now.

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Minimum Wage Increases in Various States

California, Illinois, Minnesota, Washington, and Maryland

Starting from July 1, these states have raised their minimum wage rates, providing much-needed relief for workers.

  • California: With high costs for housing, rent, and food, Californians will benefit significantly from the wage boost. The increase will help reduce economic pressures on residents.
  • Illinois, Minnesota, Washington, and Maryland: These states have also announced increases, helping workers manage the rising cost of living.

Minimum Wage Increases in U.S. Cities

Cities Benefiting from Wage Increases

  • Washington, D.C.: The minimum wage is now $17.50 per hour, a 50-cent rise. This is much higher than the federal minimum wage of $7.25 per hour.
  • Nevada: The minimum wage has increased by $1.75 to $12. The previous practice of paying $1 less for employers offering health insurance ended on July 1.
  • Oregon: The minimum wage varies by area, rising by fifty cents or about three percent:
    • Southern, Central, and Eastern Oregon’s non-urban rural areas: $13.70
    • Oregon coast counties and the Willamette Valley: $14.70
    • Portland: $15.95

Specific Increases in California Cities

California Cities with New Minimum Wage Rates

Starting July 1, 2024, several California cities and counties have increased their minimum wages above the state level:

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  • Alameda: $17 per hour
  • Berkeley: $18.67 per hour
  • Emeryville: $19.36 per hour
  • Fremont: $17.30 per hour
  • Los Angeles: $17.28 per hour
  • Los Angeles County: $17.17 per hour
  • Milpitas: $17.70 per hour
  • Pasadena: $17.50 per hour
  • San Francisco: $18.67 per hour
  • Santa Monica: $17.27 per hour

Specific Increases in Other States

Washington

  • Renton: $20.29 for large companies; $18.29 for medium-sized businesses.
  • Tukwila: $19.29 for small businesses; $20.29 for large businesses.

Oregon

  • Portland: $15.95
  • Rural Oregon counties: $13.70
  • Non-rural Oregon counties: $14.70

Illinois

  • Chicago: $16.20 for employers with more than four workers.
  • Cook County: $14.05

Minnesota

  • Minneapolis: $15.57
  • St. Paul: $15.57 for large companies; $14 for small employers.

Maryland

  • Montgomery County: $17.15 for large businesses; $15.50 for medium-sized employers; $15 for small employers.

The new minimum wage increases across various states and cities aim to help workers keep up with inflation and the rising cost of living. By setting a minimum wage of $15 per hour by 2027, the goal is to ensure fair pay for all employees, improving their quality of life.

What is the new federal minimum wage goal by 2027?

The goal is to have a minimum wage of $15 per hour by 2027 for all businesses.

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Which states have announced minimum wage increases starting July 1?

California, Illinois, Minnesota, Washington, and Maryland have announced increases.

What is the minimum wage in Washington, D.C.?

The minimum wage in Washington, D.C. is now $17.50 per hour.

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How does Oregon determine its minimum wage?

Oregon bases its minimum wage on the rate of inflation, with different rates for rural and non-rural areas.

What are the new minimum wage rates for California cities?

Rates vary by city, with Alameda at $17 per hour, Berkeley at $18.67, Emeryville at $19.36, and others.

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Disclaimer- We are committed to fair and transparent journalism. Our Journalists verify all details before publishing any news. For any issues with our content, please contact us via email. 

Elena Cordelia

Elena is a seasoned tax consultant with a decade of expertise in income tax management. Graduating with top honors in Finance, she embarked on a career journey focused on simplifying tax complexities. Elena's insightful articles on thecsc.org provide practical guidance to taxpayers.

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