The minimum wage is a topic that has garnered a great deal of national attention and debate in recent years. California is among those states that have increased the minimum wage, but keeping abreast of minimum wage changes throughout the country is a good way to measure the pulse and health of the national economy. This is particularly true when minimum wage changes are paired with low inflation rates since some states make their annual adjustment based on cost-of-living increases.

Changing Minimum Wages

In 2016, several states that have made adjustments will remain the same as 2015. Among these states are Arizona, Florida, New Jersey, Ohio, Missouri, Montana, Oregon and Washington. In some states, however, the minimum wage will increase despite the rate of inflation. Among these are Colorado, which will increase its minimum wage to $8.31 per hour, and South Dakota with an increase to $8.55 per hour. Other states that will experience a minimum wage increase in 2016 include Alaska, Arkansas, Connecticut, Hawaii, Massachusetts, Michigan, Nebraska, Rhode Island, Vermont, West Virginia and, of course, Colorado. In New York, the minimum wage received a hike at the end of 2015.

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In some of these states, the increase in minimum wage is based on legislation that had been previously passed. In many cases, the legislation was written in such a way that the minimum wage is increased in increments. As such, future increases are already written into state law.

Employer Responsibilities

As an employer, you are responsible for posting the new rate in the workplace. In many states, including California, a new poster will not be necessary because the stepped rate was included on the most recent posters. Other states with incremental increases shown on recent posters include Alaska, Arkansas, Connecticut, Hawaii, Massachusetts, Nebraska, Vermont and West Virginia. States where new posters will be needed to show the 2016 minimum wage rates include Colorado, Michigan, Rhode Island and South Dakota, while New York businesses will need a poster to reflect the changes made at the end of 2015. In other states where no changes are taking place, state law requires a new poster each calendar year. These include Florida, Missouri and Ohio. Meanwhile, Oregon employers will need a new poster to reflect changes in domestic worker pay.

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Federal Minimum Wage

In addition to posting state minimum wage posters, employers must also display a poster with the federal minimum wage of $7.25 per hour. While there have been proposals to increase the federal minimum wage, these proposals have stalled in Congress. As such, many states have addressed the issue at the state level.

Here is a complete list of states that are changing their minimum wage and what the new minimum wage will be for 2016.

  • Alaska: $9.75
  • Arizona: $8.20
  • Arkansas: $8.00
  • California: $10.00
  • Colorado: $8.31
  • Connecticut: $9.60
  • Florida: $8.22
  • Hawaii: $8.50
  • Massachusetts: $10.00
  • Missouri: $7.80
  • Michigan: $8.50
  • Montana: $8.20
  • Nebraska: $9.00
  • New Jersey: $8.59
  • New York: $9.00
  • Ohio: $8.30
  • Oregon: $9.45
  • Rhode Island: $9.60
  • South Dakota: $8.55
  • Vermont: $9.60
  • Washington: $9.67
  • West Virginia: $8.75

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