New Minimum Wage in D.C.

New Minimum Wage in D.C.

June 28, 2016

 

Washington, D.C. has enacted a new minimum wage law that will see the city’s minimum wage gradually increase to $15 per hour by 2020.  D.C.’s current minimum wage of $10.50/hour is set to increase to $11.50 in July.  It will rise to $12.50 in July 2017.  Under the new law, tipped employees will see their minimum wage eventually rise to $5/hour.  Of course, employers of tipped employees must make up the difference if there is a minimum wage shortfall after adding in tips.

 

D.C. is not the first to implement such a sizable minimum wage increase and it is not likely to be the last.  Low wage earners in Florida hoping for the trend to spread to the Sunshine State should not hold their breath.  Counties and municipalities in Florida are currently powerless to legislate wage increases within their own borders as state law prohibits them from implementing minimum wage provisions that are inconsistent with the state minimum wage law.