---
title: Minimum wage laws continue to be a hot employment topic
description: The minimum wage and tipped wage requirements are among the main topics of discussion amid the current political and economic news cycle.
---

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## [Minimum wage laws continue to be a hot employment topic](https://info.bcnservices.com/minimum-wage-laws-continue-hot-employment-topic)

January 2, 2016

BCN Services is a full service Human Resources partner, and one of the ways we help keep our clients compliant is to ensure they are updated regarding changes in the minimum wage laws in their state and or localities. The minimum wage and tipped wage requirements are among the main topics of discussion amid the current political and economic news cycle.

BCN has updated all our clients affected by the recent changes in Minimum and Tipped wages throughout the country. We are also supplying updated compliance posters to all our customers affected by the changes.

## Inform yourself about minimum wage levels

How much do you know about the minimum wage and tipped wage levels in the U.S.?

The federal minimum wage has not increased since 2009, although many states have adopted new, higher minimum wage standards. The current federal minimum wage is $7.25 per hour and $2.13 per hour for tipped workers.

There are 7 states currently with either no minimum wage or a minimum wage rate listed below the federal rate. In these states, states the federal minimum wage applies. They include:  
Alabama, Georgia, Louisiana, Mississippi, South Carolina, Tennessee, and Wyoming.

Twenty three local municipalities have adopted minimum wages above their state minimum wage. They are: Albuquerque, New Mexico; Berkeley, California; Bernalillo County, New Mexico; Birmingham, Alabama; Chicago, Illinois; Emeryville, California; Las Cruces, New Mexico; Louisville, Kentucky; Montgomery County, Maryland; Mountain View, California; Oakland, California; Palo Alto, California; Portland, Maine; Prince George’s County, Maryland; Richmond, California; San Francisco, California; San Jose, California; Santa Clara, California; Santa Fe City, New Mexico; Santa Fe County, New Mexico; SeaTac, Washington; Seattle, Washington; and Sunnyvale, California.

The following states have increased their minimum wage in the past 6 months. The old minimum wage is in parentheses. All wage rates noted are per hour.

## Michigan – effective January 1, 2016:

Minimum Wage: $8.50 ($8.15)  
Tipped Wage: $3.23

*Note: Michigan also has scheduled increases with annual indexing beginning April 1, 2019:*  
January 1, 2017 - $8.90  
January 1, 2018 - $9.25

## Other states include:

**Alaska – effective Jan., 1 2016**  
Minimum Wage: $9.75 ($8.75)  
Tipped Wage: $9.75

**Arkansas – effective Jan. 1, 2016**  
Minimum Wage: $8 ($7.50)  
Tipped Wage: $2.63

**California – effective Jan., 1, 2016**  
Minimum Wage: $10 ($9)  
Tipped Wage: $10

**Colorado – effective Jan. 1, 2016**  
Minimum Wage: $8.31 ($8.23)  
Tipped Wage: $5.29

**Connecticut - effective Jan. 1, 2016**  
Minimum Wage: $9.60 ($9.15)  
Tipped Wage: $6.07

**Hawaii – effective Jan. 1, 2016**  
Minimum Wage: $8.50 ($7.75)  
Tipped Wage: $8.50

**Massachusetts – effective Jan. 1, 2016**  
Minimum Wage: $10 ($9)  
Tipped Wage: $3.35

**Minnesota – effective Aug. 1, 2015**  
Minimum Wage: $9 ($8)  
Tipped Wage: $8

**Nebraska – effective Jan. 1, 2016**  
Minimum Wage: $9 (8)  
Tipped Wage: $2.13

**New York – effective Dec. 31, 2015**  
Minimum Wage: $9 ($8.75)  
Tipped Wage: $7.50

**Rhode Island – effective Jan. 1, 2016**  
Minimum Wage: $9.60 (9)  
Tipped Wage: $3.39

**South Dakota – effective Jan. 1, 2016**  
Minimum Wage: $8.55 ($8.50)  
Tipped Wage: $4.28

**Vermont – effective Jan. 1, 2016**  
Minimum Wage: $9.60 ($9.15)  
Tipped Wage: $4.80

**West Virginia – effective Jan. 1, 2016**  
Minimum Wage: $8.75 ($8)  
Tipped Wage: $2.63

BCN will continue to keep you up to date and in compliance with all federal, state and local laws. By allowing BCN to handle your administrative functions, as well as your Human Resources needs, you can continue to focus on your business’s bottom-line results.

[Contact BCN Services today](https://www.bcnservices.com/contact-us/) to learn more about our programs.

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