The state minimum wage will not increase, but state minimum wages will

After a year of consistently high inflation – annual inflation has been over 7% every month for the past year – many Americans are looking for ways to combat high prices.

That has turned into questions about minimum wage increases Breakout Search Terms on Google for the first week of 2023.

Will some states raise their minimum wages in 2023?

Yes, 26 states are expected to raise their minimum wages within the next year. However, the federal minimum wage remains at $7.25.

Sign up for the daily VERIFY Fast Facts newsletter!

the Economic Policy Institute (EPI) said 23 states and Washington, DC raised their minimum wages on January 1, 2023, as did 27 cities and counties. Hourly wage increases ranged from $0.23 to $1.50.

In Michigan, the minimum wage rose $0.23 from $9.87 to $10.10, although it could rise again to $13.03 depending on a court decision in February. Nebraska increased its minimum wage by $1.50 from $9.00 to $10.50.

Looking ahead, EPI says 26 states and DC have minimum wage increases planned for next year. Many of those 26 states also increased their minimum wages on Jan. 1, but have already scheduled recurring increases.

According to the EPI, DC and 30 states already have minimum wages higher than the federal minimum wage, which is the lowest rate allowed by law statewide.

the US Department of Labor says the state minimum wage is $7.25 an hour and has not changed since July 24, 2009.

MORE FROM REVIEW: Yes, you can receive Social Security benefits based on your ex-spouse’s income

The Department of Labor does not list any planned federal minimum wage increases on its website Ogletree Deakinsa law firm specializing in labor and employment counseling says the federal minimum wage will remain at its current rate, as will the lower federal minimum wage.

But even if the federal minimum wage doesn’t rise, many Americans will still see minimum wage increases where they live this year. That’s because states can set their own minimum wages, which trump the federal minimum wage when the state minimum wage is higher. And some local governments can set their minimum wages even higher than their state minimums.

Change in the federal minimum wage urges Congress to pass legislation, but some states may pass legislation to automatically update their own minimum wage based on inflation. Every year, the minimum wage changes in 19 states plus DC to reflect changes in inflation, EPI says on its Minimum Wage Tracking Page.

The current stretch without an increase in the federal minimum wage is the longest since its inception in 1938, it said Department of Labor records. This year marks the 14th consecutive year without a minimum wage increase; Prior to the current phase, the longest span without a federal minimum wage increase was almost 10 years between 1997 and 2007.

If you want to learn about the minimum wage laws in your state or locality, or if your state is due for a wage increase, you should visit the Minimum Wage Tracker by EPIof the Ministry of Labour Page on the minimum wage law of the federal states or the National Conference of State Legislatures (NCSL) State minimum wage table.