Connecticut’s Minimum Wage Increase

Connecticut recently implemented an increase in its minimum wage in a two-step process that will go into effect between 2014 and 2015. The state’s minimum wage will increase from $8.25 to $8.70 per hour on January 1, 2014. The minimum wage will then increase further to $9.00 per hour on January 1, 2015. This long-anticipated change will be the first increase in Connecticut’s minimum wage since January 2010.

Under the new law, “learners,” “beginners,” and individuals under the age of 18 can still be paid a lower rate of 85 percent of the minimum wage for their first 200 hours of work. The learner hourly minimum wage will be $7.40 as of January 1, 2014 and $7.65 as of January 1, 2015. The law also adjusts the tip credit percentages for wait staff and bartenders so that employers’ share of wages for those employees remains steady at their current amounts (this is done by making the employer share $5.69 per hour for wait staff and $7.34 per hour for bartenders).

 Employers should update hourly wages for all employees affected by this increase, and also update all workplace wage posters in advance of the January 1, 2014 effective date.

Note: This article was published in the July 1, 2013 issue of the Conneticut eAuthority.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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