New Jersey’s Minimum Wage Increases Starting January 1, 2023

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New Jersey’s new mandatory minimum wage requirement will be effective January 1, 2023.

For most employers, the 2023 minimum wage for compensating employees will be $14.13 per hour (up from $13 per hour in 2022). For tipped employees, the minimum cash wage the employer will be able to pay is $5.27 per hour (up from $5.13 per hour in 2022), provided that the cash wage paid by the employer plus tips earned by the employee equals the $14.13 per hour minimum wage.

There are other exceptions to the $14.13 per hour general minimum wage requirement.  For example, seasonal and small employers (fewer than six employees) will have their pay increased from $11.90 to $12.93 an hour. Agricultural workers will have their pay increased from $11.05 to $12.01, and direct care staff at long-term care facilities will receive a raise in pay by $1.13 to $17.13 per hour.

The minimum wage increase which goes into effect on January 1, 2023, is one step in a series of incremental minimum wage increases scheduled to take place annually until January 1, 2024 when the minimum wage for most workers will increase to $15 an hour.  These minimum wage increases are required under an amendment to New Jersey’s Wage and Hour Law signed into law by Governor Murphy in 2019.  Saiber LLC discussed the amendment in a February 7, 2019 article available here

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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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