New Jersey has joined the ranks of states charting a course to a $15 per hour minimum wage. On Feb. 4, Gov. Phil Murphy signed into law a bill that calls for gradual increases of the state's minimum wage over the next six years.
The first change will occur July 1, 2019, when the minimum wage rises to $10 per hour. After that, every January 1, the minimum wage will increase $1 until relevant workers reach $15 per hour in 2024. Small business employees, seasonal workers and farm workers will follow a slower schedule, but will also see increases.
Employees at small businesses with five workers or fewer and seasonal workers will reach $15 per hour on Jan. 1, 2026. Farm workers will see an increase to $12.50 per hour over the next five years, with the possibility of rising to $15 by 2027, if recommended by the New Jersey Labor Commissioner and Secretary of Agriculture.
Tipped employees continue to be entitled to at least the minimum wage with tips, but their base wage would increase from $2.13 per hour to $5.13 per hour.
This bill passed the Legislature on Jan. 31, 2019, over strong objections from Republicans and the business community. Republican State Committee Chairman Doug Steinhardt issued a statement that said the law "hurts businesses everywhere in an environment that already punishes the state’s many job creators.” To this criticism, Senate President Steve Sweeney told The Wall Street Journal that he is open to tweaking the law if problems arise.
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