Minimum wage increased to $16.28: The State of Washington’s minimum wage is going to rise to USD 16.28 an hour effective Jan 1st, 2024, a 3.4 % boost more than 2023’s USD of 15.74 per hour, the Washington State Department of Industries and Labor announced on Friday.
Minimum wage increased to $16.28
The rise in minimum Wage is correlated with the Consumer Price Index (CPI-W) for Urban wage Earners along with Clerical Workers. The computation of the annual rise in minimum wage is dependent upon the CPI W, which measures inflation.
Around one million Washington state workers are anticipated to gain from the minimum wage increase. The state’s economy is likely to be enhanced by billions of dollars on account of it.
The state minimum wage pertains to employees above sixteen. Underneath state law, companies are able to shell out 85% of minimum wage to employees ages 14 to 15. Effective 2024, the wage for the younger set is going to be USD 13.84 per hour.
Benefits of the minimum wage rise
The minimum wage increase is anticipated to have numerous advantages, including :
- Wages for workers went up : The minimum wage hike will positively affect workers by boosting their salaries. This can allow employees to fulfill their fundamental needs – food, shelter as well as healthcare.
- Reduced poverty: Low-wage employees ought to see a rise in earnings because of the minimum wage increase, and that is likely to bring down poverty. This can help families in breaking the cycle of poverty and enhancing their living quality.
- Improved economic activity: The state economy is likely to get billions of dollars by the minimum wage rise. The explanation for this is that low wage employees tend to be more willing to spend their dollars on products as well as services, boosting demand for companies.
History of minimum wage rise
The minimum wage in Washington state dates back to its beginnings.
Washington State has long supported a greater minimum wage. The state legislature adopted the nation’s very first minimum wage law in 1913. The law required a daily minimum wage for women as well as girls in some industries of USD 1.25.
The minimum wage law encountered challenges in Court, but was affirmed by the United States Supreme court in 1917. The law enhanced the lives of several low wage workers throughout Washington state.
The minimum wage was increased by the state legislature in the subsequent years. The minimum wage was thereafter increased to USD 1.15 an hour in 1961. In 1968, the minimum wage was increased to USD 1.60 per hour.
Initiative 688 was passed by Washington voters in 1998 and required the state modify the minimum Wage yearly to reflect the Consumer Price Index (CPI-W) for Urban wage Earner along with Clerical Workers. Inflation is determined using the CPI-W.
Opposition to minimum wage raise
Some individuals are against the increase of the minimum wage, professing it is going to result in job losses and higher customer expenses. These assertions are unsubstantiated.
The minimum wage rise has minimal or maybe no effect on creation of jobs, based on research. Some studies have indicated that a minimum wage rise can result in job creation because of its influence on consumer spending.
There’s also absolutely no proof that the minimum wage hike is going to increase consumer costs. The minimum wage rise may be borne by businesses without raising prices.
Monthly Minimum Wage, by Country
Conclusion: Minimum wage increased to $16.28
The Washington state minimum wage increase is a positive for both employees as well as the state economy. The increase will boost low – wage worker salaries, relieve poverty and boost economic activity.
Frequently Asked Questions
As of September, 2023, the minimum wage rate in the State of Washington is $15.74.
The State of Washington's minimum wage is going to rise to USD 16.28 an hour effective Jan 1st, 2024.
The State of Washington pays the highest minimum wage rate of $15.74 per hour as of October 01, 2023.