Minimum Wage Increases Coming Soon in Connecticut, Delaware

Though not as busy as midsummer or the turn of the calendar, Oct. 1 often brings minimum wage increases, as well. This year, it’s in Connecticut and Delaware.

The new hourly minimum wage rates for large, standard employers (non-tipped) in each state next month will be:

• Connecticut – $11
• Delaware – $9.25

Also, the change means Connecticut employers will need a new labor law poster. However, Delaware’s related posting already has the 2019 minimum wage on it, meaning it’s unlikely to require new signage at this time.

While employers should prepare for these immediate increases, there are other items to consider in each state moving forward.

Connecticut Minimum Wage

Connecticut once passed what was nation’s highest state minimum wage ($10.10) in 2017.

Now, the state is moving toward a $15 minimum wage. Following the Oct. 1 increase, it will go up incrementally until 2023 in a somewhat odd schedule:

• $12 on Sept. 1, 2020
• $13 on Aug. 1, 2021
• $14 on July 1, 2022
• $15 on June 1, 2023

Starting in 2024, Connecticut’s minimum wage will be adjusted based on the employment cost index (or its successor index).

Delaware Minimum Wage

While Delaware’s minimum wage increases to $9.25 in October, legislators this summer proposed a bump to $15 an hour.

The measure, if enacted, would take the state’s minimum wage to $11 in January 2020, with $1 increases until 2024, and future rates tied to the consumer price index.

However, the bill failed to pass during the 2019 session. The Delaware Senate president opted to hold off on a floor vote.

Minimum Wage Increases Nationwide

Connecticut this spring became the fourth state this year to pass a bill that will eventually bring minimum wage to $15.

This year, three other states also passed laws to incrementally raise minimum wage rates to $15 an hour:

• Illinois
• Maryland
• New Jersey

Meanwhile, Kentucky lawmakers are renewing their efforts for a $15 minimum wage, and several cities and counties saw minimum wage increases on July 1, 2019.

In Colorado, lawmakers passed a bill in May that gives cities the power to set their own minimum wage rates, repealing a preemption bill. That has opened the door for Denver to explore the possibility of going to $15.

Also of note: Nevada will raise its minimum wage on July 1, 2020, with annual increases planned until 2024. The minimum wage in Nevada will eventually reach:

• $11 for employees who are offered health benefits
• $12 for employees who are not offered health benefits

As jurisdictions continue to adjust minimum wage, employers must be prepared for increased personnel costs, as well as remaining compliant with local laws.

This Labor Law News Blog is intended for market awareness only, it is not to be used for legal advice or counsel.