In a nearly unanimous decision, the Vermont House of Representatives ended the 2014 legislative session with a 132-3 vote on a Bill (H.552) to increase the state’s minimum wage to $10.50 per hour by 2018. The $10.50 rate will give Vermont the highest state minimum wage in the U.S.
Vermont’s new minimum wage rate represents a 20 percent increase over the current rate of $8.73 per hour.
Vermont Minimum Wage to Increase in Stages to $10.50 by 2018
The minimum wage in Vermont will increase in stages beginning January 1, 2016 until it reaches the $10.50 level beginning January 1, 2018. Thereafter Vermont’s minimum wage will increase annually by five percent or the percentage increase of the Consumer Price Index (CPI) as determined by the U.S. Department of Labor.
Vermont General Assembly’s Back-and-Forth on the Minimum Wage Rate
The House previously had passed a version that raised the minimum wage to a lower rate of $10.10. The Vermont Senate returned that version with mark-up that introduced the $10.50 level, which was then passed by the House.
Both houses of Vermont’s General Assembly reached agreement on the rate that was lower than the minimum wage levels originally introduced in their earliest Bills: $12.00 in the Senate and $12.50 in the House.
Vermont Required Minimum Wage Posting
It’s still early days for the required minimum wage posting to be released by Vermont, but as always, the GovDocs Research Department will continue to monitor for posting revisions. GovDocs Update Program customers will automatically receive the latest posting as part of our Vermont State-on-One poster, Vermont Combined State and Federal poster, or the Vermont Electronic Set.[gravityform id=”2″ name=”Stay Informed of Labor Law News from GovDocs” description=”false”]