Home News Minimum Wage Vermont | Vermont Minimum Wage Increases To $11.75

Minimum Wage Vermont | Vermont Minimum Wage Increases To $11.75

658
0
Minimum Wage Vermont

Minimum Wage Vermont | Vermont Minimum Wage Increases To $11.75: The Vermont Legislature narrowly overrode the governor’s veto on February 25 to pass a plan to raise the state’s minimum wage rate.

Vermont’s current minimum wage is $10.96 an hour. Increases will phase in over the next two years, beginning on January 1.

  • In 2021, it will cost $11.75.
  • $12.55 in 2022

All future increases will tie to the Consumer Price Index (CPI).

Come next fall/winter; employers should expect a new posting about the minimum wage increase.

Minimum Wage Vermont | Vermont Minimum Wage Increases To $11.75

Vermont

State Minimum Wage Updates For Early 2020

About 40,000 Vermonters expect to see their wages rise as a result of the measure.

There were Democrats who wanted the minimum wage to raise. Governor Phil Scott, a Republican, vetoed a bill that would have raised the minimum wage to $15 an hour in Vermont.

According to him, the measure would negatively impact rural businesses, as he noted in his statement following the override of the governor’s veto.

Legislators from both parties shared these concerns. “However, A hope for the sake of our rural communities that the legislature is correct in ignoring these concerns.

Job losses and business closures cannot continue, especially outside the Burlington area. We must move forward and focus on policies that will grow the economy.

Lower Vermont’s cost of living attracts more workers to reverse our demographic crisis and help workers climb the economic ladder with more skills for better-paying jobs, despite this setback.

Minimum Wage Is Same

In the meantime, the minimum wage for tipped workers will remain at $5.48 per hour, which is unchanged from last year. According to a press release, officials in Vermont plan to study the tip rate for tipped, student, and agricultural workers before January 1, 2021.

Nationally, The Minimum Wage Raise

Vermont is the latest state to increase the minimum wage. Additional rate increases are implemented by cities and counties, even in states that follow the federal minimum wage.

Many cities in progressive states such as California have minimum wage rates that differ from the states. As recently as last year, the state of Colorado lifted a ban on local governments to set their rates. Denver has already instituted a new rate, which took effect on January 1.

It is the most extended period without an increase in the history of the United States.

Minimum Wage Challenging For Business

With CPI increases, urban and rural rates, and opt-in and opt-out laws, the minimum wage remains challenging for businesses. The government has also moved away from education and toward enforcement.

More and more stories about companies violating wage theft laws have appeared in the media in recent years.

Consult local laws where you have locations to ensure you comply.

Also Read: