Joining its neighbor New York, as per a bill signed into law on June 6, 2013 by Governor Dannel P. Malloy, Connecticut’s state minimum wage will increase. Effective January 1, 2014, the minimum wage increases 45 cents (from $8.25 to $8.70) and a second increase of 30 cents takes effect on Jan. 1, 2015 bringing the minimum wage to $9.00. It does not appear that the minimum wage due to tipped employees is increasing, except of course employers must now ensure sufficient gratuities are received to cover the increased tip credit that may be taken against the minimum wage owed.
While the federal minimum wage remains $7.25/hour, the same level since July 24, 2009, many states are moving forward with similar proposals to increase the wage floor at the state level. Employers with multi-state operations must be mindful of the minimum wage, tip credit wage, and minimum overtime wage in the states in which they operate.