US Minimum Wage 2023: How Much Increase Will There Be in Arizona, Florida, New Mexico?
Twenty-four states, including Arizona, Florida, and New Mexico, will see their minimum wage increase in 2023. Arizona and New Mexico will already implement the U.S. minimum wage 2023 increase this month.
Florida, on the other hand, will do so in September. Citing a study by Oxfam America, an organization that campaigns against poverty, AS reported that 52 million American workers make less than $15 per hour.
However, even those in locations with higher starting salaries are probably still struggling. MIT's Living Wage Calculations determine that an hourly wage of $24.16 before taxes is necessary to support a family of four in the U.S.
That figure is almost $3 per hour higher than the year before. Although the differences in the cost of living can be seen from state to state and city to city, generally, places with the highest salary also have the highest cost of living.
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U.S. Minimum Wage per State
Several states are expected to increase their minimum wage in 2023 to counteract the effects of inflation and the lack of federal action.
Since 2009, the federal minimum wage in the U.S. has remained at $7.25 per hour. As of the fall of 2022, 15 states, down from 16 last year, have minimum wage rates that match the federal minimum wage.
In 2022, California's minimum wage increased to $15.50 from $15, making it one of the highest in the country. According to The Hill, Washington, D.C. has a higher minimum wage of $16.10.
The Department of Employment Services has announced that the minimum wage in D.C. will increase again in July in proportion to the Consumer Price Index (CPI) rise.
Oregon and Nevada will not see their minimum wages increase until July. The rate in Oregon will increase from its current $13.50 to an unspecified amount based on the CPI published by the U.S Bureau of Labor Statistics.
Nevada will raise its minimum wage to $10.25 for companies offering employee health benefits and $11.25 for those that do not have them.
Arizona's U.S. minimum wage in 2023 will increase from $12.80 to $13.85, and New Mexico's minimum wage will increase from $11.50 to $12.00 this month. Florida will increase from $11 to $12, which will take effect on September 30.
How Will the U.S. Minimum Wage 2023 Increase Affect Workers?
According to CNBC, the federal minimum wage has been raised to $15 per hour as part of President Joe Biden's campaign.
In 2022, Biden issued an executive order bringing all federal employees' and contractors' pay to that level.
However, Congress would need to approve a national change to the minimum wage of $15. The nationwide rate increase attempt was unsuccessful in the 2021 COVID-19 relief legislation.
According to Kevin Werner, a research associate at the Income and Benefits Policy Center at the Urban Institute, it will be interesting to see whether it will generate further momentum for more states to increase their salaries or try and get more momentum on the federal level.
According to a September research by the Urban Institute, a $15 per hour national minimum wage would affect 56 million workers.
The study researched possible outcomes in which a new $15 minimum wage led to either no job losses or two different scenarios where extended job losses occurred.
Even in the worst-case scenario for job loss, Werner said, "we still found that, on average, the average worker was better off, and that poverty declined overall."
He continued that the net effect was still positive, even though some individuals who lost their jobs may have been worse off.
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This article is owned by Latin Post.
Written by: Bert Hoover
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