Connecticut’s minimum wage rises from $9.15 to $9.60 per hour as of Jan. 1, 2016, with one more scheduled hike, to $10.10 per hour, set for a year from now.
This is the second in the three-stage minimum wage increase approved by state lawmakers in 2014.
Efforts were also made this year in the legislature to raise Connecticut’s minimum wage to as high as $15 per hour in many businesses, despite the fact that such increases have had an undeniable negative impact—including many business closures—in cities such as Seattle.
Pressures to impose a $15 per hour minimum wage could return in the 2016 session.
But Connecticut’s growing collection of workplaces mandates—such as frequent minimum wage increases and the recent paid sick leave law, along with additional proposals—have hurt Connecticut’s competitiveness.
In CNBC’s latest America’s Top States for Business survey, for example, Connecticut placed 47th for workplace costs.
We placed only slightly better, 45th, for business costs in the 2015 Forbes Best States for Business rankings.
Here's a look at the growth of Connecticut’s minimum wage from $0.75 in 1951.
And for all you history buffs, the federal minimum wage was $0.40 per hour in 1949, with its progression chronicled here.
Federal Contractor Minimum Wage Increased
Also effective on Jan. 1, 2016, in accordance with federal Executive Order 13658, workers on federal construction and service contracts must be paid a new minimum wage rate of $10.15 per hour, with further increases to be based on an inflation-adjusted amount as determined annually by the secretary of labor.
This increase is applicable to only covered contracts—for example, new contracts solicited or awarded after a certain date, and/or those exceeding a specified dollar amount threshold.
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