Nearly 1.5 million workers earning minimum wage will have something to celebrate on New Year’s Day – a bigger paycheck! Eight states: Arizona, Colorado, Florida, Montana, Ohio, Oregon, Vermont and Washington; will raise the minimum wage rate between 28 and 37 cents per hour. This is in compliance with state laws that require minimum wage to keep up with inflation.
How do the states compare to the federal minimum wage rate of $7.25 per hour?
- 18 states pay above
- 23 states pay equal
- 4 states pay below
- 5 states have no minimum wage law
The impact of increasing wages effects many aspects of the economy. It puts extra dollars in consumers’ pockets which historically leads to increased consumer spending which leads to job creation. Wage increases stimulate local economies. These wage boosts come at an opportune time for some with the payroll tax cut still undecided and only on a short-term extension until February.
Higher wages also impact businesses that rely on a minimum wage workforce. How will these changes affect your business? How will these changes affect your territory management strategy? It’s important to take these kinds of metrics into account when making decisions for 2012 and beyond. The GeoMetrx mapping software has a wealth of demographic data that can help you map your success. If you’d like to learn more about tapping into this data, just let us know.