Ohio raises their minimum wage based on the increase in the rate of inflation.
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Ohio's minimum wage will see a slight bump on January 1, 2025. The per-hour rate for non-tipped employees will increase from $10.45 to $10.70. The minimum wage for tipped employees will increase from $5.25 an hour to $5.35 an hour. The minimum wage increase is due to a nearly 20-year-old constitutional amendment that increased the per-hour wage by the rate of inflation.
Ohio voters could be deciding on raising the minimum wage to $15 an hour this year. Raise the Wage Ohio is looking to put a constitutional amendment before voters and if passed it would just take a couple years to jump the minimum wage to $15 an hour.
Some Ohioans will be seeing a big increase in their paycheck come January 1st because of higher inflation rates. Ohio minimum wage for non-tipped employees will be moving from $9.30 an hour to $10.10 an hour, which is an 80-cent increase. That is above the federal minimum wage of $7.25 per hour. In 2006, Ohio voters approved a state amendment that ties the annual minimum wage increase to the rate of inflation. For workers that get tips, the new hourly wage is $5.05 and for 14 and 15-year-old workers, it is set at $7.25. Ohio is one of 23 states to raise their minimum wage at the start of 2023.
The hourly wage for non-tipped employees went from $8.80 to $9.30 as of January 1st. Workers who get tips will jump from $4.40 cents an hour to $4.65. The Ohio minimum wage is higher than the federal minimum wage of $7.25 cents an hour. Many companies around the state have raised their wages even higher than the minimum wage, to try and attract people to fill open positions or retain current employees.
President Joe Biden has introduced a plan to raise the federal minimum wage to $15 an hour by 2025. The current federal minimum wage is $7.25 an hour. The president wants to see it raised because he believed people working 40 hours a week should not be below the poverty line. Jumping the wages that much could mean some tough decisions for small businesses whose profit margins are not that big and are forced to pay out more for payroll.
Ohio's minimum wage has gone up 10 cents to start the year. As of January 1st, the state minimum wage will go to $8.80 per hour for non-tipped employees and tipped employees will get $4.40 cents an hour. Employees under 16 years old will still get the federal minimum wage of $7.25. An Ohio constitutional amendment ties minimum wage increases to the rate of inflation. Since it was enacted in 2007 the minimum wage in the state has gone up nearly $2 per hour.
