Tuesday, December 27, 2011

Ohio Minimum Wage Increasing Again in 2012

*By Michele L. Jakubs

As part of an Amendment to the Ohio Constitution, Ohio’s minimum wage will increase by thirty cents on January 1, 2012. The Amendment provides for an increase, tied to the rate of inflation, every January 1st. The think tank Policy Matters Ohio estimates 347,000 Ohio workers will see an increase in wages.

The hourly rate for workers 16 years and older who do not receive tips will increase thirty cents to $7.70 per hour. Tipped employees’ hourly rate will increase fifteen cents, to $3.85 per hour. This new wage affects employers who gross more than $283,000 annually, up from the current $271,000 threshold.

Employers who gross less than $283,000 annually must pay their employees the federal minimum wage, currently set at $7.25 per hour. Fourteen and 15-year old employees must receive $7.25 per hour, regardless of company revenue. Minimum-wage workers in other states, including Arizona, Colorado, Florida, Montana, Oregon, Vermont, and Washington will also see an increase in their paychecks on January 1, 2012.

If you have any questions about complying with these new wage increases, please contact Michele L. Jakubs.

*Michele L. Jakubs, an OSBA Certified Specialist in Labor and Employment Law, has extensive experience in all aspects of workplace law, including wage and hour compliance.  For more information about employment law, please contact Michele (mlj@zrlaw.com) at 216.696.4441.