*By Michele L. Jakubs
As part of a Constitutional Amendment approved by voters in 2006, Ohio’s minimum wage will increase by ten cents in January 2011. The Amendment provides for an indefinite increase every January 1st tied to the rate of inflation. After a stagnant year in 2009, inflation rose 1.4 percent in the 12 months ending August 31, 2010. This rise in inflation will increase the minimum wage by 10 cents in January.
Workers who are 16 years and older and do not receive tips will see an increase of ten cents to $7.40 per hour. Tipped employees will see an increase of five cents to $3.70 per hour. This new wage affects employers who gross more than $271,000 annually.
Employers who gross less than $271,000 annually will be required to pay the same as the federal minimum wage, currently set at $7.25 per hour. Employees who are 14- and 15-years old will also receive $7.25 per hour, regardless of company revenue.
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 at 216.696.4441 or mlj@zrlaw.com.
