labor lawAdivision of labor law center

The Washington state minimum wage will increase to $8.55 per hour on January 1, 2009. The state Department of Labor and Industries or L& I recalculates the minimum wage each year in September as required by state Initiative 688, approved by Washington voters in 1998.

 

The Washington state minimum wage is adjusted each year based on the federal Consumer Price Index for Urban Wage Earners and Clerical Workers or CPI-W during the 12 months ending on August 31. The Consumer Price Index is a national measure of the cost of goods and services required for daily life. During the 12-month period ending in August 2008, the CPI increased a whopping 5.9%. For comparison, the increase in the prior year was 1.8%, which led to an increase of 14 cents per hour in the Washington minimum wage.

 

This 48-cent increase ensures that the Washington minimum wage remains the nation’s highest in 2009, with Oregon’s $8.40 per hour wage in second place.

The 2009 increase is by far the highest since the state began annual adjustments to the minimum wage ten years ago.

 

The Washington minimum wage applies to workers in both agricultural and non-agricultural jobs. Unlike many other states, Washington permits few exceptions to the state minimum wage law. The law does allow youths 14 and 15 years of age to be paid just 85% of the Washington minimum wage, or $7.27 per hour.

 

More information on Washington’s minimum wage is available at Wages.Lni.wa.gov. Employers with questions on the state minimum wage may also contact the Washington Department of Labor & Industries at 360-902-5316 or 1-866-219-7321.

 

A number of states besides Washington make annual adjustments to the minimum wage. These include Colorado, Oregon, Florida, Vermont, and others. The increases for 2009 are higher because of the dramatic increase in inflation in the past year.

 

Many employers, especially small business owners point out that the increases could not come at a worse time. With the economy tanking, and prices for gas, food and other items increasing, many companies are already facing cutbacks or layoffs. Higher minimum wages are expected to exacerbate the problem.

 

 

 

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