Change Is Coming! Minimum Wage And Exempt Employee Thresholds To Increase In 2023

As with every year, automotive industry employers should take note that on January 1, 2023 several state and local minimum wages (as well as exempt employee thresholds) increase. Some states implement annual increases that account for inflation and are based on the Consumer Price Index. Other state laws are focused on reaching a certain threshold. For example, New York's minimum wage law is focused on reaching the $15.00 threshold. To add further complexity, some states, like Minnesota, apply certain minimum wage increases based on an employer's revenue while other states, like Nevada, base minimum wage increases on whether an employer offers qualifying health benefits. In Minnesota, if an employer's gross revenue was $500,000 or more, then the minimum wage increased to $10.59 while an employer's whose gross revenue was less than $500,000 only needs to implement a minimum wage increase to $8.63.