The Future of the Minimum Wage – 2015 and Beyond

2014 has been “The Year of the Minimum Wage.” Protests throughout the country, with workers calling for increased wages, drew significant media attention. President Obama and Democrats in both legislative chambers advocated for increasing the minimum wage under the federal Fair Labor Standards Act (FLSA) – which was last raised in July 2009 – from $7.25 to $10.10 in increments over time. Due to the gridlock in Washington, legislative efforts failed, though the president exercised his executive authority to increase the minimum wage for federal contractors. In the absence of federal action, state legislators acted. Roughly 20 percent of state-level jurisdictions passed minimum wage laws in 2014. Unlike prior legislative actions, which resulted in a single increase, each minimum wage bill enacted in 2014 called for multiple increases, with some also requiring subsequent annual increases. Moreover, a handful of states put the question of whether to increase the state minimum wage before voters in the November 4, 2014 general election.