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Feb 20, 2003 to Feb 6, 2013

Vermont Minimum Wage To Rise To $10.50 Per Hour By 2018


MIDDLESEX – June 9, 2014 -- Surrounded by supporters at the locally owned Red Hen Bakery, Gov. Peter Shumlin today signed into law legislation phasing in an increase in the state’s minimum wage from the current $8.73 per hour to $10.50 per hour by 2018.

Gov. Shumlin and other New England Governors appeared with President Obama earlier this year in Connecticut to call for a national increase in the federal minimum wage from $7.25 to $10.10. However, noting Congressional inaction on that proposal, Gov. Shumlin said, “States like Vermont realize that working people can’t support their families on the current minimum wage, and we’re moving ahead to do the right thing on our own.”

Vermont is one of at least 26 states and the District of Columbia that either currently have a minimum wage higher than the national minimum, or have approved a higher rate that is scheduled to take effect on a date certain.

The Governor said the phased-in approach, which is in line with what some neighboring states are also doing, softens the impact of the wage increase on businesses. The Vermont rate will climb to $9.60 in 2016, $10 in 2017 and finally $10.50 in 2018, and be indexed to inflation in subsequent years. The rate in Connecticut will climb to $10.10 in 2017; New York Gov. Andrew Cuomo and Massachusetts Gov. Deval Patrick have called for similar increases in their states.

“I want to thank so many Vermont business owners who worked with us to find a compromise on raising the minimum wage, and lawmakers who recognized that working Vermonters deserve a fair paycheck,” Gov. Shumlin said.

The Governor said that working women will benefit from the increase, with 60 percent of minimum wage workers being women. Nationally, over 88 percent of minimum wage workers are over age 20, with the average age being 35. Nearly 30 percent are parents.

“These are working Vermonters, raising families on the lowest wage possible, and they deserve better,” Gov. Shumlin said. “And raising the wage for the lowest paid will spark increased economic activity and security that will benefit the economy as a whole.”

Many businesses currently pay minimum wages that exceed the federal rate. Several cities and more than half of the states have raised their minimum wage above the federal rate.

- press release from the Office of the Governor

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Comments | 7

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Pie in the Sky.

The only problem is jobs aren't being created because of this states anti-business reputation.
And, does this mean the "Seasonal Vermonters" that pick vegetables at the farms are going to see this increase? How will this affect those "businesses".

 
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Sometime in the distant future

2018????? Why does it take 4 years to get a minimum wage increase ? So, for the next 4 years people will continue to barely exist on the current wage and-despite working full time jobs -will not be able to take care of their families properly. Not that the increase is going to significantly change anyone's life for the better but it might put a few more meals on the table; some warm boots on their kid's feet. 4 years. Are you kidding?

 
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Inflation?

Maybe we have to wait for $10.50 to drop in value and be equal to today's $8.73. : )

Guaranteed minimum income is what is needed, for everyone. Humans as labor are becoming obsolete and expensive compared to robots and computers. A robot is more accurate and cheaper for an increasing number of jobs, and never calls in sick. Few will be able to get paid to do labor, other than robot repair.

 
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Far from enough

Sadly, when the minimum wage reaches $10.50 it will not buy as much as $7.50 did when that raise came. In 2012, two years ago, the minimum standard of living wage for a single person was $12.52.

 
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Hey I've got an idea.

How about lowering the sales tax and income tax so people can afford a more livable wage.
You do realize that the more you make the more THEY take in this state right?

 
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Not enough

I am pretty sure that the current livable wage for Vermont is somewhere around $17-$18 per hour, so how does this help people?? Good lord. I appreciate the sentiment but this is almost insulting. Now people who make less than $10.50 have to sit around wondering how much easier it would be if they could bring that money home to their families right now, and by the time they can, their situation will be no different than it is currently...argh. Sorry, venting...

 
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Good at something

Yes...another case of far too little; way too late. That seems to be something our government is very good at.

 

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