2023 CT Minimum Wage: Everything You Need to Know

by

The Human Resource Consulting Group

,
on Jul 11, 2023 8:45:00 AM

Update: Effective June 1, 2023, the state of Connecticut (CT) has raised the minimum wage to $15.00 per hour.

CT Minimum Wage Breakdown

  • Minimum Wage - $15.00, Effective June 1, 2023
  • Restaurant and Hotel Workers – Remains Unchanged at $6.38
  • Bartenders - Remains Unchanged at $8.23

Mark Your Calendar

Don't let the recent minimum wage increase catch you off guard. In the realm of payroll, even small mistakes can lead to significant and costly issues. However, with the assistance of a third-party payroll service, you can rest assured that this change will be seamlessly taken care of.

CT Minimum Wage 2023: Steady Path to $15

Connecticut's path to raising the minimum wage to $15 began in 2019 when Governor Ned Lamont signed the minimum wage increase in May of that year. The first step involved increasing the state's minimum wage from $10.10 to $11 in October 2019. Since then, Connecticut has pursued a consistent approach, with the minimum wage rising by $1 every 11 months, ultimately reaching the rate of $15 per hour on June 1, 2023.

Indexing for a Sustainable Future

From this point forward, the state’s minimum wage will be indexed by the U.S. Department of Labor’s employment cost index. Senator Cathy Osten explains, “It will automatically adjust moving forward without the need for a political debate.” This proactive measure is expected to maintain the value of the minimum wage over time, promoting stability and predictability for workers and businesses alike.

Implications for CT Businesses and the Worker Shortage

Connecticut's labor market currently faces a shortage of workers, prompting many businesses to offer wages above the minimum requirements. This response reflects a recognition of the need to remain competitive and foster employee satisfaction in a rapidly changing job market.

Conclusion

Connecticut's steadfast commitment to achieving a $15.00 minimum wage signifies its determination to create a fair and equitable economic landscape for workers. The state's calibrated approach, marked by incremental increases, sets a progressive example. While businesses navigate the challenges posed by the recent wage increase, many have taken proactive measures by voluntarily surpassing minimum wage requirements, stating their dedication to employee welfare and remaining competitive.

While businesses face the task of adjusting payroll, partnering with a professional payroll service company can mitigate costly mistakes and ensure compliance.

Check out our other articles to learn more about other 2023 payroll updates for CT employers such as FUTA, SUTA updates, MyCTSavings CT retirement program and more

HRCG HR and Payroll Solution Guide

Topics:Connecticut Payroll2023 Payroll UpdatesLabor Law ComplianceCT Minimum Wage 2023

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