In the past, I’ve written about the increase of the minimum wage for federal contractors, effective in January 2020. The federal government recently announced another increase, now to $11.25/hour – with some contracts subject to an increase of $15/hour. The increase takes effect on January 1, 2022 and therefore federal contractors have limited time to review and implement.
Employers in Virginia and Maryland should also keep in mind upcoming minimum wage increases. As of January 1, 2022 the minimum wage in Virginia will increase from $11/hour to $12/hour. As of the same date, Maryland employees will receive an increase from $11.75/hour to $12.50/hour.
It is important to monitor these increases and implement them as necessary (some industries such as those involving tipped workers, are eligible for increases but not to the same degree). Further, employers should review all existing policies to ensure compliance and provide updates as necessary. A failure to include updates may result in penalties at the start of the new year.
Questions about these minimum wage increases or your existing policies? Feel free to reach out to me.
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