What is the Minimum Wage in Ohio?
The minimum wage has had to increase in many states recently due to an increase in the cost of living and inflation. There are various minimum wage rates all across the US, and these different rates of pay are supposed to be based on the cost of living in each state. Adjustments to the minimum wage almost always lag behind changes in the cost of living and are sometimes not as productive as intended due to the tardiness with which these changes are applied.
Ohio increased the minimum wage in January of 2022 to keep pace with the cost of living. This change still places the minimum wage below the averages across large portions of the United States and did not satisfy parties that were looking for a jump to $15 an hour. The issue of minimum wage continues to be contentious in many states that have resisted following California’s lead and increasing the minimum wage to $15 an hour.
What is the Current Minimum Wage in Ohio?
The current minimum wage is $9.30 an hour in Ohio. The federal minimum wage is set at $7.25 an hour, which is well below the cost of living in most places around the United States. Ohio lawmakers have stated that they are going to be working to secure the $15 an hour that many employment professionals and experts have been wanting for years.
Ohio is lagging behind many other states that have made the jump to $15 an hour for minimum wages. California was one of the first states to make this change, but Florida, Illinois, Maryland, and many other states have since made the jump to this wage structure. Even at $15 an hour, many people with modest jobs struggle to make a living.
Wage laws rarely keep pace with the needs of those working entry-level positions, and the cost of living has increased to the point where even mid-range salaries are not always sufficient to meet the needs of families or people who live in urban areas.
This increase in Ohio’s minimum wage is the first large increase in 15 years, and Ohio tends to lag behind other more worker-focused areas like California. The argument that the cost of living and inflation are not factors in large parts of the state of Ohio no longer holds water.
Ohio remains cheaper than the national average, but the median home cost is still set at $179, 700 and groceries and transportation costs are still quite high here compared to the national averages. It is simple to look at factors like rent and determine that an area is affordable to live in — but the reality is that the total cost of living for people in Ohio is not that far off of national averages.
The generalized average cost of living calculations also does not take into consideration the costs that people have to cover for children and medical bills as well as unexpected things like car repairs or damage to their home. There are many reasons why it was well past time for Ohio to increase the minimum wage.
What About Tipped Employees?
Tipped employees in Ohio will earn $4.65 an hour with these changes to the minimum wage. The hourly wage for tipped employees prior to this increase was $4.40 an hour. Tips are still not included as part of the wages that are paid to these employees.
The service industry is always one of the last places to benefit from increases in pay. Many people incorrectly feel that tips cover a large portion of the costs of these employees and that the minimum wage should not be the same for positions that receive tips as part of their regular pay. Tipped employees often do not work consistent full-time hours, however, and there are peaks and valleys in their income — which is why it is so important for tipped employees to also receive increased pay when the minimum wage is increased.
Are You Being Paid Unfairly?
If you believe that you are being paid unfairly or your employer is not paying you the new minimum wage, Hux Law Firm can help! We will take on your case and make sure that you are being paid the legal amount for your work each day. Employers in Ohio have to follow wage laws, and this includes an increase in the minimum wage. You might be due back pay and more if you have been paid incorrectly since the Ohio minimum wage increased in January of 2022.
Contact us today for help with your wage dispute case. There is no reason that you should not be paid properly under Ohio law and you can get the help you need to secure the correct wages with ease with our team on your side!