High-Paid Havens: U.S. Cities Setting the Pace for Impressive Minimum Wages

By Olivia Weaving Nov 29, 2023

A look at five US cities topping the charts with the highest minimum wages in the face of the stagnant $7.25 federal rate.

As 2024 unfolds, it is glaringly apparent that the federal minimum wage still lingers at a meager $7.25 per hour, despite the clamor for a $15 rate. However, some cities within our borders have responded to the call by establishing impressive minimum wages, a move propelled through the unflinching efforts of minimum wage workers and notable activists.

The steady deterioration of the minimum wage in relation to inflation and living costs since its 1968 high point began to turn in 2010, thanks largely to states and municipalities enacting minimum wages considerably above the federal standard. Now, several cities host higher minimum wages that allow workers to sustain themselves, countering the impossible task of surviving, let alone providing for a family, on the federal minimum wage.

Tukwila soars to the top of this list as of January 2024, boasting a minimum wage of $20.29 per hour for large employers, those exceeding 500 employees globally, and $18.29 for mid-sized employers, defined as those employing between 15 to 500 worldwide or generating revenue north of $2 million in Tukwila. Anticipating inflation, Tukwila adjusts these rates annually.

Seattle shares in this commitment to its workers. As of the start of 2024, the city offers a minimum wage of $19.97 per hour. Small businesses, those with 500 or fewer employees, receive a small reprieve, allowed a slightly reduced rate of $17.25 per hour, provided they dedicate $2.72 per hour towards employee medical benefits or tips. This pioneering spirit traces back to June 2014, when Seattle became the first U.S. city to implement a $15 minimum wage for its entire workforce. The annual adjustments to Seattle's minimum wage ensure they remain ahead of the curve.

Following closely is SeaTac, launching into 2024 with a minimum wage of $19.71 per hour, although this is limited to those employed within the city’s hospitality and transportation sectors. Other employees receive the state’s minimum wage of $16.28 per hour.

Mountain View set a precedent in 2015, instituting its own minimum wage of $10.30 per hour, with an annual rise until hitting $15 in 2018. Since then, an annual adjustment tied to inflation maintains its minimum wage, resting at $18.75 per hour in January 2024.

On the list of high minimum wage territories is Emeryville, who as of July 2023, set a minimum wage of $18.67 per hour due for another increase in July 2024.

Several states have taken the initiative to elevate all cities to a minimum wage of $15 or more per hour, although some workers must excruciatingly wait years to appreciate the full benefits of these laws. For instance, Florida residents progressively see their minimum wage rise annually, reaching $15 per hour in September 2026. As of January 2024, the Sunshine State's minimum wage is $12 per hour.

Numerous states offer minimum wages surpassing the federal level, with 22 of them further improving in 2024. Examples include California and Washington, both at $16, Connecticut at $15.69, Maryland, Massachusetts, and New Jersey each at $15, and New York at $15, although rates differ depending on the region. Washington, D.C. offers a minimum wage of $17.

It is noteworthy that Alabama, Louisiana, Mississippi, South Carolina, and Tennessee do not possess a state minimum wage. In these states, the federal minimum wage applies. Meanwhile, Georgia and Wyoming have minimum wage levels at $5.15, although they fall back on the federal rate to meet the $7.25 threshold.

Despite the encouraging developments in some states and cities, the stagnant federal minimum wage remains a challenge. Since its last rise in 2009, its enduring value at $7.25 lags glaringly behind the necessary means to live above the poverty line, fuelling passionate debates on the need to raise the federal minimum wage to $15, a cause so far met with significant opposition.

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