Washington, Montana Minimum Wages to Hold Steady for 2016: Chart, Employment Law Manual Updated

Author: Michael Cardman, XpertHR Legal Editor

The state labor agencies for Washington and Montana recently announced that their states' minimum wage rates will not be adjusted for inflation in 2016.

Washington's minimum wage will remain $9.47 per hour, and Montana's will remain $8.05.

Both states have laws requiring that the minimum wage be adjusted for inflation each year based on changes (if any) in the federal Consumer Price Index (CPI) during the previous year. Because the CPI used by Washington did not increase, and because the CPI used by Montana did not increase enough to overcome a provision that rounds increases to the nearest five cents, the next inflation adjustment will not take place until January 1, 2017.

Washington's minimum wage has been the highest in the country for several years in a row. That will change January 1, 2016, when the minimum wage in California and Massachusetts will reach $10 per hour.

As a result of this development, the Minimum Wage Rates by State and Municipality chart, and the Minimum Wage: Montana and Minimum Wage: Washington sections of the Employment Law Manual have been updated.