NJ Voters Boost Minimum Wage to $8.25, Add Annual Adjustments for Inflation

Author: Michael Cardman, XpertHR Legal Editor

November 5, 2013

New Jersey voters today approved an amendment to the state constitution that will raise the state minimum wage from $7.25 to $8.25 on January 1 and then adjust the minimum wage based on the rate of inflation every year thereafter. N.J. Const., Art. I, Para. 23, as amended by 2012 Bill Text NJ S.C.R. 1.

Approved by a margin of roughly 60-40 at press time, the new amendment makes New Jersey the 11th state in the nation that makes annual inflation adjustments to its minimum wage. It joins Arizona, Colorado, Florida, Missouri, Montana, Nevada, Ohio, Oregon, Vermont and Washington.

Efforts to add the constitutional amendment to the ballot began earlier this year after Gov. Chris Christie vetoed a bill that would have raised the minimum wage to $8.50. Unlike bills that are passed by the legislature, constitutional amendments referred to voters by the legislature cannot be vetoed.

The first annual adjustment will take effect January 1, 2015, based on the change in the Consumer Price Index for Urban Wage Earners and Clerical Workers between September 30, 2013, and September 30, 2014.