The first phase of an increase in the minimum wage in the state goes into effect on June 1.
Legislation signed by Gov. Jack Markell will raise the wage as follows, according to a release from the Delaware Restaurant Association. A proposal to have a lower training wage was defeated. The increase is as follows:
- From $7.25 to $7.75 on June 1st 2014
- From $7.75 to $8.25 on January 1st 2015
According to state labor officials, the increase in wages will affect an estimated 40,000 Delaware workers, or about 10 percent of the workforce.
Delaware last increased the minimum wage in 2005 and the figure rose again with an increase in the national minimum wage in 2010, the association reported.
The association noted that legislation to raise the minimum wage to $10.10 per hour. The bill is currently under review in the Senate Executive Committee.
There has also been pressure to raise the nation’s minimum wage and some groups have demonstrated in favor of paying a $15 minimum wage at fast food establishments.
Various business groups have argued that the higher minimum wages puts upward pressure on all wages at a bad time for many employers. Backers of the higher wage say it will provide a boost for single parents and others who often have to work more than one job to make ends meet.
Some retail employers, including Trader Joe’s and Costco, pay above the minimum wage and offer benefits.
