Ohio's Minimum Wage Hike
Ohio’s minimum wage is set to increase on January 1, 2025. For non-tipped employees, the hourly wage will rise from $10.45 to $10.70, while tipped employees will see their wages increase from $5.25 to $5.35 per hour. This change applies to businesses with annual gross receipts exceeding $394,000, as reported by the Ohio Department of Commerce. The wage hike reflects Ohio’s continued efforts to adjust pay according to inflation.
The adjustment stems from a 2006 constitutional amendment, which mandates that Ohio’s minimum wage increases every year based on inflation rates. This year’s 2.4% increase is tied to the Consumer Price Index for urban wage earners (CPI-W) over the 12 months from September 2023 to August 2024. The minimum wage increase ensures that earnings for Ohio’s workers keep pace with the rising cost of living, especially during periods of inflation.
For employees of smaller businesses with gross receipts of less than $394,000, and for young workers aged 14 and 15, the state minimum wage will remain at $7.25 per hour. This wage is tied to the federal minimum, which has remained unchanged since 2009 and requires an act of Congress to increase.
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