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Indiana considers raising the minimum wage

| Mar 17, 2017 | Wage & Hour Laws

Two Democratic state senators introduced different bills that would raise the minimum wage in Indiana. Indiana’s neighboring states to the north, east, and west have all enacted legislation to raise their minimum wage – Indiana has thus far refused. The two competing bills would raise Indiana’s minimum wage, currently $7.25 to either $10.62 per hour or $15 an hour for most Indiana workers.

The two bills are part of the larger national effort “Fight for $15” to raise minimum wages all over the country. The original efforts were focused on raising the national minimum wage however, the stalemate in the Congress halted their efforts. The new public relations campaign refocused its efforts on state initiatives. The result was 19 states raising their minimum wage by 2017.

There is concern that raising the minimum wage in Indiana will deleteriously affect the economy. Indian’s economy is not as strong as its neighbors, therefore, there is a perceived opportunity for Indiana to capture some businesses that leave due to the high minimum wage.

One tool supporting raising the minimum wage is the MIT Living Wage Calculator which estimates that $10 per hour is just below the “living wage” minimum for Indiana workers. Larger retailers, such as Gap, Inc., REI and Costco have voluntarily raised their minimum wage and seen a rise in benefits. But, smaller businesses are concerned that high employment costs could drive them out of business.

The minimum wage in Indiana remains at $7.25 an hour however that does not mean that your employer has the right to trample over your rights. You are still entitled to overtime and other benefits. If you believe that your boss is violating your rights, then you may want to contact a lawyer for assistance. You could have an actionable claim for an employment violation.