If you’re a worker covered by the Kentucky minimum wage, you’ll likely receive an increase in the near future. Several people have contacted me with questions about the state minimum wage. How will it change, if the federal minimum wage changes.
Here’s the good news for workers: as the federal minimum wage increases, so does the Kentucky minimum wage. Kentucky is one of a number of states that don’t’ list a dollar amount in the minimum wage stature. Instead, the state minimum wage is tied to the federal rate. That means that as the federal rate increases, so will the state rate. Several other states also have similar laws, including Iowa, Oklahoma, New Hampshire, Texas, Utah and Virginia.
Currently the Kentucky minimum wage is $5.15 per hour. It’s the same as the federal minimum wage. The federal minimum wage has been unchanged in almost 10 years. But that’s about to change.
Every time the federal minimum wage increases, the Kentucky minimum wage will go up, as well. The federal minimum wage bill currently before Congress would increase the minimum wage by a total of $2.10 over 26 months. The changes would occur in three steps of 70 cents each. The first incremental increase, from $5.15 per hour to $5.85 per hour would occur just 60 days after the federal minimum wage bill was passed. Under Kentucky law, the state minimum wage would increase to $5.85 per hour. That change is likely to take place in April or May of this year.
The second increase in the federal minimum wage would occur 14 months after the bill is signed by the President, probably in the spring of 2008. At that time, the federal minimum wage increases by 70 cents to $6.55 per hour. At that time, the Kentucky minimum wage would also increase to $6.55 per hour.
The final 70-cent increase in the federal minimum wage will occur 26 months after the present bill is signed into law. At that time, the federal minimum wage will increase by 70 cents to $7.25 per hour. At that point, the Kentucky minimum wage would increase to $7.25 per hour as well.