NJ votes to increase minimum wage to $8.25

Thumbnail image for nj1.jpgOn Election Day, NJ voters approved a constitutional amendment increasing the state’s minimum wage by $1, from $7.25 to $8.25. The new wage rate will take effect on January 1, and future increases will be tied to inflation.

Governor Chris Christie, who was re-elected on Tuesday had opposed the increase, claiming that the state’s economy would have a difficult time withstanding the increase.

New Jersey becomes the 20th state to establish a minimum wage higher than the federal minimum of $7.25.

Estimates suggest that the increase will affect about 400,000 NJ families. Hopefully, the wage hike does not affect hiring, especially in small businesses.

NJ business will want to be sure that, come January 1, they are not only paying out the proper minimum wage, but also accurately calculating overtime when minimum-wage employees work more than 40 hours in a workweek, lest they wish to find themselves in hot water with the NJ Department of Labor and Workforce Development.