Companies Need to Budget Now for Minimum Wage Increase

Companies Need to Budget Now for Minimum Wage Increase

By Amy L. DeLuca, Esq.

As we move through the fourth quarter and companies are planning budgets for 2021, one factor that must be considered is the increase to Ohio’s minimum wage.  Effective January 21, 2021, for companies with annual gross receipts over $323,000.00, Ohio’s general minimum wage for non-tipped employees will increase to $8.80/hr. and for tipped employees to $4.40/hr.  Certain exceptions for companies with lesser annual gross receipts and workers ages 14 and 15 exist which may allow qualifying companies to pay a lesser hourly rate.  Unless a company verifies an exception applies, budgets should account for the minimum wage increase.

 

This article provides an overview and summary of the matters described therein. It is not intended to be and should not be construed as legal advice on the particular subject.