1. What is the current minimum wage in Hawaii, and how does it compare to the federal minimum wage?

The current minimum wage in Hawaii is $10.10 per hour. This is higher than the federal minimum wage of $7.25 per hour.
2. When was the last time the minimum wage in Hawaii was raised?
The minimum wage in Hawaii was last raised on January 1, 2018, from $9.25 to $10.10 per hour.
3. How often does the minimum wage in Hawaii get adjusted?
The minimum wage in Hawaii is typically adjusted every few years by the state legislature, based on various economic and social factors.
4. Is there a plan to increase the minimum wage in Hawaii in the near future?
Yes, there are ongoing discussions and proposals to further increase the minimum wage in Hawaii. The state legislature has recently passed a bill that would gradually raise the minimum wage to $15 per hour by 2023.
5. What industries are exempt from paying the minimum wage in Hawaii?
There are some exemptions from paying the minimum wage for certain types of employment, such as agricultural workers, domestic workers, and employees of small businesses with annual gross sales of under $100,000. However, these exemptions may vary depending on specific circumstances and may be subject to change by state legislature or court decisions.
6. Are tipped employees entitled to receive at least the full minimum wage in Hawaii?
Yes, tipped employees in Hawaii must receive at least the full minimum wage of $10.10 per hour before tips are included.
7. How does living cost affect the minimum wage in Hawaii?
The cost of living certainly plays a role in determining the minimum wage in Hawaii and other states, as it affects how far an individual’s wages can stretch for basic necessities such as housing, food, transportation, etc. Cost of living data is often factored into discussions and debates about potential increases to the minimum wage.
8. Does Hawaii have any cities or counties with a higher local minimum wage?
Yes, certain cities and counties in Hawaii have implemented higher minimum wage rates, such as Maui County which has a minimum wage of $11.50 per hour. However, the state minimum wage of $10.10 still applies to all other areas outside of these localities.

2. Which states have a higher minimum wage than the federal level, and how much higher is it?

As of January 2022, the following states have a higher minimum wage than the federal level of $7.25 per hour:

1. California – $15 per hour for employers with 26 or more employees; $14 per hour for employers with 25 or fewer employees
2. Washington – $14.49 per hour
3. Massachusetts – $14.25 per hour
4. New Jersey – $12 per hour
5. New York – $12.50 per hour
6. Colorado – $12.56 per hour
7. Illinois – $12 per hour
8. Maryland – $11.75 per hour
9. Connecticut – $13 per hour
10 . Arizona- $11 an hour

Note: Some cities and counties within these states may also have higher local minimum wages.

Additionally, as of January 2022, the District of Columbia has a minimum wage of $16 an hour, and the U.S. territory of Guam has a minimum wage of $9.25 an hour.

3. How often does Hawaii reassess and potentially raise its state-level minimum wage?

Hawaii’s state minimum wage is adjusted every year on January 1st.

4. What factors influence the decision to set a state-specific minimum wage rather than relying on the federal level?

1. Cost of living: States with higher costs of living, such as New York or California, may choose to set a higher minimum wage than the federal level to reflect the higher expenses workers face in those states.

2. Political climate: Some states may have a political climate that supports a higher minimum wage, which may not be the case at the federal level. For example, states with more progressive leaders and policies are more likely to pass legislation for a state-specific minimum wage.

3. Local economic conditions: The local economy of a state can also influence the decision to set a state-specific minimum wage. If the state has a strong economy with low unemployment and high demand for workers, they may choose to increase the minimum wage to attract and retain workers.

4. Labor market competition: States may also set their own minimum wage in response to neighboring or rival states that have different minimum wages. This can lead to a “race to the top” where states compete for workers by offering higher wages.

5. Public opinion: The views and preferences of voters in each state can also have an impact on whether a state-specific minimum wage is implemented. States where there is strong public support for increasing the minimum wage are more likely to pass legislation for it.

6. State budget concerns: Some states may consider their budget constraints when setting a minimum wage, as increasing it could lead to increased labor costs for businesses, which could then affect tax revenues.

7. Industry influence: Different industries may have varying levels of influence on state lawmakers and can lobby for or against increases in the minimum wage depending on how it would affect their operations and profits.

8. Historical precedent: Some states have long-standing traditions of setting their own minimum wage levels rather than relying on the federal government’s rates.

9. State laws and regulations: Each state has its own laws and regulations that govern labor practices, so they may need to set their own minimum wage to comply with these laws.

10. Flexibility for local governments: Some states allow local governments to set their own minimum wage rates within the state, giving them flexibility to address specific economic conditions in different regions.

5. Are there any exemptions or exceptions to Hawaii’s minimum wage law, such as for certain industries or types of workers?

Yes, there are several exemptions and exceptions to Hawaii’s minimum wage law. These include:
– Tipped employees: Employers may pay a lower minimum wage of $9.35 per hour to employees who regularly receive at least $20 per month in tips.
– Learners and apprentices: A training wage of at least 85% of the minimum wage ($9.10 per hour) may be paid to employees under the age of 20 during their first 90 days of employment.
– Student workers: Full-time students employed by certain educational institutions may be paid a special minimum wage of at least 85% ($9.10 per hour) during the school year and 100% ($10.10 per hour) during vacation periods.
– Physical or mental disability: Individuals with disabilities that affect their earning capacity may be exempt from the minimum wage law if they obtain a certificate authorizing subminimum wage.
– Agricultural workers: Workers employed on farms that produce crops for market are exempt from the state’s minimum wage law, but must still be paid at least the federal minimum wage.
– Family members in a business owned by a family member: Immediate family members who work in a business wholly owned by another immediate family member are exempt from the state’s minimum wage law.

Note that some counties in Hawaii have their own minimum wage laws, which may have additional exemptions and exceptions.

6. How does Hawaii’s cost of living factor into establishing a state-level minimum wage?

The cost of living is a key consideration when establishing a state-level minimum wage in Hawaii. The high cost of living in Hawaii, particularly for necessities like housing and food, makes it difficult for workers to make ends meet on the federal minimum wage. As such, policymakers and advocates often argue that a higher minimum wage is necessary to ensure that workers in Hawaii can afford basic living expenses.

Furthermore, the high cost of living may also impact businesses in Hawaii, as they may struggle to attract and retain workers if wages are not competitive with the high cost of living.

Additionally, Hawaii’s unique economy, which relies heavily on tourism and service industries, can also lead to inconsistent levels of income for workers. A state-level minimum wage could help mitigate this issue by providing more stable wages for these workers.

Overall, the high cost of living in Hawaii is an important factor in determining a state-level minimum wage that is both livable for workers and sustainable for businesses.

7. Have there been recent movements or proposed legislation to increase Hawaii’s minimum wage beyond the federal level?

Yes, there have been recent movements and proposed legislation to increase Hawaii’s minimum wage beyond the federal level. In 2017, Governor David Ige signed into law a gradual increase in the minimum wage leading to $15 per hour by 2024. This legislation also established a schedule for annual increases to ensure that the minimum wage keeps pace with inflation. Additionally, there have been ongoing discussions and proposals to raise the minimum wage even further to reach a living wage for workers in Hawaii.

8. Does Hawaii’s minimum wage apply to all workers, or are there different rates for tipped employees, minors, or other groups?

Hawaii’s minimum wage applies to all workers, with no exceptions for tipped employees or minors. The current minimum wage is $10.10 per hour, and it is the same for all employees regardless of age or occupation.

9. Is Hawaii currently facing any challenges or controversies regarding its state minimum wage law?

Yes, Hawaii is facing some challenges and controversies regarding its state minimum wage law.

1. Minimum Wage Increase: One major controversy is the push for a higher minimum wage in Hawaii. In 2020, the state’s minimum wage increased to $10.10 per hour, making it the highest in the country at that time. However, there have been ongoing efforts and debates to raise it even further, with some advocating for a $15 per hour minimum wage.

2. Impact on Small Businesses: Some small business owners argue that a higher minimum wage would lead to increased labor costs and negatively impact their ability to stay financially viable.

3. Cost of Living vs Minimum Wage: Hawaii has one of the highest costs of living in the United States. This has led to concerns that the current minimum wage is not enough for individuals to support themselves and their families in such an expensive state.

4. Differential Wages for Tipped Workers: Like many other states, Hawaii allows employers to pay tipped workers a lower hourly rate than non-tipped workers as long as they make up the difference with tips. This has been a controversial issue as some believe tipped workers should receive the same minimum wage as all other employees.

5. Exemptions for Certain Industries: The state’s minimum wage law includes exemptions for certain industries such as farm workers and hotel employees who receive gratuities. These exemptions have been criticized by labor groups who argue that these workers also deserve fair wages.

6 . Enforcement: There have been concerns raised about the enforcement of Hawaii’s minimum wage law and whether employers are complying with it effectively.

7. Future Increases: As of now, there are no scheduled increases to Hawaii’s minimum wage beyond 2020. This has sparked debates about whether there should be regular increases tied to inflation or other factors.

Overall, while some praise Hawaii’s high minimum wage compared to other states, others believe more needs to be done to ensure fair wages for workers in the state.

10. What impact does raising the state-level minimum wage have on businesses and the overall economy in Hawaii?

The impact of raising the state-level minimum wage in Hawaii on businesses and the overall economy can vary depending on a variety of factors, including the size and industry of the businesses affected, as well as the extent to which the minimum wage is raised. However, some potential impacts could include:

1. Increased labor costs for businesses: The most immediate impact of a higher minimum wage is an increase in labor costs for businesses that employ workers earning at or near the minimum wage. This can be particularly challenging for small businesses with tight profit margins.

2. Higher prices for consumers: In order to offset increased labor costs, businesses may raise prices for goods and services, which could potentially lead to higher costs for consumers.

3. Reduced profits for businesses: With higher labor costs and potential pressure to keep prices competitive, businesses may see a decrease in profits as they adjust to a higher minimum wage.

4. Reducing employment opportunities: Some studies have shown that increasing the minimum wage can lead to job losses or reduced hiring, particularly for low-skilled workers who are most likely to be affected by the change.

5. Increased productivity and skills training: On the other hand, some research suggests that raising the minimum wage can also incentivize employees to work harder and invest in additional skills training in order to earn more.

6. Potential benefits for workers: A higher minimum wage means that workers earning at or near this level would see an increase in their wages, potentially leading to improved financial stability and quality of life.

7. Boosting consumer spending: As low-wage workers have more disposable income when their wages increase, they may spend more on goods and services, which could stimulate economic growth.

8. Reduce income inequality: By narrowing the gap between low-wage earners and other workers, raising the minimum wage can help reduce income inequality within society.

9. Potential impact on tourism industry: Hawaii’s tourism industry heavily relies on low-wage service sector jobs that may be affected by an increase in the minimum wage. Higher labor costs could potentially lead to higher prices for tourists and impact the competitiveness of the industry.

10. Overall impact on the economy: The effects of raising the minimum wage on the overall economy are complex and depend on various factors, including how businesses respond to the change, how consumers adjust to any price increases, and potential job losses or gains. Some studies suggest that raising the minimum wage has a positive effect on economic growth, while others raise concerns about potential negative impacts.

11. Does Hawaii’s low unemployment rate influence discussions about potential increases to the state minimum wage?

There is no definitive answer to this question. Some people may argue that Hawaii’s low unemployment rate suggests that the current minimum wage is sufficient and should not be raised, as businesses are able to maintain their workforce without offering higher wages. Others may argue that the low unemployment rate is due to other factors, such as a strong tourism industry, and that increasing the minimum wage could still benefit workers who are struggling to make ends meet. Ultimately, discussions about potential increases to the state minimum wage are likely influenced by a variety of factors, including economic data and political beliefs.

12. How do neighboring states’ minimum wages compare to that of Hawaii and affect local competition and worker migration?

Currently, Hawaii has one of the highest minimum wages in the United States at $10.10 per hour, which is slightly higher than the federal minimum wage of $7.25 per hour. However, other nearby states have different minimum wage rates that may affect local competition and worker migration.

For example, California has a minimum wage of $13 per hour, which is significantly higher than Hawaii’s. This could potentially attract workers from Hawaii to move to California for better job opportunities and higher pay.

On the other hand, some neighboring states such as Nevada and Arizona have lower minimum wages at $8.75 and $12 respectively. This may discourage workers from those states to relocate to Hawaii for employment opportunities.

Overall, differences in minimum wage rates between states can affect the labor market dynamics, with workers potentially seeking out higher paying jobs in neighboring states or employers moving their business to states with lower labor costs. However, factors like cost of living and availability of jobs in certain industries also play a significant role in worker migration patterns.

13. Has Hawaii’s state-level minimum wage kept pace with inflation over time?

Yes, Hawaii’s state-level minimum wage has generally kept pace with inflation over time. In 2020, the state’s minimum wage was $10.10, which is higher than the federal minimum wage of $7.25 and has been increased regularly since 2007. Between 1992 and 2020, Hawaii’s minimum wage has consistently increased to keep up with inflation.

According to data from the Bureau of Labor Statistics (BLS), the real value of Hawaii’s minimum wage in 2019 was at its highest point since 1976, when the BLS first began tracking this data. This means that accounting for inflation, Hawaii’s current minimum wage is one of the highest it has been in history.

However, some argue that Hawaii’s cost of living is much higher than the national average and that even with these increases, the minimum wage may not be enough to cover basic living expenses for many households in the state. This discrepancy is due to a variety of factors including high housing costs and limited job opportunities in certain industries.

In response to these concerns, there have been efforts to further increase Hawaii’s state-level minimum wage beyond what is required by federal law. In fact, as of January 2021, Hawaii had legislation pending that would gradually raise the minimum wage to $15 per hour by 2025. However, it remains to be seen if or when this increase will be implemented.

14. Do unions play a role in advocating for increases to the state’s minimum-wage law in Hawaii?

Yes, unions have played a significant role in advocating for increases to the state’s minimum-wage law in Hawaii. In 2014, the Hawaii State AFL-CIO, along with other labor organizations, successfully lobbied for a gradual increase of the state’s minimum wage from $7.25 to $10.10 by January 2018. Additionally, unions have continued to push for further increases and have been vocal supporters of proposals to raise the minimum wage to $15 per hour.

Unions see raising the minimum wage as essential for improving working conditions and increasing wages for their members. They argue that it helps workers keep up with the rising cost of living in Hawaii and reduces income inequality. Unions also believe that a higher minimum wage can boost consumer spending and stimulate economic growth.

In recent years, unions have also been involved in negotiations with employers and lawmakers regarding exemptions from the minimum-wage increases for certain industries or workers. They have advocated for these exemptions based on concerns that small businesses or specific industries may not be able to afford the higher wages.

Overall, unions continue to be influential advocates for increasing the state’s minimum-wage law in Hawaii and ensuring fair wages for all workers.

15. How does increasing the state-level minimum wage potentially impact income inequality within Hawaii?

Increasing the state-level minimum wage can potentially impact income inequality within Hawaii in several ways:

1. Lower-income workers benefit: Increasing the minimum wage would directly benefit low-wage workers who are more likely to be at the bottom of the income distribution, leading to a decrease in income inequality. This would also help those living below the poverty line to move closer to a livable wage.

2. Decreased reliance on government assistance: With higher wages, workers may have less need for government assistance programs such as food stamps and housing subsidies. This leads to more equal income distribution as fewer people rely on government aid for their basic needs.

3. Boost in consumer spending power: As lower-income workers earn more money, they will have more disposable income to spend on goods and services, leading to an increase in overall economic activity. This can result in a positive multiplier effect as higher demand drives businesses to expand and hire more employees.

4. Increased competition among employers: With a higher minimum wage, employers are forced to compete for employees by offering better wages and benefits. This could lead to a narrowing of wage gaps between different job levels within companies and across industries, resulting in decreased income inequality.

5. Potential job loss for low-skilled workers: Some experts argue that increasing the minimum wage could lead to layoffs or reduced hours for low-skilled workers as businesses adjust to higher labor costs. This can disproportionately affect certain groups of workers, such as teenagers or individuals without college degrees, which may widen income inequality.

Overall, while there are potential drawbacks, increasing the state-level minimum wage can be an effective policy tool for reducing income inequality within Hawaii by boosting incomes and increasing purchasing power for low-wage earners.

16. Do different counties or regions within Hawaii have different local rates for their respective county/city compared to the overall state level?

Yes, different counties or regions within Hawaii may have different local rates for their respective county/city compared to the overall state level. Each county/city can set its own local tax rate, which can differ from the state’s tax rate. For example, Honolulu County has a sales tax rate of 4.71%, while Maui County has a sales tax rate of 4%. This difference in local rates is due to variations in budget and spending priorities among different counties/cities in Hawaii.

17. Are there efforts being made to align both federal and state laws regarding their respective national/state-wide minimum wages in Hawaii?

Yes, there have been efforts to align federal and state laws regarding their minimum wages in Hawaii. In 2020, Hawaii Governor David Ige signed a law to gradually increase the state’s minimum wage from $10.10 per hour to $15 per hour by 2024. This aligns with the federal minimum wage proposal to raise the minimum wage to $15 per hour by 2025. However, there are ongoing discussions and debates about whether the minimum wage should be increased further and at a faster rate at both the federal and state level.

18. How do small businesses in Hawaii navigate and adjust to changes in state-level minimum wage laws?

Small businesses in Hawaii navigate and adjust to changes in state-level minimum wage laws by carefully monitoring and understanding the state’s minimum wage laws and any changes that are made to them. This includes regularly checking for updates and staying informed on any proposed changes or increases.

Some steps that small businesses can take to navigate and adjust to changes in state-level minimum wage laws include:

1. Familiarize yourself with the current minimum wage law: It is important for small business owners to understand the current federal, state, and local minimum wage laws that apply to their business. This will help you determine if any changes will affect your employees’ wages.

2. Monitor proposed legislation: Stay updated on any proposed changes or increases to the minimum wage at the state level. This can be done through business associations, industry publications, or government websites.

3. Plan ahead: If a change in the minimum wage law is anticipated, it is important to plan ahead by assessing how it will impact your business’s finances. This may involve adjusting budgets or pricing strategies.

4. Consider different options: Small businesses can consider different options for adjusting their payroll costs, such as increasing prices, reducing employee hours, automating certain tasks, or hiring more part-time workers instead of full-time employees.

5. Communicate with employees: As a small business owner, it is important to communicate any changes in the minimum wage with your employees transparently and clearly explain how their pay may be affected.

6. Seek professional advice: Small businesses can seek advice from HR consultants or labor attorneys who can provide guidance on how best to comply with changing minimum wage laws.

Overall, navigating and adjusting to changes in state-level minimum wage laws requires careful planning, communication, and understanding of how these changes will impact both employees and business finances.

19. Has the state level minimum wage always been higher than the federal level in Hawaii?

No, the state level minimum wage in Hawaii has not always been higher than the federal level. The federal minimum wage was first established in 1938 with the Fair Labor Standards Act, and at that time it applied to all states including Hawaii. Hawaii passed its own minimum wage law in 1966, but initially it was only 5 cents higher than the federal rate. In subsequent years, Hawaii increased its minimum wage and surpassed the federal level starting in 2007.

20. In recent years, have there been any studies or reports on the impact of Hawaii’s state minimum wage law on workers, businesses, or the economy?

Yes, there have been multiple studies and reports on the impact of Hawaii’s state minimum wage law in recent years. Some examples include:

– A 2018 report by the University of Hawaii Economic Research Organization (UHERO) analyzing the potential impacts of increasing the state minimum wage to $15 per hour. The report concluded that while such an increase would result in higher wages for low-income workers, it could also lead to job losses and increased prices for goods and services.
– A 2020 study by the University of California, Berkeley examining the effects of past minimum wage increases in Hawaii. The study found that these increases led to higher wages for low-wage workers without significant negative effects on employment or business closures.
– A 2020 report by the National Employment Law Project (NELP) providing an overview of Hawaii’s minimum wage laws and their impact on workers and businesses. The report also highlights projected benefits from further increasing the state’s minimum wage.
– An annual report by the Hawaii State Department of Labor & Industrial Relations tracking trends in minimum wage employment and earnings data for the state.