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New Alaska Minimum Wage Effective Jan. 1


December 30, 2009

Juneau, Alaska - Alaska's minimum wage will increase to $7.75 an hour on Jan. 1, which is 50 cents above the $7.25 federal minimum wage.

When Senate Bill 1 was signed into law in June, it increased Alaska's minimum wage for the first time in more than six years, in two steps.

"In July, the law called for a 10 cent increase to match the federal minimum wage of $7.25," Labor Commissioner Click Bishop said. "Effective Jan. 1, Alaska's minimum wage will now automatically adjust to 50 cents above the federal minimum wage. Prior to 2003, Alaska's minimum wage was 50 cents above the federal minimum."

The increase applies to all employees in the private sector, whether working in a for-profit or not-for-profit business.

Economists at the Alaska Department of Labor say it's too early to predict the impact of this increase, although they acknowledge that real earnings have steadily been declining, meaning that wages have not kept pace with inflation in Alaska.


Source of News:

Alaska Department of Labor & Workforce Development


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Ketchikan, Alaska