MONTPELIER —Vermont’s minimum wage is going up.
Beginning Jan. 1, 2021, the state’s minimum wage will increase 79 center per hour, from $10.96 to $11.75 per hour, Vermont Department of Labor announced. The calculation for this increase is in accordance with Act 86 of the 2019 Vermont General Assembly.
This adjustment also affects the minimum wage of “tipped employees.” The Basic Tipped Wage Rate for service or tipped employees equals 50% of the full minimum wage or $5.88 per hour starting Jan. 1.
The measure is expected to increase wages for about 40,000 Vermont residents.
The minimum wage is set to increase to $12.55 per hour in 2022 as determined by current state statute. After 2022, the minimum wage will resume increasing annually with inflation as calculated by the Department of Labor.
A move to make Vermont’s minimum wage $15 per hour failed last year.
For more information about the Vermont Department of Labor, visit: labor.vermont.gov.