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South Dakota Minimum Wage To Increase A Nickel In January

Associated Press0

PIERRE, S.D. (AP) — The state’s minimum wage will bump up a nickel to $8.55 in January because of a cost-of-living increase built into the law that voters approved in November 2014.

The state Department of Labor and Regulation on Thursday announced the increase for 2016.

The voter-approved law took effect in 2015. It initially raised the minimum hourly wage from $7.25 to $8.50, increased the hourly tip wage to half the minimum wage and tied future increases to the cost of living.

Supporters argued the Democratic- and union-backed proposal would boost South Dakota’s lagging personal income, but business groups said it could trigger layoffs and higher prices for some goods and services.

The hourly tip wage is increasing to $4.28 beginning in January.

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