Effective January 1, 2015 the Arkansas state minimum wage increased from $6.25 to $7.50 per hour. On January 1, 2016 it will increase to $8.00 per hour and on January 1, 2017 it will increase to $8.50 per hour.
At the polls back on November 4, nearly two thirds of the Arkansas voters who turned out, voted in favor of raising the state minimum wage. This will mean a series of increases over the next several years.
Prior to this measure, Arkansas was one of many states with a minimum wage lower than the federal rate, which has been at $7.25 since July of 2009. An increase to the federal minimum wage would require a bill being passed by Congress and signed by the President. In instances where state and federal minimum wages both apply but are in conflict, the higher wage shall prevail.
It is important to understand the minimum wage and its requirements, whether as an employer or an employee. For questions about minimum wage and how it impacts you contact Potts & Company.