Not Great News for a Friday!

August 09, 2024

Even though the the minimum wage for Virginia was not increased as proposed by the General Assembly from $12 to $13.50 for January 2025, the provision already in the Code of Virginia that requires an annual adjustment in accordance with a percentage of the amount equal to the increase in the Consumer Price Index for all Items (CPI-U) from the previous calendar year is required.  The law specifies that the Commissioner of the Department of Labor and Industry establish the new rate by October 1st.

To assist in “fiscal planning” the letter from the Commissioner was released today and mandates that the minimum wage, effective January 1, 2025, will be $12.41 — a $.41 increase which represents the 3.4% increase in the CPI-U in 2023.    We will again work with the Members of the General Assembly to emphasize the need for rates to reflect such mandatory increases and the obvious issue that the increase must occur before any remediation by the General Assembly is possible!