New Jersey’s Minimum Wage Increases Starting January 1, 2023

New Jersey’s Minimum Wage Increases Starting January 1, 2023

December 21, 2022

Source: Saiber Employment Law Alert

New Jersey’s new mandatory minimum wage requirement will be effective January 1, 2023.

For most employers, the 2023 minimum wage for compensating employees will be $14.13 per hour (up from $13 per hour in 2022). For tipped employees, the minimum cash wage the employer must pay is $5.27 per hour (up from $5.13 per hour in 2022), provided that the cash wage paid by the employer plus tips earned by the employee equals the $14.13 per hour minimum wage.

There are other exceptions to the $14.13 per hour general minimum wage requirement.  For example, employees of seasonal and small employers (fewer than six employees) will have their pay increased from $11.90 to $12.93 an hour. Agricultural workers will have their pay increased from $11.05 to $12.01, and direct care staff at long-term care facilities will receive a $1.13 increase in pay to $17.13 per hour.

The minimum wage increase which goes into effect on January 1, 2023, is one of a series of incremental minimum wage increases that have been taking place pursuant to a law signed by Governor Murphy in 2019, which had set forth that the minimum wage would increase to at least $15.00 per hour on January 1, 2024. Saiber LLC discussed the law, which amended the New Jersey Wage and Hour law, in a February 7, 2019 article available here

If you have any questions on the applicable minimum wage for your workforce, please contact DanaLynn Colao or Paola Hemsley of Saiber LLC’s Employment & Labor Law practice group.