- President-elect Donald Trump said in an interview that he “would consider” raising the federal minimum wage.
- It has been at $7.25 per hour since 2009; however, 30 states and DC have increased their minimum above the federal level.
- Here’s where it stands in every state and the raises both parties have proposed.
President-elect Donald Trump said he’d consider raising the federal minimum wage. It’s been $7.25 per hour since 2009, though 30 states and a slew of cities have adopted higher rates.
“It’s a very low number,” Trump said in an interview with “Meet the Press” that aired on December 8. While he didn’t commit to a specific level, he said that a federal minimum of $8 or $9 “might have very little effect” because of the low cost of living in some areas.
Any raises to the federal minimum wage would directly affect workers in at least the 20 states where, as of July, the minimum wage was at or below the federal level, per the Department of Labor. Most minimum wage jobs are in the service sector, largely in food preparation and serving-related positions.
Washington, DC, has a higher minimum wage than any state in the country at $17.50, though some US cities have raised it even more. Washington state, with a minimum wage of $16.28, and California, with a minimum wage of $16, came in second and third, respectively.
On January 1, 21 states — and 48 cities and counties — are set to see their minimum wages increase, mostly as a result of existing laws, per the National Employment Law Project. In the most recent election, Missouri voted to raise its minimum wage to $15 an hour by 2026, and Alaska voted to hike its minimum to $15 by mid-2027.
The last federal minimum increase was in July 2009, from $6.55 to $7.25. Since then, overall prices based on the consumer price index have gone up around 47% in the US as of November.
Trump pointed out in his “Meet the Press” interview that the cost of living varies across the country, and a federal wage might not be a one-size-fits-all solution.
“The other thing that is very complicated about minimum wage is places are so different,” he said. “Mississippi and Alabama and great places are very different than New York or California in terms of the cost of living and other things.”
Indeed, regional price parities data from the Bureau of Economic Analysis show that Mississippi and Alabama had among the lowest costs of living in the country in 2023, while California and New York were more expensive than the national average. Alabama and Mississippi don’t have state minimum wage laws. The minimum wage in New York is $16 in New York City, Long Island, and Westchester, and $15 for the rest of the state.
While Trump said wage changes like California’s — which hiked it to $20 for fast food workers in April — might go too far, “there is a level at which you could do it, absolutely.” He said before making any changes, he’d want to speak to governors.
President Joe Biden backed a $15 wage, which every Republican senator and eight Democrats ultimately voted against. Some lawmakers on the left have gone even further, with Sen. Bernie Sanders pushing to raise the wage to $17 by 2028.
Some Republicans have also proposed raising the federal minimum wage. While he was still in the Senate, Vice President-elect JD Vance cosponsored a bill to gradually increase it to $11, although that bill also includes additional measures like raising penalties on employers that hire workers living in the country illegally.
The Trump-Vance transition team did not immediately respond to a request for comment from Business Insider on Trump’s potential plans for the minimum wage.
