Workers across the U.S. are set for minimum wage increases in 2026. Here’s where.
(CBS NEWS) – According to CBS, some workers will receive pay boosts next year as higher minimum wage regulations take effect in 22 states and 66 cities and counties across the U.S., a change that could help low-income households grappling with an affordability crisis.
On Jan. 1, 2026, the minimum wage is set to rise in 19 states and 49 cities and counties, for a total of 68 jurisdictions, according to a report from the National Employment Law Project (NELP), an advocacy organization for workers.
Later in the year, an additional four states and 22 cities will boost their baseline wages, providing more relief to the lowest-paid U.S. workers, according to the group’s analysis.
Under the Fair Labor Standards Act, the federal wage floor remains at $7.25 an hour, where it has been stuck since 2009. Given the rise in the cost of living in subsequent years, some states and municipalities have chosen to boost their own minimum wages through a combination of ballot measures, inflation adjustments, and legislation.
“Policies increasing the minimum wage have been a lifeline for underpaid workers who have been the most impacted by a growing affordability crisis,” the NELP report states.
Jan. 1 minimum wage increases
Beginning Jan. 1, workers in 60 jurisdictions will earn a minimum wage of at least $15 an hour. In three states and 40 localities, the minimum wage for some or all employers will reach or exceed $17 an hour.
For example, in New Jersey, the wage floor for long-term care workers will rise to $18.92 an hour. New York City, Long Island and Westchester will all increase their baseline pay to $17 an hour.
In some cases, minimum wage changes will be based on the size of the employer. For instance, large employers in Hayward, California — a city near San Francisco — will be required to pay workers a minimum of $17.79 an hour, although the figure for small establishments is $16.90.
In Novato, California, another city in the Bay Area, the wage floor will increase according to employer size. For very large employers, or those with more than 100 workers, the minimum wage will rise to $17.73 an hour. Large employers, or those with 26 to 99 employees, will see a baseline pay of $17.46. Small employers, or those with 25 or fewer workers, will have a minimum wage of $16.90.
Cost-of-living adjustments, raises designed to help workers’ pay keep up with inflation, are driving minimum wage increases in 13 states and 44 cities and counties across the U.S., according to the NELP report.
“In the face of federal inaction, these raises are indexed to inflation, so they match the cost of living,” NELP researcher Tsedeye Gebreselassie told CBS News.
She noted that several increases have been driven by worker-led organizing, kicked off by the Fight for $15, a national movement for better pay and working conditions, which began in 2012.
Some localities continue to have a $7.25 minimum wage. Many of them are in southern U.S. states.
“The contrast between states and cities that are raising wages every year and those that are stuck at $7.25 is really jarring,” Gebreselassie said. “On the one hand, the lack of affordability is about things costing too much, but on the other hand, it means people are not earning enough money to buy things.”
She added, “There is a lot of talk about the former, but we need to make sure we are not losing sight of the fact that workers’ wages need to go up.”
