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Maryland Minimum Wage Increase 2020

During the 2019 legislative session, Maryland’s General Assembly enacted changes to the State’s minimum wage law.  The approved bill will incrementally increase the State minimum wage to $15.00 an hour over a period of years. The first increase it set to take effect on January 1, 2020.  The incremental monetary increases will be different for large (15 employees or more) and small (14 employees or less) employers, except for the first increase taking effect this January.

As of January 1, 2020, the current State minimum wage of $10.10 will be increased to $11.00 an hour for both large and small employers.  To review the full schedule of increases for both large and small employers, please refer to the article “New $15.00 Maryland Minimum Wage” here.

Prince George’s County and Montgomery County remain the only two counties in Maryland with minimum wage standards that are separate and higher than the current State minimum wage.  For both large and small employers, Prince George’s County’s minimum wage will remain at $11.50 an hour until December 31, 2020.  Beginning on January 1, 2021, the State minimum wage will apply.  

Montgomery County defines its employers as follows: Large employers have 51 or more employees; Mid-sized employers have 11-50 employees; and Small employers have 10 or less employees.  The minimum wage in Montgomery County for Large employers from July 1, 2019 - July 1, 2020 is $13.00 an hour.  The minimum wage for Mid-sized and Small employers from July 1, 2019 - July 1, 2020 is $12.50 an hour. 

Now is the time for employers of all sizes to review and evaluate staffing, as well as company policies and procedures, in an effort to ensure a prosperous and compliant new year.

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