Vermont minimum wage to increase in 2021

Local News


MONTPELIER, Vt. (NEWS10) — The Vermont Department of Labor announced an impending increase to the state’s minimum wage on October 1. Beginning January 1, wages will start at $11.75 per hour.

This increase represents $0.79, up from $10.96. The increase was calculated according to Act 86 of the 2019 Vermont General Assembly.

This adjustment will also affect the wages of service or tipped employees. Their rate is equal to 50% of the full minimum wage, so it will be $5.88 per hour in the new year.

According to current statutes, the minimum wage is set to increase again in 2022, this time to $12.55 per hour. In 2023 and beyond, the minimum wage will increase annually with inflation, calculated by the Department of Labor.

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