The Ohio Department of Commerce has announced that Ohio’s minimum wage rate will stay the same next year. The current minimum wage rate is $8.10 per hour for nontipped employees and $4.05 per hour for tipped employees. The state minimum wage applies to employees of businesses with annual gross receipts of more than $297,000 per year.
Ohio’s minimum wage rate is tied to the Consumer Price Index (CPI). The minimum wage rate is adjusted each year for any increase in the CPI over the prior year. Although the minimum wage rate is increased by the rate of inflation, it is not adjusted downward for a decrease in the CPI. Over the twelve month period from September 1, 2014 to August 31, 2015, the CPI declined 0.3 percent. Therefore, the current minimum wage rate will stay in effective for 2016.
Although Ohio’s minimum wage rate will remain unchanged, employers will be required to post updated Minimum Wage postings for the 2016 posting effective year. CPC will publish updated 2016 Ohio All-On-One law posters later this year. Look for our cost-saving Minimum Wage Peel ‘N Post update, too.