Press Release Says, New Alaska Minimum Wage Effective July 24

JUNEAU, Alaska—Mirroring an increase in the federal minimum wage to $7.25 an hour, Alaska’s minimum wage will increase 10 cents, from $7.15 an hour. On Jan. 1, the state’s minimum will go to 50 cents above the federal minimum wage, or $7.75 per hour.

Governor Sarah Palin recently signed Senate Bill 1 into law, increasing Alaska’s minimum wage for the first time in more than six years.

“Under the new law, when the federal minimum wage increases, the Alaska wage will automatically adjust to 50 cents higher,” Labor Commissioner Click Bishop said.

The increase applies to all employees in the private sector, whether working in a for-profit or not-for-profit
business.

Economists at the Alaska Department of Labor say it’s too early to predict the impact of this increase, although they acknowledge that real earnings have steadily been declining, meaning that wages have not kept pace with inflation in Alaska.