BIG FALLS – Montana’s minimum wage will increase from $ 8.65 an hour to $ 8.75 an hour starting Friday, January 1, 2021.
The state reports that about 8,000 to 10,000 workers in Montana, or about 2% of the workforce, received hourly wages of less than $ 8.75 an hour in 2020.
In early 2020, the minimum wage in Montana was increased from $ 8.50 to $ 8.65.
The minimum wage is determined by taking the current minimum wage of $ 8.65 and increasing it by increasing the CPI-U from August 2019 to August 2020. The CPI-U increased 1.31% (without adjustment) over the year ended August 2020.
To maintain the minimum wage with the same purchasing power as the previous year, the salary must increase by $ 0.11 an hour, according to the Montana Department of Labor and Industry. However, as state law requires the salary to be rounded up to the nearest 5 cents, the 2021 minimum wage rate will be $ 8.75.
In 2020, the District of Columbia and 29 U.S. states, including Montana, have minimum wages that exceed the federal rate of $ 7.25 per hour.
US Department of Labor (Internet network location):
