These 21 States Have America’s Lowest Minimum Wage

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By Douglas A. McIntyre Published
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These 21 States Have America’s Lowest Minimum Wage

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The debate over the minimum wage Americans should be paid has been heated at least since the federal government last raised it in 2009 to $7.25. Some economists argued then that the number was not high enough to keep workers above the poverty level, and 11 years later that case has been made with greater strength.

Twenty states will raise their minimum wages on January 1. Among others, California, Connecticut, Illinois, Maryland, Massachusetts, New Jersey and New York are on the way to move their minimum wages to $15 an hour, in most cases in steps. The highest minimum wages in the New Year will be California’s $14, and Washington’s will be at $13.69.

The arguments against the minimum wage generally revolve around the ability of employers to afford higher employee expenses. The logic is that if companies with small margins have to pay higher wages, they will need to lay off people. Fewer people make more money. On balance, it is better to pay $7.25 and have full employment. There is no evidence to support this, but neither is there any that it is categorically incorrect.

The pressure to pay a higher minimum wage has been placed aggressively on large companies. Some, like and Amazon, have raised minimum wages to $15. That is insufficient, however, according to critics. This is based on calculations that a $15 an hour wage is not enough to keep a family of four above the poverty line.
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Twenty-one states continue to have minimum wages the same as the national number. They are Alabama, Georgia, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Mississippi, New Hampshire, North Carolina, North Dakota, Oklahoma, Pennsylvania, South Carolina, Tennessee, Texas, Utah, Virginia, Wisconsin, and Wyoming.

Draw a line south of the Mason-Dixon line, in addition to a circle around the Midwest and the Plains States, and it captures most of the states on the list.
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Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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