Missouri’s minimum wage increased to $10.30 per hour Friday, Jan. 1.
In 2018, Missouri voters passed Proposition B, the state’s $12 minimum wage initiative. The law went into effect Jan. 1, 2019, and raised the minimum wage from $7.85 to $8.60, with increases of 85 cents per hour each year until the rate reaches $12 in 2023.
Pursuant to Proposition B, all private businesses are required to pay the minimum $10.30 hourly rate in 2021 except retail and service businesses with gross annual sales less than $500,000. According to the state’s Department of Labor and Industrial Relations, employers not subject to the minimum wage law can pay employees wages of their choosing.
Tipped employees in businesses subject to the minimum wage law must be paid half of the state minimum wage rate. However, according to the state, if the tipped employee does not make up the other half of the minimum wage in tips, the employer is required to pay the difference so that the tipped employee is paid $10.30 per hour in 2021.
Missouri’s minimum wage law does not apply to public employers. The law also does not allow the state’s minimum wage rate to be lower than the federal minimum wage rate.
After 2023, the wage rate will be indexed and increase according to the Consumer Price Index, states a release.
Employers found in violation of Missouri minimum wage law can be liable for the full amount of wages due as liquidated damages, less any amount actually paid, and for other costs such as attorney fees should a lawsuit result.