Connecticut’s hourly minimum wage will increase 3.6% to $16.94 from Jan. 1, 2026.
A state law enacted in 2019 implemented five annual increases in the hourly wage and tied future yearly increases to the U.S. Department of Labor’s Employment Cost Index.
The last of those five statutory increases took effect in 2023, when the hourly wage hit $15.
Future increases are calculated based on the change in the ECI “over the 12-month period ending June 30 of the preceding year, rounded to the nearest whole cent.”
The second of those indexed increases took effect Jan. 1 this year, with the minimum wage rising 4.2% to $16.35.
The state’s hourly minimum wage is currently fifth highest in the U.S. after the District of Columbia ($17.50), Washington state ($16.66), California ($16.50), and New York City and Nassau, Suffolk, and Westchester counties ($16.50).
In July 2025, average private sector hourly earnings in Connecticut stood at $38.78, up 4% over the previous 12 months.
CBIA president and CEO Chris DiPentima said Connecticut was among the top five states for wages and wage growth.
“It’s just such a competitive environment,” he told the Connecticut Mirror. “Obviously businesses are doing everything they can with higher minimum wages and flexible benefits.”
Connecticut’s cost of living is among the highest in the country, driven by the state’s tax burden and high energy, housing, and childcare costs.
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