LEGISLATION has just passed that would increase wages to $18 for thousands of workers.
Currently, the minimum wage is $10.10 in Hawaii – which is quite low when you consider that the state is widely considered the most expensive area to live in the country.
Plus, it does not help that the inflation rate has shown no signs of slowing down.
As a result, a bill has passed in both the House in the Senate that would raise the minimum wage in the state to $18.
Firstly, you’ll want to keep in mind that the $18 minimum wage won’t go into effect until 2028.
However, once it does, Hawaii could have the highest minimum wage in the country.
Currently, California has the highest, paying at least $15 per hour.
According to financial hardship researcher United For ALICE, 42% of Hawaiian households have “struggled to make ends meet.”
According to data from the Census Bureau, there are 467,932 households in the state.
So, this would likely have a positive financial impact on thousands of lives.
The Sun reached out to House Speaker Scott Saiki to get an exact figure or an estimate.
While it will take some time to get to the $18 mark, wages are set to rise to $12 per hour in Hawaii on October 1.
The bill also would increase the tip credit to $1.50 by 2028.
This credit allows employers to pay below the minimum wage if workers earn enough in tips.
Now, the legislation heads to Governor David Ige’s desk, which he is expected to sign.
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