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Employment Law Alert – Maryland & D.C. Minimum Wages Increased July 1st

July 5, 2017

Maryland & D.C. Minimum Wages Increased on July 1st

The minimum wages in Maryland and D.C. increased on July 1, 2017.  In Maryland, the minimum wage rose from $8.75 to $9.25 in accordance with House Bill 295, signed into law by Governor Martin O’Malley on May 5, 2014. HB 295 will raise the state’s minimum wage to $10.10 by 2018.  The District’s minimum wage increased from $11.50 to $12.50 under the Minimum Wage Amendment Act of 2013.  At the local level, Montgomery County’s minimum wage also increased on July 1, 2017, rising from $10.75 to $11.50.  Prince George’s County will follow suit on October 1, 2017, increasing its minimum wage to $11.50 as well.  Employers should confirm that all applicable payroll changes have been made in order to comply with the new minimum wage. 

DOL Plans to Revise Pending Overtime Rule

Last year, the Department of Labor’s pending overtime rule was put on hold when Federal District Court Judge Amos Mazzant issued a preliminary injunction preventing the DOL from implementing the changes contained in the Rule.  Last Friday, government lawyers told a federal appeals court that the DOL does not plan to pursue implementation of the pending rule in its current form.  Instead, the DOL intends to revise the rule through new rule-making.  The government attorneys have asked the court to affirm that the DOL has the authority to use workers’ salary levels to determine eligibility for overtime pay.  DOL Secretary Alexander Acosta indicated during his confirmation hearing that he might support a moderate increase to the existing salary threshold to account for inflation.  We will continue to monitor this issue as it develops and provide you with timely updates as information becomes available.

The contents of this Alert are for informational purposes only, and do not constitute legal advice. If you have any questions about this Alert, please contact a member of the Shulman Rogers Employment and Labor Law Group or the Shulman Rogers attorney with whom you regularly work.

Contact

Gregory D. Grant
301-230-6578

Meredith “Merry” Campbell
301-255-0550

John D. Clifford
301-230-5216

Joy C. Einstein
301-945-9250