(Cross-posted from the CEPR blog)
At the beginning of 2014, thirteen states increased their minimum wage. Of these thirteen states, four passed legislation raising the minimum wage (Connecticut, New Jersey, New York, and Rhode Island). In the other nine, the minimum wage automatically increased in line with inflation at the beginning of the year (Arizona, Colorado, Florida, Missouri, Montana, Ohio, Oregon, Vermont, and Washington state).
Last month, CEPR looked at state-by-state employment growth in the first two months of 2014, highlighting these 13 minimum wage-raising states for easy comparison. Using new employment data from the BLS, we can now update these figures with data from the month of March.
Below, the chart shows the percentage change in employment for each state. The baseline is the average of the October, November, and December 2013 employment figures, which were measured against the average employment level for 2014 (January, February, and March). Overall, the findings are even more positive than last month’s employment figures. We see, again, little to no evidence for the claim that raising the minimum wage threatens job creation efforts. Read More