Update Applicable to:
All employers of tipped employees in the District of Columbia (D.C).
On January 17, 2023, the Council of the District of Columbia approved emergency legislation Tuesday, postponing the implementation of tipped minimum wage to May 2023.
What are the details?
The Initiative Measure No. 82, the District of Columbia Tip Credit Elimination Act of 2022, was enacted on November 30, 2022 (D.C. Act 24- 1149) and was set to date to increase the tipped minimum wage at no less than $6.00 an hour with tips on top as of January 1, 2023. However, the legislation was transmitted to congress on January 10, 2023, and has a projected law date of March 8, 2023. This emergency changes the effective date of the $6.00 an hour tipped minimum wage from January 1, 2023, to May 1, 2023.
Beginning July 1, 2023, the minimum wage in the District of Columbia will increase from $16.10 per hour to $17.00 per hour for all workers, regardless of the employer’s size.
Beginning May 1, 2023, the base minimum wage for tipped employees will increase from $5.35 per hour to $6.00.
Beginning July 1, 2023, the base minimum wage for tipped employees will increase from $6.00 per hour to $8.00. However, if an employee’s hourly tip earnings (averaged weekly) added to the base minimum wage do not equal the District’s full minimum wage, the employer must pay the difference.
For more information, please see the links below:
2023 Minimum Wage Increase Notice
What do employers need to do?
Employers should review the links provided above and adjust their minimum wage to comply with the law once it goes into effect.