Ohio’s minimum wage to increase in 2025; take a look at min. wage in every decade

Ohio’s minimum wage is set to rise to $10.70 per hour starting Jan. 1, 2025, an increase of 25 cents from the current rate of $10.45. The adjustment continues a trend of incremental wage increases aimed at helping workers keep pace with inflation.

The Ohio Department of Commerce announced the new rate as part of the state’s annual wage adjustment, which ties minimum wage hikes to the Consumer Price Index, reflecting inflation rates over the past year. The raise is expected to impact more than 100,000 Ohioans working in industries like retail, hospitality, and food services.

The wage increase is part of a broader effort in Ohio to ensure that low-income workers maintain their purchasing power. However, debates persist over whether such incremental increases are sufficient to meet the rising cost of living.

Wage Growth Over Decades

The minimum wage in Ohio—and nationwide—has seen significant changes over the decades. Looking back to the 1950s, workers were paid only a fraction of what they make today, although the cost of living was considerably lower.

In 1950, the federal minimum wage was just $0.75 per hour. The 1960s saw this rate increase to $1.00 per hour in 1961, reflecting the growing postwar economy and increased labor protections.

By 1970, the minimum wage had risen to $1.60 per hour. This decade was marked by greater federal attention to workers’ rights, spurred by the civil rights movement and growing concerns about income inequality.

In 1980, the minimum wage was $3.10 per hour, but the 1980s saw slower growth compared to previous decades, with wages increasing to only $3.35 per hour by the end of the decade in 1989.

The 1990s brought another modest increase, with the minimum wage rising to $5.15 per hour by 1997, the highest it had been at the time. This decade saw increased efforts to balance wage growth with inflation, though critics argued it still lagged behind cost-of-living increases.

In the 2000s, the wage hit $7.25 per hour in 2009, a figure that remained stagnant at the federal level for over a decade, prompting states like Ohio to introduce their own inflation-tied wage increases. Ohio voters passed a constitutional amendment in 2006 mandating annual adjustments to the state’s minimum wage, which has been rising gradually since then.

Ohio’s minimum wage broke $9.30 per hour in 2022 and continued to increase in small increments each year, resulting in the upcoming $10.70 rate for 2025. The wage is notably higher than the federal minimum of $7.25, which has not been adjusted since 2009.

Economic Impact

For some workers, the new rate will provide a welcome boost, though many advocates argue that a wage of over $15 per hour is necessary to provide a living wage for Ohioans. Business groups, meanwhile, have expressed concern that raising the wage too quickly could force small businesses to cut jobs or reduce hours to absorb higher labor costs.

Despite differing perspectives, Ohio’s minimum wage increase to $10.70 reflects the state’s ongoing effort to adjust wages to economic realities while balancing the concerns of both workers and employers.