New Jersey sets new statewide minimum wage rates effective January 1, 2026

Michele Siekerka, President & CEO
Michele Siekerka, President & CEO - New Jersey Business & Industry Association
0Comments

New Jersey will raise its statewide minimum wage to $15.92 per hour for most employees starting January 1, 2026. This marks a 43-cent increase from the previous rate.

The law allows a slower wage increase for employees of seasonal and small businesses, with their minimum hourly wage set to rise to $15.23 at the start of 2026, up from $14.53. These rates are scheduled to continue increasing until 2028 to reduce financial strain on these employers.

The New Jersey Department of Labor and Workforce Development determines annual adjustments based on changes in the Consumer Price Index provided by the U.S. Bureau of Labor Statistics.

Agricultural workers follow a different schedule, with their minimum wage rising incrementally until 2030. In 2026, farmworkers paid by the hour or piece-rate will see their pay go up to $14.20 an hour from $13.40.

Long-term care facility direct care staff will also see a raise in their minimum hourly wage, moving up by 43 cents to $18.92 per hour in 2026. A law passed in New Jersey in 2020 requires that direct-care staff be paid at least $3 more than the general statewide minimum wage as part of efforts to address workforce shortages and high turnover in these facilities.

Once increases for small and seasonal employers (in 2028) and agricultural workers (in 2030) are complete, all categories will have their minimum wages adjusted annually along with other employee groups.

For tipped workers, the cash wage will increase from $5.62 to $6.05 an hour while the maximum tip credit employers can claim remains at $9.87 per hour. Employers must ensure that tips plus cash wages meet or exceed the state’s minimum; otherwise, they are required to pay the difference.

More details about New Jersey’s minimum wage laws can be found on the official state website.



Related

Michele Siekerka President & CEO

Freelancers and businesses raise concerns over new independent contractor rules in New Jersey

Freelancers and employer groups have voiced strong opposition before lawmakers against new labor regulations set by New Jersey’s Department of Labor & Workforce Development. Critics argue these rules threaten flexible gig work arrangements while increasing legal risks for businesses.

Michele Siekerka President & CEO

NJBIA urges Senate Labor Committee to void new independent contractor rule

The New Jersey Business and Industry Association urged lawmakers on May 11 to reject or revise a new rule affecting independent contractors. The group says current regulations could harm freelancers and businesses statewide. Lawmakers will review possible legislative solutions during a temporary delay.

Michele Siekerka President & CEO

NJBIA president raises concerns over proposed $25 minimum wage legislation

Michele Siekerka of NJBIA discussed concerns over new federal efforts to set a $25 per hour minimum wage. She highlighted potential impacts on entry-level jobs, business affordability, wage compression across staff levels, and key industries like tourism.

Trending

The Weekly Newsletter

Sign-up for the Weekly Newsletter from New Jersey Review.