Minimum wage will rise in six states as of New Year's Day, affecting more than 1.4 million people.
CNN explains that the increase is due to state laws that require minimum wage to keep pace with inflation and accurately reflect the cost of living. Minimum wage in Arizona, Colorado, Florida, Montana, Ohio, Oregon, Vermont and Washington will increase between 28 and 37 cents per hour.
According to the non-profit advocacy group National Employment Law Project (NELP), full-time workers will pocket an additional $582 to $770 annually as a result of the changes, which could provide a much-needed boost for local economies.
"Increasing minimum wage is a key form of local stimulus," Paul Sonn, legal co-director at NELP, told the news source. "It helps front-line workers whose wages have been stagnant and falling by putting more money into the pockets of low income families who then spend the money at local businesses."
The New York Times reports that according to the Economic Policy Institute's analysis of Labor Department data, the majority of those affected are likely to be Caucasian women over the age of 20.
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