Hawaii’s minimum wage has been $10.10 since 2018. That changes on Saturday, when it grows to $12 per hour.

The Hawaii Legislature this year approved the wage hike, something that was signed into law by Gov. David Ige on June 20.

“The purpose of the minimum wage law is to protect the health, efficiency, and general well-being of workers,” Anne Perreira-Eustaquio, director of the Department of Labor and Industrial Relations, said in a press release Thursday. “The minimum wage rate is a floor designed to protect workers against unduly low pay.”

The minimum wage is scheduled to rise to $14 per hour on Jan. 1, 2024; to $16 on Jan. 1, 2026; and to $18 on Jan. 1, 2028.

Act 114 also addresses the tip credit for wait help, valets and the like.

According to the DLIR, employees “customarily tipped” may be paid at rates lower than the minimum wage “provided the combined amount the employee receives from the employee’s employer and in tips is at least $7 more than the minimum wage.”

You can read exactly how the tip credit is impacted by the new law here.

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