For employers in the District of Columbia and Montgomery County, Maryland, the cost of doing business just got more expensive. Effective July 1, 2017, the hourly minimum wage rate in the District of Columbia increased a dollar to $12.50, while in Montgomery County, Maryland, the minimum hourly wage rate went up to $11.50.
Virginia’s minimum hourly wage remains at $7.25, which mirrors the current federal hourly wage rate under the Fair Labor Standards Act (“FLSA”). In jurisdictions like D.C. and Montgomery County, which mandate a higher hourly minimum wage, employers must comply with the state- or locally-established minimum wage rate because it is more favorable to the employee than the FLSA hourly minimum.