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How Often Does the Minimum Wage Increase in the U.S.? Here’s the Truth Behind the Raise

Learn why the minimum wage in the United States has not increased and what this means for millions of Latinos living paycheck to paycheck.
2025-07-24T00:25:13+00:00
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  • The minimum wage in the United States has remained frozen at $7.25 per hour for over 15 years, with no federal adjustment.
  • Millions of workers, especially Latinos, live on minimum incomes that are not enough to cover their basic expenses.
  • Social pressure is growing, but any increase depends on Congress and the president’s approval.

The federal minimum wage in the U.S. has remained at $7.25 per hour since July 24, 2009.

This rate has not been changed for more than a decade, drawing strong criticism, especially amid inflation.

Although some states have taken the initiative and set higher minimum wages, the federal government has not updated this figure.

How the Minimum Wage Is Applied in the United States

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FOTO: Canva

The Fair Labor Standards Act (FLSA) establishes that the federal minimum wage applies to most non-exempt workers. However, there are specific rules:

  • Tipped workers: They receive $2.13 per hour, as long as their tips bring their total earnings up to the federal minimum wage.
  • Workers under 20 years old: Can be paid $4.25 per hour during their first 90 days of employment.
  • Students: Under certain certificates, they may receive between 75% and 85% of the minimum wage.

Additionally, if a state sets a higher minimum wage, workers must be paid that amount, as is the case in California or New York, where wages already exceed $15 per hour.

Why Has the Federal Minimum Wage Not Increased?

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FOTO: Canva

Although the minimum wage remains the same, support for increasing it has been growing.

According to surveys, 2 out of 3 Americans favor raising it to $15 per hour.

Experts have pointed out that if it had been adjusted since 1968 according to productivity, it should be around $24 per hour today.

A Congressional report estimated that an increase to $15 by 2025 would benefit more than 27 million people and lift 1.3 million families out of poverty.

It has also been debunked that raising the minimum wage destroys jobs; in some cases, increases in consumption and employment have been recorded.

What Impact Does It Has?

Minimum Wage Increase
FOTO: Canva

For many Latinos in the U.S., the minimum wage is their daily reality.

A large part of the community works in low-wage sectors such as construction, cleaning, agriculture, restaurants, or services.

This means that a stagnation in the federal minimum wage leaves them vulnerable to inflation, lack of savings, and limited access to basic services like healthcare and housing.

What Is Expected for the Future?

For there to be an increase in the federal minimum wage, Congress must pass a law and the president must sign it.

Although there have been recent attempts, they have not succeeded due to a lack of political consensus.

Meanwhile, each state will continue to set its own minimum wage, resulting in significant differences depending on where you live and work.

Conclusion: The Stagnation of the Minimum Wage Continues to Affect Millions

The minimum wage in the United States has not changed in 15 years. And while prices rise, wages do not keep pace.

For Latinos, knowing their rights, understanding how the minimum wage works, and demanding improvements can be key to building a more dignified life.

Economy
Money
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