Florida’s Minimum Wage Increases

TALLAHASSEE, Fla. - The minimum wage in Florida increased to $14 an hour on Tuesday, but one expert says this can come with negative side effects. 

“One of those trade-offs is we may have those that are employed at a higher wage, but then we’re going to have fewer jobs that are going to be created,” said Director of Florida State University’s Devoe L. Moore Center Sam Staley. “It’ll be harder for people to enter into the labor market at those lower ends.”

The gradual increase is part of a larger plan decided by voters in 2020 to eventually raise the minimum wage to $15 an hour. Staley said this could make it difficult for companies to keep up with wages if their revenue hasn’t increased. 

“If you’re in a company that doesn’t see its revenue growing significantly, any increase in the labor cost is going to limit their margin,” Staley said. “What the research has shown is that businesses are very reluctant to let people go. They’ll keep people on as long as they can. What they won’t do is hire new people.” 

That is where the long-term effects of raising the minimum wage could backfire, according to Staley. 

“The people that really need the jobs the most are probably not going to be able to get the jobs,” he said. “And, these are people that are willing to say ‘Okay I don’t need $15 an hour. I’ll work for $10 an hour if you give me a shot - if you give me a chance to show what I can do.’” 

Employees who receive tips are also expected to see a $1 increase. 

Previously, base pay for tipped employees was $9.98. Now, the base is $10.98. 

At the same time, raising the minimum wage isn’t all bad, according to Staley. 

“If you are one of the people that has a job that ends up with the wage going to $14 an hour, that is going to be beneficial to you,” Staley said.

Minimum wage is set to increase again on Sept. 30, 2026 to $15 an hour. In the following years, the base will be adjusted annually to account for inflation.