Tuesday, September 21, 2010
PORTLAND -- Oregon's minimum wage will rise to $8.50 per hour next year, State Labor Commissioner Brad Avakian announced Monday.
The 10-cent increase mirrors a 1.15 percent increase in the Consumer Price Index since August 2009.
Oregon's minimum wage rate has been $8.40 per hour since Jan. 1, 2009.
"This modest increase is the result of a slowly but steadily rising cost of living facing Oregon workers," Avakian said. "By helping workers and their families preserve their purchasing power in difficult times, our strong minimum wage law also benefits our local economies, where workers spend most of their paychecks."
Ballot Measure 25, enacted by Oregon voters in 2002, requires a minimum wage adjustment annually based on changes in inflation as measured by the Consumer Price Index (CPI). The Commissioner of the Bureau of Labor and Industries (BOLI) is directed to adjust the minimum wage for inflation every September, rounded to the nearest five cents.
Oregon is one of 10 states, joining Washington, Vermont, Ohio, Nevada, Montana, Missouri, Florida, Colorado and Arizona, that annually adjusts the minimum wage based on inflation and the CPI.
The CPI, which is published by the United States Bureau of Labor Statistics, is a measure of the average change in prices over time in a fixed "market basket" of goods and services, such as food, shelter, medical care, transportation fares and other goods and services people purchase for day-to-day living.