New Jersey Minimum Wage Rises to $15.23 for Small Employers in 2026

Seasonal and small employers across New Jersey will bump wages to $15.23 an hour come Jan. 1, 2026. That's 70 cents more than what workers earn now at $14.53. This marks another yearly jump that started when Gov. Phil Murphy signed a 2019 law.

Most workers will get $15.92 an hour. The current rate? $15.49. Back in 2018, when Murphy took office, the minimum sat at just $8.60.

Farm workers will receive $14.20 an hour, climbing from $13.40. Home health aides will pull in $18.92 an hour — 43 cents more than before. Tipped workers get $6.05 an hour instead of $5.62, but bosses must cover any shortfall if tips don't hit the state minimum.

Labor Commissioner Robert Asaro-Angelo described the minimum wage law as "a major step toward economic equity." The law mandates future increases pegged to the consumer price index and figures from the U.S. Bureau of Labor Statistics.

"Governor Murphy's administration has delivered on its promise to create a stronger, fairer economy by nearly doubling the minimum wage since 2018," Asaro-Angelo said in a statement, according to Patch. "Annual increases tied to the Consumer Price Index will empower New Jersey workers for years to come."

The New Jersey Business and Industry Association voiced worries about this change. NJBIA CEO Michele Siekerka argued that "the market is the best, natural determinant of wages." She added, "But the truth is, many entry-level positions already exceeded the $1-per-year increase over the past five years, especially after COVID."

Business for a Fair Minimum Wage — a coalition of business owners backing the wage hike — says better pay benefits everyone. Mitch Cahn owns Unionwear, a Newark clothing company. He's also a member of this group. "Higher wages strengthen the economy — workers have more buying power and businesses see more consumer demand," Cahn explained.

"When you invest in employees, you keep experienced workers who are skilled and efficient," Cahn said. "Strong morale drives strong performance."

Yannet Lathrop works as a senior researcher with the National Employment Law Project. She pointed out that wage policies deliver relief to underpaid workers. The employee advocacy group reports inflation has swelled by 23.6% over five years. Grocery prices? They've climbed 26.4%.