The start of summer is typically marked by a wave of temporary hirings of students and other new employees, with many summer jobs paying those workers the minimum wage. While a series of increases across recent years have brought the Maryland state minimum wage to $15.00 per hour, employers in two of Maryland’s most heavily populated counties should be aware of local ordinances that require higher hourly wages.
Howard County
Effective January 1, 2025, the Howard County minimum wage was increased to $16.00. That general minimum wage rate is subject to an exception for “small employers,” who are subject to the state-wide $15.00 minimum wage rate. The “small employer” exception in the Howard County Code applies to: (1) employers with less than 15 employees, as defined in the state minimum wage statute; (2) organizations with tax-exempt status under Section 501(c)(3) of the Internal Revenue Code; (3) certain home health services providers that receive at least seventy-five percent of their revenue through federal and state Medicaid programs; and (4) food service facilities at which food or drink is prepared on the premises for sale or service.
Montgomery County
Montgomery County employers should take note that the county’s minimum wage will be changing during the summer, effective on July 1, 2025. The current Montgomery County minimum wage for employers with 51 or more employees is $17.15. Effective July 1, the minimum wage for those employers will rise to $17.65. For employers with between 11 and 50 employees, the minimum wage will increase July 1 from $15.50 per hour to $16.00. Finally, for employers with 10 or fewer employees, the minimum wage rate will rise from $15.00 to $15.50 per hour.
Maryland employers, particularly those in counties with their own minimum wage requirements, should ensure that employees are being paid at rates that meet the applicable state and county minimum wage levels. Employers in Montgomery County should take particular care to ensure that they have plans in place to comply with the new minimum wage levels that will take effect on July 1.
