Last year, Missouri voters approved a change to the minimum wage rate for private employers. The rate increased to $8.60 per hour in January 2019 and increases by an additional 85 cents per hour in January of each year through 2023.
The law does not apply to public employers, such as Missouri State. Regardless, we increased the minimum wage to $8.60 per hour in July.
I am pleased to report that the university has decided to once again increase the minimum wage for all employees (including part-time and student employees) to $9.45 per hour effective Jan. 1, 2020.
Cost centers will reallocate over $500,000 to fund this pay increase. This is in addition to the $9.9 million that the university allocated for pay raises and additional benefits during FY2019 and in the FY2020 budget.
While the law does not require the university to increase the minimum wage, our compensation for part-time and student employees must remain competitive with off-campus employment opportunities.
University leadership and the board are committed to making Missouri State a great place to work. We know that compensation plays a big role. Additional compensation decisions will be made during the FY2021 budgeting process in the coming months.
Thanks for all you do for Missouri State!