PORTLAND, Maine (WGME) — As of New Year’s Day, the state’s minimum wage has increased to 15 dollars and 10 cents per hour, but for employees in Portland, minimum wage for non- tipped employees has now increased to 16 dollars and 75 cents.
“Having these automatic increase every year just helps keep workers a lot and makes sure they don’t fall behind,” Maine Center for Economic Policy Analyst James Myall said.
For the past year, the state’s minimum wage has been 14 dollars and 65 cents, but the Maine Department of Labor announced the 45 cent jump beginning in the new year.
Myall says, in Maine, more than 100,000 Mainers will see wage increases.
“It kind of shows the importance of having this law because it creates a law that nobody is left behind,” Myall went on.
Each year, the state is required to make an adjustment based on the cost-of-living index for the Northeast region, and according to the U.S. Department of Labor, there was a 3.1% increase in the cost of living index from 2024 to 2025.
Maine workers and now for the first time in the state agricultural workers will see higher wages.
“It’s been a really hard year in 2025 with people dealing with the high cost of food, housing, and childcare and now the healthcare cuts. I’m just hoping we can turn some of these things around in 2026,” Rep. Chellie Pingree said.
One Portland worker, Elisabeth Olson, tells us she believes raising minimum wage in Portland is necessary because of rising costs.
“It is a city at the end of the day, and cities everywhere across the U.S. and around the world do have higher wages that need to happen for people to live here and work here,” Olson said.
But Olson says higher wages could hurt Portland’s small businesses, especially during off-season.
“It’s an iffy time for an increase to happen because it is the dead season of Portland,” Olson said.
But Myall tells us the wage increase helps both workers and the local economy.
“It’s coming out of the profit of larger corporations and putting it back into the pockets of working folks and those people tend to spend that money locally,” Myall said.
Portland voters approved to incrementally increase the cities minimum wage to 19 dollars an hour over the next three years.
