Alabama Lawmakers Reignite Minimum Wage Debate with New $10 Proposal

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Alabama may soon adopt its own minimum wage, potentially increasing pay to $10 per hour by January 2027, a significant shift from the current federal standard of $7.25

TWLN Staff Reporter | The Weekly Ledger News | Area News

MONTGOMERY, Ala. — The long-standing debate over workers’ pay is resurfacing at the Alabama Statehouse as lawmakers consider legislation that would establish a state-mandated minimum wage for the first time in Alabama’s history. Alabama is one of five states, along with Louisiana, Mississippi, South Carolina, and Tennessee, that currently follow the federal minimum wage laws.

Senate Bill 171, recently filed in the Alabama Legislature, proposes setting the state’s minimum wage at $10 per hour, breaking from decades of reliance on the federal minimum wage of $7.25 an hour. Advocates argue that the federal rate no longer reflects today’s economic realities, as the costs of housing, transportation, food, and utilities continue to rise.

Daniel Morgan, owner of Express Employment Professionals, said while the proposal may not drastically shift the current job market, it represents a step toward addressing long-standing concerns about worker compensation.

“I don’t know that somebody that’s going to actually look for a job can work and live and be able to do all the things that they need to do for $10 an hour,” Morgan said. “So at least we’re starting to have conversations to get that headed in the right direction.”

Morgan noted that many employers across Alabama already pay above the proposed wage due to inflation and competition for workers. However, he said the state has fallen behind others in formally addressing minimum wage standards.

“It probably should have been done years ago,” Morgan said. “In Florida, I think now it’s up to $14 or $15 an hour. That’s something Alabama has to look at, especially when other states are already doing this. We could be losing good workers to states that offer better pay.”

Supporters of the bill acknowledge that $10 an hour does not constitute a living wage but argue it would provide meaningful relief for workers currently earning the federal minimum. The bill’s sponsor has stated the goal is to move away from what critics describe as “starvation wages,” even if the proposal does not fully cover basic living expenses.

Morgan emphasized that wages play a critical role in workforce reliability, particularly when it comes to transportation and everyday necessities.

“To be able to have a car that runs — something reliable that gets me to work on time — I’ve got to have a wage that allows me to pay for that,” he said. “I don’t know that $10 is going to be enough to do that without some other assistance.”

As Senate Bill 171 moves through the legislative process, it is expected to spark renewed debate over how Alabama balances business interests with the growing financial pressures facing workers across the state.

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