New Jersey minimum wage jump lifts pay for casino, hospitality workers

New Jersey began 2026 with a 43% increase in its minimum wage, lifting the standard hourly rate to $15.92 and delivering a significant pay boost to workers across the state’s casino and hospitality industries.

The increase, which took effect on Jan. 1, ranks among the largest single-year minimum wage hikes in New Jersey and places the state among those with the highest wage floors in the United States.

The change is expected to benefit thousands of casino employees in Atlantic City, where casinos remain a central pillar of employment and economic activity. Casino workers are classified as tipped employees, with their minimum cash wage rising to $6.05 per hour, while employers are required to ensure total earnings, including gratuities, meet or exceed the $15.92 minimum.

The higher wage floor applies broadly across New Jersey’s large casino and hospitality workforce, though some categories of workers remain on a separate track. Seasonal employees and those working for businesses with fewer than six staff will earn a minimum of $15.23, up from $14.53 in 2025, with incremental increases scheduled through 2028 to reach parity with the general rate.

The latest increase reflects legislation requiring annual inflation adjustments to the minimum wage, building on reforms introduced in recent years. It also comes amid continued worker-led efforts to improve conditions in the casino sector.

In late 2025, Atlantic City casino employees urged Phil Murphy to press lawmakers to advance legislation that would ban indoor smoking on casino floors, citing health and safety concerns alongside wage issues.

The casino industry remains one of the region’s largest employers and a major source of public funding. In Fiscal Year 2024, Atlantic City’s casino sector contributed a record $572 million to New Jersey’s Casino Revenue Fund, according to industry data.

New Jersey’s minimum wage now trails only Washington, California, and Connecticut among U.S. states, while Washington, D.C. holds the highest rate nationwide at $17.95 per hour.