The base minimum wage for all employees in Santa Fe and the surrounding county will drop from $12.32 an hour to $12.95 on March 1.
The living wage hike is the result of a 5.11% year-over-year increase in the consumer price index for the West region, according to the statement released by the city on Saturday.
The city’s Living Wage Ordinance of 2004 required annual increases beginning in 2009, based on the Western Region Consumer Price Index for urban wage earners and office workers. Santa Fe County enacted a similar ordinance in 2014. Neither the city nor the county has changed those ordinances since.
From 2004 to 2012, Santa Fe had the highest or second-highest minimum wage in the nation after becoming the first U.S. city to adopt a rate higher than the state wage. Since 2012, it has lagged as its wage increases have lagged behind the much larger ones seen in other cities.
Employees who work for the city earn at least $15 an hour. As detailed in an October story in The New MexicanMore than 40 Santa Fe businesses also pay at least $15 an hour, citing better employee loyalty and less training required, among other benefits.
Living Wage in Santa Fe County and City increased to $12.10 in 2020; $11.80 in 2019; $11.40 in 2018; and $11.09 in 2017.
The minimum wage in New Mexico is $10.50 per hour, and is scheduled to increase to $12 on January 1, 2023. This increase is the result of 2019 legislation that increased the minimum wage in New Mexico to the first time since 2009.