2016 Alaska Minimum Wage
The 2016 Alaska Minimum Wage is $9.75.
Effective 2016-01-01Source: New Alaska Minimum Wage Effective January 1st (News Release No. 15-51) (Alaska Department of Labor and Workforce Development)Verified 2026-08-30
Who it applies to
Employers in Alaska and their employees
What changed this year, and why
Alaska's minimum wage increased to $9.75 per hour on January 1, 2016.
Common questions
- What was the minimum wage in Alaska in 2016?
- The minimum wage in Alaska was $9.75 per hour for 2016, effective January 1, 2016.
- Do tips count toward the minimum wage in Alaska?
- No. Under Alaska law, tips do not count toward the minimum wage. Employers must pay at least the full minimum wage regardless of tips received.
Who to ask about this rate, and where to take a wage complaint
Workers in Alaska with questions about minimum wage rates or wage complaints should contact the Alaska Department of Labor and Workforce Development. The department's Labor Standards and Safety division handles minimum wage enforcement and can provide guidance on wage rights. For the 2016 minimum wage of $9.75 per hour, the contact is Grey Mitchell, Director of Labor Standards and Safety, at 907-465-4855 or Grey.Mitchell@Alaska.Gov. If you believe your employer is not paying the correct minimum wage or is not paying overtime as required, you can file a wage complaint with this office. The department investigates complaints and can help recover unpaid wages. Keep records of hours worked and pay received to support any wage claim you may need to file.
For more information: Grey Mitchell, Director Labor Standards and Safety 907-465-4855, Grey.Mitchell@Alaska.Gov
New Alaska Minimum Wage Effective January 1st (News Release No. 15-51) (Alaska Department of Labor and Workforce Development)
State minimum wage laws that give more than the federal rate
Alaska's minimum wage law provides greater employee protections than federal law. When state and federal minimum wage rates differ, employers in Alaska must pay the higher rate. For 2016, Alaska's minimum wage is $9.75 per hour, which exceeds the federal minimum wage. This means workers in Alaska are entitled to the state rate rather than the federal rate. The Alaska law also includes a requirement that the state minimum wage remain at least $1.00 per hour above the federal minimum wage going forward. This ensures Alaska workers maintain a wage premium over the federal floor. If the federal minimum wage increases in the future, Alaska's minimum wage automatically adjusts to stay at least $1.00 higher. This structure provides stronger wage protection for Alaskan workers than federal law alone would provide.
An additional condition requires that, going forward, Alaska’s minimum wage remain at least $1 per hour over the federal minimum wage.
New Alaska Minimum Wage Effective January 1st (News Release No. 15-51) (Alaska Department of Labor and Workforce Development)
When tips, meals or lodging count toward the minimum wage
In Alaska, the minimum wage of $9.75 per hour applies to all hours worked in a pay period, regardless of whether the employee is paid by time, piece, commission, or another method. The total actual hours worked multiplied by the minimum wage is the least an employer can pay. Importantly, tips do not count toward meeting this requirement, meaning employers must pay the full minimum wage from their own funds before any tips are added. This protects workers in service industries by ensuring they receive the base wage regardless of tip income.
Tips do not count toward the minimum wage.
New Alaska Minimum Wage Effective January 1st (News Release No. 15-51) (Alaska Department of Labor and Workforce Development)
Why the federal rate applies when the state rate is lower
When Alaska's state minimum wage is lower than the federal minimum wage, the federal rate applies to covered employers. This is because the Fair Labor Standards Act establishes a federal floor for wages. However, this situation does not currently affect Alaska workers. For 2016, Alaska's minimum wage is $9.75 per hour, which is higher than the federal minimum wage. When the state rate exceeds the federal rate, as it does in Alaska, employers must pay the higher state rate. The Alaska law includes a provision requiring the state minimum wage to remain at least $1.00 per hour above the federal minimum wage going forward. This ensures Alaska's rate stays above the federal floor. Workers in Alaska are protected by whichever rate is higher - state or federal - and currently the state rate of $9.75 per hour provides greater protection than federal law.
An additional condition requires that, going forward, Alaska’s minimum wage remain at least $1 per hour over the federal minimum wage.
New Alaska Minimum Wage Effective January 1st (News Release No. 15-51) (Alaska Department of Labor and Workforce Development)
How the rate is adjusted each year, and who announces it
Alaska's minimum wage is adjusted annually for inflation beginning in 2017. The ballot measure approved by Alaska voters in November 2014 requires the state minimum wage to increase each year based on changes in the cost of living. This automatic adjustment ensures the minimum wage maintains its purchasing power over time rather than requiring new legislation for each increase. The adjustment is based on inflation metrics, though the specific index used for calculation is not detailed in this announcement. For 2016, the Alaska minimum wage is $9.75 per hour. Starting in 2017, workers can expect the rate to increase each year to keep pace with inflation, providing ongoing protection against rising living costs in Alaska. This annual adjustment mechanism helps ensure that minimum wage workers do not lose ground as prices increase over time.
The ballot measure will also adjust the minimum wage each year for inflation beginning in 2017.
New Alaska Minimum Wage Effective January 1st (News Release No. 15-51) (Alaska Department of Labor and Workforce Development)
How each figure was verified
Each number below was read from a stored copy of the document named beside it, and checked to occur word for word in the quoted sentence. The digest is of that stored text.
New Alaska Minimum Wage Effective January 1st (News Release No. 15-51) (Alaska Department of Labor and Workforce Development)
- Hourly
minimum wage will increase to $9.75 per hour on January 1, 2016
Other years
Every Alaska Minimum Wage year · Minimum Wage in every state