2025 Alaska Minimum Wage
The 2025 Alaska Minimum Wage is $11.91.
Effective 2025-01-01Source: Alaska's Minimum Wage Will Increase in 2025 (News Release No. 24-26) (Alaska Department of Labor and Workforce Development)Verified 2026-08-31
Who it applies to
All employees working in Alaska, unless a specific statutory exemption applies. The wage applies to all hours worked in a pay period regardless of whether the employee is paid by time, piece, commission, or otherwise.
What changed this year, and why
Alaska's minimum hourly wage increased to $11.91 effective January 1, 2025, up from the prior year's rate. The wage is adjusted annually for inflation using the Consumer Price Index for urban consumers in the Anchorage area. Additionally, a ballot measure requires the minimum wage to increase again on July 1, 2025.
Common questions
- When did the $11.91 minimum wage take effect?
- The $11.91 hourly minimum wage took effect on January 1, 2025.
Minors, students and training wages: who may be paid less than the rate on this page
In Alaska, the minimum wage of $11.91 per hour is the baseline that all employers must meet for every hour worked. The state allows certain categories of workers to be paid at a subminimum rate, but only when the employer bears the burden of proving that a specific statutory exemption applies. These exemptions may include minors, student learners, or workers in training programs, depending on the conditions set by Alaska law. The employer must be able to clearly demonstrate that the worker qualifies for the exemption; otherwise, the full state minimum wage is owed. Workers in Alaska who believe they are being paid below $11.91 without a valid exemption should reach out to the state labor office for assistance.
All actual hours worked in a pay period multiplied by the Alaska minimum wage is the very least an employee can be compensated by an employer unless the employer can clearly show that a specific exemption exists.
Alaska's Minimum Wage Will Increase in 2025 (News Release No. 24-26) (Alaska Department of Labor and Workforce Development)
Overtime is paid at one and one-half times the regular rate
Under Alaska law, most hourly workers are entitled to overtime pay when they work beyond 40 hours in a workweek. The standard overtime premium is paid at a rate higher than the worker's regular hourly pay. However, certain salaried employees classified as bona fide executive, administrative, or professional workers may be exempt from these overtime requirements if they meet the salary threshold established by Alaska statute. Non-exempt workers who put in more than 40 hours in a week must receive the overtime premium for every extra hour. Alaska's Wage and Hour division within the Department of Labor and Workforce Development handles questions about overtime eligibility and can help workers determine whether they are entitled to premium pay.
Salaried Employees, who are exempt from the minimum wage and overtime requirements under Alaska Statute 23.10.055(b), as bona fide executive, administrative, or professional employees, must maintain a salary that is equivalent to two times the minimum wage for the first 40 hours worked.
Alaska's Minimum Wage Will Increase in 2025 (News Release No. 24-26) (Alaska Department of Labor and Workforce Development)
Who to ask about this rate, and where to take a wage complaint
Workers in Alaska with questions about the state minimum wage or who wish to file a wage complaint should contact the Alaska Department of Labor and Workforce Development. The department's Wage and Hour section oversees enforcement of the state's wage laws and can provide guidance on whether an employer is complying with the $11.91 hourly rate. Detailed information about Alaska's wage laws is available on the department's website. The Chief of Wage and Hour can also be reached directly for assistance with complaints or questions about pay.
More information about Alaska's wage laws can be found at: https://labor.alaska.gov/lss/whhome.htm.
Alaska's Minimum Wage Will Increase in 2025 (News Release No. 24-26) (Alaska Department of Labor and Workforce Development)
How the rate is adjusted each year, and who announces it
Alaska adjusts its minimum wage each year based on inflation. Under Alaska Statute 23.10.065(a), the rate is recalculated annually using the Consumer Price Index for urban consumers in the Anchorage metropolitan area, now called the Urban Alaska CPI-U. For the 2025 adjustment, the index rose 1.5 percent during 2023, which was applied to the previous rate to produce the new minimum wage of $11.91 effective January 1, 2025. The Alaska Department of Labor and Workforce Development reviews the most recent index data and announces the updated rate each year. This process ensures that the purchasing power of the minimum wage keeps pace with the cost of living for workers across the state.
Alaska Statute 23.10.065(a) requires the Alaska minimum wage to be adjusted using the Consumer Price Index for urban consumers in the Anchorage metropolitan area (Anchorage CPI-U) for the preceding calendar year. The “Urban Alaska CPI-U” the current name for what was formerly titled the “Anchorage CPI-U,” rose 1.5 percent in 2023 (climbing from 256.423 in 2022 to 260.372 in 2023). Applying that percentage increase to the current minimum wage of $11.73 produces a new minimum wage effective Jan. 1, 2025, of $11.91.
Alaska's Minimum Wage Will Increase in 2025 (News Release No. 24-26) (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.
Alaska's Minimum Wage Will Increase in 2025 (News Release No. 24-26) (Alaska Department of Labor and Workforce Development)
- Hourly
The Alaska minimum wage will increase from $11.73 to $11.91 in 2025.
Other years
Every Alaska Minimum Wage year · Minimum Wage in every state