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HB 1479 Would Raise Minimum Wage to $18, Lock in Automatic Annual Increases
Mar 2, 2026
This represents both a significant near-term cost increase and a structural shift in how wage policy is set for Maryland employers
- HB 1472: $18 Minimum Wage + Automatic Annual Increases
- Deadline to weigh in: Tuesday, March 3 — Testimony Sign-Up & Written Submissions from 8:00 a.m.-6:00 p.m.
Legislation moving in the Maryland General Assembly — HB 1479 — would raise the state’s minimum wage to $18 per hour by 2028 and then require automatic annual increases every year after that, tied to inflation.
For Maryland employers, this represents both a significant near-term cost increase and a structural shift in how wage policy is set.
What HB 1479 Would Do
- $18 minimum wage on Jan. 1, 2028 (most employers)
- Employers with 49 or fewer employees get a one-year delay (reach $18 in 2029) — but still face the same automatic increases after
- Starting in 2029, minimum wage increases automatically each year (inflation-based, capped at 5%)
While the bill expands the definition of “small employer,” the only difference is a one-year delay. All covered employers ultimately face the same $18 wage floor and automatic increases thereafter.
The Immediate Impact: $18 Per Hour — Statewide
An $18 minimum wage represents a substantial increase from the state’s current trajectory.
For many employers — particularly in industries with narrow margins or large hourly workforces — that increase is significant on its own. It also rarely stops at the wage floor. When entry-level wages rise, employers often must adjust wages above minimum wage to maintain pay differentials and supervisory structures. The result can be compression across payroll systems.
For businesses already managing rising insurance, utility, and compliance costs, the cumulative impact matters.
The Long-Term Impact: Permanent Automatic Increases
Beginning in 2029, the minimum wage would increase automatically each year based on inflation data. These increases:
- Require no legislative vote
- Include no hardship provision
- Cannot be paused
Wage policy would shift from legislative deliberation to a formula embedded in statute. Over time, that reduces flexibility for employers making long-term hiring, investment, and expansion decisions.
What Maryland Employers Should Do
If this proposal would affect your hiring plans, payroll structure, or ability to grow, lawmakers need to hear directly from you.
HB 1479 – Testimony Due Tuesday, March 3
- Take Action on Tuesday, March 3, 8:00 a.m.-6:00 p.m.
- Sign up to testify and/or submit written testimony
- Sample letters available in our Action Toolkit
- Testimony submittal guidance available at mdchamber.org
