SDCL 60-11-3.2 requires the Department of Labor and Regulation to post the minimum wage for the coming calendar year to its website by October 15. DLR didn’t announce the 2026 minimum wage until this week… but heads need not roll. The delay was caused by the government shutdown, as the federal Bureau of Labor Statistics had to call employees back from furlough to crunch the inflation numbers one more time to make sure Social Security could calculate its 2026 increase in benefits.
The result: the Consumer Price Index for All Urban Consumers, the trigger for the annual minimum-wage increase sponsored by South Dakota Democrats and wisely enacted by voters in 2014, showed a 3.0% increase in prices over the last 12 months. South Dakota’s minimum wage will thus increase January 1 from $11.50 an hour to $11.85 an hour.
A South Dakotan working full-time every week at minimum wage in 2026 will thus earn $24,648 over the year. If the boss allows overtime, that worker could put in an extra ten hours a week and make nearly $34K for the year.
MIT calculates that a full-time worker in Sioux Falls needs to make $19.90 an hour to support herself and $38.60 an hour to support a two-parent+two-child household. In Oglala Lakota County, the living wage is $19.19 an hour solo and $38.38 an hour for the Jetsons. It thus would take about 130 hours of work per week at minimum wage to support a small family in South Dakota. If two parents can each get minimum wage jobs offering unlimited overtime paying time and a half, those two parents would have to put in a total of 33 hours of overtime on top of their 80 hours of regular shift to earn a living wage.
Companies don’t follow minimum wage. If their caught they have to pay back wages.
Wow. Enforcement is everything.
You can always make managers of everyone too. A set amount but not a set amount of time.
The biggest problem is IF you can get 40 hours a week at a minimum wage jobs. I don’t know anyone who gets that many hours. Some I know get 30 hours a week but no benefits.
Let’s remember waitresses and waiters. They make $7.25 per hour plus tips. However, some employers keep some tips to share with other staff but ensure the wait staff makes the state’s minimum wage.
Even though not perfect (or enough for a full living wage), I do celebrate SD progressives for this step forward and the enshrined commitment to always improve.
It does move me to fully supporting a universal guaranteed income. Forcing people into poverty sustaining wages doesn’t create their value as people. Profit is the unpaid wages of workers. I’d be happier if we looked after people more than corporate interests.
Is this correct? 🤔 Effective January 1, 2026, Minnesota’s statewide minimum wage will increase to $11.41 per hour, a 2.5% inflation adjustment.
$16.66 per hour here in Washington, more in certain jurisdictions. Also 9+% sales tax.
“New figures from the Council of Economic Advisers reveal South Dakota has lost approximately $173 million in Gross State Product (GSP) since the federal government shutdown began on October 1. The state stands to lose an additional $40 million in GSP for each week the shutdown continues. GSP reflects the total value of goods and services produced within the state over a given period.”
https://www.kotaradio.com/2025/10/31/south-dakota-faces-40m-weekly-losses-as-government-shutdown-drags-on/
Lar, why do you keep listening to The Man and swallowing up his numbers? We all know the gubmint fudges the numbers. That Council is filled with hacks for The Man.