Vermont minimum wage to rise after override of governor's veto

Vermont's minimum wage will increase—eventually to $12.55 per hour in 2022—after lawmakers recently voted to override Republican Governor Phil Scott's veto.

History of legislation

On February 11, 2020, Governor Scott vetoed a bill (S.23) that would have raised Vermont's minimum wage. In his veto message, he said, "Despite S.23's good intentions, the reality is there are too many unintended consequences and we cannot grow the economy or make Vermont more affordable by arbitrarily forcing wage increases. I believe this legislation would end up hurting the very people it aims to help."

On February 13, the Democrat-controlled Vermont Senate voted 24-6 to override the veto. All eyes then turned to the House of Representatives. Previously, the minimum wage bill didn't pass the House with the two-thirds margin necessary to override the veto, so the bill's outcome was uncertain.

That changed on February 25. By a narrow margin (100-49), the House followed the Senate's lead and voted to override Governor Scott's veto of the minimum wage bill. Of the eight Democrats who previously opposed the minimum wage increase, six voted in favor of the override. With the override, the minimum wage bill now becomes law.

Impact on employers