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Maryland considers increasing minimum wage to $25, ending tipped pay

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Published  February 26, 2026 9:01pm EST
Maryland
FOX 5 DC
Maryland lawmakers consider increasing minimum wage to $25, ending tipped pay

Maryland lawmakers consider increasing minimum wage to $25, ending tipped pay

Lawmakers in Maryland are debating a proposed change to the state’s minimum wage that could mean more money in workers’ pockets. FOX 5's Tom Fitzgerald reports.

The Brief

    • Maryland lawmakers are considering the "Living Wage Act for All," which would raise the minimum wage to $25 an hour and eliminate the tipped wage system.
    • The bill would end the current practice allowing tipped workers to earn $3.63 an hour before tips.
    • Supporters say it ensures fair pay, while some restaurant workers warn it could reduce earnings and hurt small businesses.

MONTGOMERY COUNTY, Md. - Lawmakers in Maryland are debating a proposed change to the state’s minimum wage that could mean more money in workers’ pockets.

What we know:

The proposal, called the "Living Wage Act for All," would raise the minimum wage to $25 an hour and eliminate tips for restaurant employees.

Currently, Maryland employers can pay tipped workers as little as $3.63 an hour, as long as tips bring them up to the state minimum wage.

The House Labor Committee held its first hearing on the legislation Thursday. 

What they're saying:

Even among tipped workers, there are differing opinions. Some told FOX 5 the change could result in lost income.

"It would hurt. A lot. It would hurt not only the servers, the bartenders, but also the restaurants in general.," said James Hall, an employee at Silver Diner. 

"We think that it should be implemented and that the government should support small businesses that may be needing extra support to transition over time," said Nikki M.G. Cole.

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