A new labor market and economic impact analysis from This Land Research and Communications Collaborative, produced by Scioto Analysis, finds that raising Oklahoma’s minimum wage to $15 would increase earnings for low-income families, reduce low-wage employment across the state, close wage gaps between groups, and generate more than $1.1 billion in annual economic growth.
“The analysis shows that a $15 minimum wage would improve earnings for workers across Oklahoma while growing the state’s overall economy,” Rob Moore, Principal for Scioto Analysis said, “These findings make clear that raising the minimum wage is an effective tool for reducing low-wage employment and boosting household incomes in both rural and urban areas.”
Key Findings from the Report
A $15 Wage Boosts Earnings. Workers directly affected by the policy will see a 25% increase in weekly earnings, with the average impacted worker gaining $100 more per week—or roughly $4,200 more per year. This additional income would help Oklahoma families keep pace with rising costs and strengthen long-term economic security.
Oklahoma’s Wage Gap with the Nation Narrows. Oklahoma workers currently earn 25% less than the average U.S. worker, even after accounting for cost-of-living differences. A $15 minimum wage will cut that gap nearly in half, giving Oklahomans a more competitive wage relative to the rest of the country.
Low-Wage Work Drops Sharply. The share of Oklahomans in low-wage jobs will fall by 29% under a $15 minimum wage, with more than 100,000 workers rising above low-wage status. This shift would lead to reduced economic volatility and greater workforce stability for employers.
Oklahoma’s Economy Grows by Over $1 Billion. Higher earnings and increased spending will boost the state’s GDP by $1.1 billion annually, the report finds. Additionally, employers will benefit from an estimated $880 million in productivity gains, driven by lower turnover and higher worker retention.
Rural–Urban Wage Gaps Shrink. Wage disparities across counties will narrow substantially under a $15 wage. For many counties, especially in rural Oklahoma, the gains would be as large as those seen in urban centers.
This study is the fourth in a series of studies conducted by Scioto Analysis on the minimum wage in Oklahoma. Refer to the Scioto Analysis projects page for past studies on the minimum wage’s impact on housing, public safety, and health.