PIERRE, S.D. (KELO) — South Dakota’s minimum wage has increased to just under $10 an hour. 

Starting Jan. 1, the state’s minimum wage will be $9.95 an hour, up 50 cents from $9.45 an hour. South Dakota’s minimum wage is adjusted annually by increases in the cost of living measured by the Consumer Price Index, which is published by the U.S. Department of Labor. 

A state law passed in 2016 implemented the annual increase. 

Hourly minimum wage for tipped employees is now $4.97 an hour, which is half the minimum wage for non-tipped employees. The state’s required minimum wage applies to all South Dakota employers. You can find more details on the South Dakota Department of Labor and Regulation website. 

The state labor department also is reporting 28,300 job openings across the state.