2023 noncompete wage thresholds will see an increase in Maryland

Earlier this year, we updated all of the new noncompete low-wage thresholds and criteria for 2023.

As predicted, Maryland will be updating its low-wage threshold.

Effective October 1, 2023, the $31,200 annual threshold will be eliminated and the hourly rates will be replaced with a 150 percent of the minimum wage standard.

For 2023 (after October 1), that means the thresholds will be $19.88 per hour ($13.25/hour x 1.5) generally, and $19.20 per hour ($12.80/hour x 1.5) for small employers (i.e., those employing 14 or few employees). The thresholds will then increase (as set out in the statute) until each reaches $22.50 ($15/hour x 1.5). The increases will start in 2024, and will increase to $21/hour ($14/hour x 1.5) generally and $20.10 ($13.40/hour x 1.5) for small employers.

To help make sense of it, here is an easy-to-reference summary chart:


Wage Criteria (2023)

Maine400% of the federal poverty level ($58,320 (est.))
Maryland$15 per hour or $31,200 annually (effective October 1, 2023: $19.88 per hour generally and $19.20 per hour for small employers (150% of state minimum wage))
MassachusettsNonexempt under the Fair Labor Standards Act
NevadaPaid solely on an hourly wage basis, exclusive of tips or gratuities
New Hampshire$14.50 per hour (2x federal minimum wage) or tipped minimum wage, whichever applies
Rhode Island250% of the federal poverty level for individuals ($36,450 (est.)) or nonexempt under the Fair Labor Standards Act
VirginiaAverage weekly wage ($1,343) in Virginia ($69,836 (est.))
Washington$116,593.18 ($291,482.95 for independent contractors)
$150,000 ($250,000 for medical specialists)

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Separately, we are awaiting Minnesota’s Governor Tim Walz to sign a ban on all employee noncompetes, which would make Minnesota the fourth state with a noncompete ban. Stay tuned!

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Resources to help

We know first hand how hard it is to keep up with the ever-changing requirements around the country. To help, we have created the following resources (available for free):

We also have a 50-State and Federal Trade Secret Law Chart, providing a comparison of the trade secrets laws nationally to the Uniform Trade Secrets Act (downloadable PDF).

We hope you find all of these resources useful.