HR Support on Federal and State Minimum Wage Laws

Editor's Note: What's the least an employee may be paid?

Michael CardmanOverview: Federal minimum wage law requires that all nonexempt employees be paid at least $7.25 for every hour they work; this is the federal minimum wage. Twenty-six states have (or will soon have) even higher minimum wages.

Since about 97 percent of the American workforce earns more than the minimum wage, very few employers need to concern themselves with this baseline requirement. Nevertheless, an employer that makes agreed-upon deductions from an employee's pay – for example, deductions for cleaning uniforms – must be careful that the deductions do not bring the employee's wage below the applicable minimum rate.

To comply with minimum wage laws, an employer can apply certain payments – most notably, tips that wait staff, bartenders and other tipped employees receive for service, and the cost of board and lodging – toward its minimum wage obligations.

Also, minimum wage laws allow certain employees – including students, workers with disabilities, messengers, apprentices and student-learners – to be paid at subminimum wages below the normal rate.

Trends: To help employees keep pace with the rising cost of living, 14 states adjust (or will adjust) their minimum wage rates based on the rate of inflation. Lawmakers have introduced legislation that would do the same in other states, and at the federal level.

Author: Michael Cardman, Legal Editor

Latest items in Minimum Wage

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    Type:
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    Multistate employers face the challenge of complying with not only federal laws, but also differing state and local laws. This section highlights some of the states' differences in terms of preemployment testing and background checks, noncompetition and nonsolicitation agreements, and discrimination, pay and leave rules.

  • Minimum Wage: California

    Type:
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    In-depth review of the spectrum of California employment law requirements HR must follow with respect to minimum wage.

  • Minimum Wage: New Mexico

    Type:
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    In-depth review of the spectrum of New Mexico employment law requirements HR must follow with respect to minimum wage.

  • New York to Raise Minimum Wage for Tipped Employees: Employment Law Manual Updated

    Date:
    26 February 2015
    Type:
    Editor's Choice

    New York is establishing a uniform minimum cash wage for all tipped employees of $7.50, effective December 31, 2015.

  • New York to Raise Minimum Cash Wage for Tipped Employees to $7.50

    Date:
    26 February 2015
    Type:
    News

    A new order from the Acting Commissioner of the New York State Department of Labor will eliminate distinctions among various types of employees and establish a uniform minimum cash wage for all tipped employees.

  • Minimum Wage: Alaska

    Type:
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    In-depth review of the spectrum of Alaska employment law requirements HR must follow with respect to minimum wage.

  • Minimum Wage: New York

    Type:
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    In-depth review of the spectrum of New York employment law requirements HR must follow with respect to minimum wage.

  • Minimum Wage: New Jersey

    Type:
    Employment Law Manual

    In-depth review of the spectrum of New Jersey employment law requirements HR must follow with respect to minimum wage.

  • Minimum Wage: Ohio

    Type:
    Employment Law Manual

    In-depth review of the spectrum of Ohio employment law requirements HR must follow with respect to minimum wage.

  • Minimum Wage: Maryland

    Type:
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    In-depth review of the spectrum of Maryland employment law requirements HR must follow with respect to minimum wage.

About this topic

HR and legal considerations for employers regarding FLSA minimum wage laws. Support on following rules and regulations regarding this topic.