Minimum Wage Law
At the Federal level, the Fair Labor Standards Act (FLSA) enacted minimum wage law, and is enforced by the U.S. Department of Labor's Wage and Hour Division. The FLSA also sets the standards for overtime pay, but it does not require severance, sick leave, vacation or extra holiday overtime pay.
The FLSA mandates only the minimum compliance for employers in all states, allowing individual states to enact their own minimum wage laws. Some have, while the rest have simply adopted the FLSA. If a state's minimum wage law is more generous than the FLSA, then employers doing business in that state must pay the higher rate.
The same goes if a municipality enacts a minimum wage law that is more generous than the state's: Employers doing business in that municipality must pay the higher rate. For example, as of 1/1/05, San Francisco's minimum wage law mandated $8.62 per hour (adjusted annually), while California's mandated $6.75.
For more information about Federal minimum wage law and eligibility, and to check for a minimum wage rate increase since this article was published, browse the site of the Wage and Hour Division. For information about the minimum wage law and rate in your state, start by browsing the Web site of your state's labor office.
Minimum Wage
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