workmans comp news

State Minimum Wages

Minimum wage workers received a long overdue federal raise on July 24th when the Fair Minimum Wage Act of 2007 raised the federal minimum wage increased to $5.85 with two additional increases of 70 cents on July 24th of the next two years.

2007's federal minimum wage increase will affect over 12.5 million workers, though it will not affect all minimum wage workers.

Whenever employees are subject to both federal minimum wage and state minimum wage, they are entitled to the higher of the two minimum wages. In states such as California and Florida with minimum wage rates over the federal minimum, the present federal minimum wage increase will not affect workers' wages.

Workers who are covered by the state wage but not the federal wage include those who are full-time students or those who work for small businesses that do not participate in interstate (business crossing state lines) commerce.

Each state has the ability to increase the minimum wage and special laws concerning overtime. Thirty states and the District of Columbia presently have state minimum wages higher than the federal minimum wage with Washington, Oregon, and Connecticut having the three highest.  

Alabama N/A  
Alaska $7.15 Under Alaska's voluntary flexible work hour plan, wage employees may work four 10-hour days (40-hour workweek) with time-and-a-half for time worked over the 10-hour day (instead of after 8 hours).
Arizona $6.75  
Arkansas $6.25  
California $7.50 California allows an alternative workweek of no more than 4 days of 10 hours. Workers of traditional 8-hour workdays earn time-and-a-half after 8 hours worked, double-pay for hours over 12. California increases its state minimum wage to $8.00 January 1, 2008.
The City of San Francisco already pays $9.14.
Colorado $6.85 Colorado state minimum wage law requires time-and-a-half for hours worked over 12.
Connecticut $7.65 Connecticut minimum wage automatically increases by .5% if the federal minimum wage rate is equal to or greater than Connecticut's minimum wage. For restaurants, the 7th consecutive day of work, time-and-a-half is required.
Delaware $6.65 Delaware increases its minimum wage to $7.15 on Jan. 1, 2008.
District of Columbia $7.00 The District of Columbia automatically maintains its minimum wage at $1 above the federal minimum wage rate.
Florida $6.67  
Georgia $5.15  
Hawaii $7.25  
Idaho $5.15  
Illinois $7.50 Minimum wage for workers under 18 is $7.00.
Indiana $5.15  
Iowa $6.20 Iowa's minimum wage increases to $7.25 on January 1, 2008.

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Read the newsletter on wage and hour laws for overtime payments.


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