Minimum Pay

Thanks to Congressional acts that have increased the minimum wage, American workers don't have to worry about being underpaid by their employers. The Minimum Wage Act of 2007 increased the minimum federal hourly wage to $7.75. That means an employee that works a 40 hour work week will see a minimum pay (gross) of $290 a week. Tipped employees, students and certain commissioned employees may be exempt from the minimum wage requirement. Violations of the law are investigated by the U.S. Department of Labor through its Wage and Hour Division. Many cities and states enact laws exceeding minimum pay requirements. In 2009, the state of Washington has the highest minimum wage at $8.55. Any company caught violating the Washington state law would be investigated and possibly fined by the state department of labor. Most states do not pass their own minimum pay laws but enforce the federal standard.

Fast Facts

  • Santa Fe, New Mexico has the highest minimum pay requirement at $9.92 an hour.
  • Before Congress increased the minimum wage in 2007, it had not been changed since the late 90s.

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