The federal government periodically sets a federal minimum wage rate. Several, but not all, states also have minimum wage laws and the state rates correlate variously with the federal rate.
Federal Minimum Wage
According to the U.S. Department of Labor's Wage and Hour Division, the federal minimum wage rate of $7.25 an hour for hourly (nonexempt) employees went into effect on July 24, 2009.
State Rates
As of January 2010, 45 states also have a minimum rate. States with minimum wage rates can have rates higher, lower, or the same as the federal rate.
States with Equal Rate
States with minimum wage rates equal to the federal rate represent the largest number of states with a state minimum rate.
States with Higher Rates
States with higher rates represents the next largest number of states with their own minimum wage rates.
States with Lower Rates
Only seven states with state minimum wage rates have state rates lower than the federal minimum wage.
Federal vs. State
Where both a state and a federal minimum wage law apply and the rates differ, the employee is subject to the higher of the two rates, according to the U.S. Department of Labor.
References
- "Federal Minimum Wage Increase for 2007, 2008, & 2009"
- United States Department of Labor, Wage & Hour Division
- U.S. Department of Labor. "Minimum Wage." Accessed Oct. 26, 2020.
- Economic Policy Institute. "Another Year of Congressional Inaction Has Further Eroded the Federal Minimum Wage." Accessed Oct. 26, 2020.
- U.S. Department of Health & Human Services. "Poverty Guidelines." Accessed Oct. 26, 2020.
- U.S. Department of Labor. "Fair Labor Standards Act of 1938: Maximum Struggle for a Minimum Wage." Accessed Oct. 26, 2020.
- U.S. Department of Labor. "History of Federal Minimum Wage Rates Under the Fair Labor Standards Act, 1938 - 2009." Accessed Oct. 26, 2020.
- U.S. Department of Labor. "Fair Labor Standards Act Advisor." Accessed Oct. 26, 2020.
- Office of the White House. "President Barack Obama's State of the Union Address." Accessed Oct. 26, 2020.
- Congressional Budget Office. "The Effects on Employment and Family Income of Increasing the Federal Minimum Wage," Page 2. Accessed Oct. 26, 2020.
- Congressional Budget Office, "CBO's Activities Under the Unfunded Mandates Reform Act, 1996-2000," Page 11. Accessed Oct. 26, 2020.
- National Bureau of Economic Research. "Minimum Wage Increases and Individual Employment Trajectories," Page 5. Accessed Oct. 26, 2020.
- Institute for Research on Labor and Employment. "The New Wave of Local Minimum Wage Policies: Evidence From Six Cities." Accessed Oct. 26, 2020.
- U.S. Bureau of Labor Statistics. "Characteristics of Minimum Wage Workers, 2019." Accessed Oct. 26, 2020.
- Pew Research Center. "Who Makes Minimum Wage?" Accessed Oct. 26, 2020.
- U.S. Department of Labor. "Wages." Accessed Oct. 26, 2020.
- U.S. Department of Labor. "Fact Sheet #32: Youth Minimum Wage - Fair Labor Standards Act." Accessed Oct 26, 2020.
- U.S. Department of Labor. "Fact Sheet #39: The Employment of Workers with Disabilities at Subminimum Wage." Accessed Oct. 26, 2020.
- U.S. Department of Labor. "Tips." Accessed Oct. 26, 2020.
- U.S. Department of Labor. "Fact Sheet #14: Coverage Under the Fair Labor Standards Act (FLSA)." Accessed Oct. 26, 2020.
- Congressional Research Service. "State Minimum Wages: An Overview." Accessed Oct. 26, 2020.
- City of Emeryville. "Minimum Wage Ordinance." Accessed Oct. 26, 2020.
- City and County of San Francisco. "Minimum Wage Ordinance." Accessed Oct. 26, 2020.
- U.S. Department of Labor. "State Minimum Wage Laws." Accessed Oct. 26, 2020.
- NCSL. "State Minimum Wages | 2020 Minimum Wage by State." Accessed Oct. 26, 2020.
- Government of the UK. "National Minimum Wage and National Living Wage Rates." Accessed Oct. 26, 2020.
- Citizens Information. "Minimum Rates of Pay." Accessed Oct. 26, 2020.
- Eurostat. "Minimum Wage Statistics." Accessed Oct. 26, 2020.
- Baker McKenzie. "Thailand: Minimum Wage Increment Expected From January 2020." Accessed Oct. 26, 2020.
- Government of Australia. "Minimum Wages." Accessed Oct. 26, 2020.
- Government of Canada. "Current And Forthcoming Minimum Hourly Wage Rates for Experienced Adult Workers in Canada." Accessed Oct. 26, 2020.
- Comisión Nacional de los Salarios Mínimos. "Publica Diario Oficial de la Federación Salarios Mínimos Para 2020." Accessed Oct. 26, 2020.
- China Briefing. "A Guide to Minimum Wages in China in 2020." Accessed Oct. 26, 2020.
- Paycheck.In. "Minimum Wage – Delhi." Accessed Oct. 26, 2020.
Writer Bio
A writer/editor since 1984, Christine Lebednik has spent much of her career in business and technical writing, and editing. Her consumer print and online articles include product descriptions for TDMonthly Online, book reviews for Catholic News Service, consumer reports for Consumer Search and works for various other publications. Lebednik received her Bachelor of Arts in English from Salem State College.