Client Alert
Minimum Wage Rate Set To Increase
July 9, 2009
The Federal minimum wage will increase from $6.55 an hour to $7.25 an hour, effective July 24, 2009.
Employers should note this change, take the necessary steps to implement the increase, and ensure that they are complying with the minimum wage law. In doing so, it is important for employers to know the minimum wage laws in each state where they have employees. Some states have higher minimum wage rates than the Federal rate, while others follow the Federal rate. (For example, under North Carolina law, employers must pay the higher of the Federal minimum wage or $6.15 per hour.) In addition, employers should remember to update their required employment law postings to reflect the new minimum wage.
The importance of continued attention to wage and hour compliance cannot be understated in this difficult economic time. In this current environment where employers are asking employees to do more with less, to help reduce the risk of costly wage and hour litigation, businesses should be vigilant in enforcing wage policies, such as those that prohibit off the clock or overtime work, and in training managers on those policies. Should you have any questions about the minimum wage increase, or should you need assistance with wage and hour compliance issues, please contact John Pueschel at (336) 721-3726 or the Labor and Employment attorney with whom you usually work.
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