The U.S. Department of Labor is reminding employers and employees that the federal minimum wage will increase to $6.55 on Thursday, July 24. With this change, employees who are covered by the federal Fair Labor Standards Act (FLSA) will be entitled to pay at no less than $6.55 per hour.
This increase is the second of three provided by the enactment of the Fair Minimum Wage Act of 2007. A third minimum wage increase to $7.25 an hour will become effective on July 24, 2009. Last year, on July 24, the minimum wage increased to $5.85 an hour.
This summer also marks the 70th anniversary of the FLSA, the federal law providing minimum wage, overtime and youth employment standards. This law established the Labor Department's Wage and Hour Division, authorizing it to enforce the provisions of the law, and to educate the public on the law's protections and requirements.
Every employer of employees subject to the FLSA's minimum wage provisions must post, and keep posted in each of its establishments, a notice explaining the act. These notices must be posted in conspicuous places so as to permit employees to readily read them. Updated posters and other compliance assistance materials concerning the minimum wage increase are available free of charge from the Wage and Hour Division and may also be obtained from the agency's Web site at http://www.wagehour.dol.gov.
Many states have minimum wage laws with provisions that differ from the federal law. When an employer is subject to both the federal and state wage laws, the employer must comply with the provisions of each law.