labor lawAdivision of labor law center

Illinois, Nevada and Kentucky implemented minimum wage increases effective today, July 1, 2009.

 

The Kentucky minimum wage increases today from $6.55 to $7.25 per hour. This change is just 23 days earlier than an identical change in the federal minimum wage.

 

The Illinois minimum wage increases from $7.75 to $8.00 today. This increase puts the Illinois minimum wage in a four-way tie for the fourth highest minimum wage in the nation.

 

The Nevada minimum wage increases today from $6.85 per hour to $7.55 per hour, although a number of Nevada employers are exempted.

 

The highest minimum wage is currently in the state of Washington, with a minimum wage of $8.55 per hour. The Oregon minimum wage is $8.40 per hour, while the minimum wage in Vermont is $8.06 per hour. The minimum wage in California, Connecticut and Massachusetts is at $8.00 per hour – the same as the Illinois minimum wage, effective today.

 

The minimum wages in Washington, Oregon and Vermont are adjusted for inflation annually on January 1. The minimum wage in California, Connecticut and Massachusetts are not adjusted annually for inflation – they are changed only by statute.

 

The next Illinois minimum wage change will occur on July 1, 2010 when it increases to $8.25 per hour. This is the final step in a multi-year increase signed into law earlier this decade.

 

Under a unique provision of the Nevada minimum wage law, employers who offer a qualified group health insurance plan can pay workers $1 per hour less than employers who do not offer health insurance. The qualified health insurance plan can be partially or fully funded by employee payroll deductions, so the employer need not assume the entire cost.

 

The Nevada minimum wage for employers with a qualified health insurance plan is $6.55 per hour, up from $5.85 per hour effective today. The minimum wage for employers who offer no health insurance plan is $7.55 per hour.

 

Under the Nevada minimum wage law, employers must pay overtime to minimum wage workers – but not to other workers – who put in more than 8 hours per day. Nevada employers who offer health insurance must pay overtime after 8 hours to any employee who earns less than $9.825 per hour. The employer without insurance must pay overtime after 8 hours to employees who earn less than $11.325 per hour.

 

Other Nevada employees are covered by the federal and state overtime laws that require time-and-one-half when the employee works more than 40 hours in the payroll week.

 

 

Last 10 posts by Amelia

• Colorado Reduces Minimum Wage in 2010 - November 20th, 2009
• New Law Expands FMLA and NDAA for Military Families - October 30th, 2009
• California Approves Exempt Salary Reduction - October 16th, 2009
• 3 New Illinois Laws - October 9th, 2009
• New Definition of Disability - September 25th, 2009
• E-Verify Regulations - September 18th, 2009
• New USERRA Regulations - September 2nd, 2009
• E-Verify News - August 26th, 2009
• New Tennessee Workers’ Compensation Law - August 19th, 2009
• Louisiana Minimum Wage - August 3rd, 2009

1. Posted by: Erin

   I have several issues regarding a current work situation. I work at a privately owned day care in Illinois. My boss is past due 7 days in paying all of her employees. Employees are only paid once a month, which I believe may be illegal here in Illinois. On top of this she is currently on vacation in Canada and unreachable.

   I am interested in how many of her practices are actually legal and whether I should take some legal action against her.
   Also, I heard that were she to close down the day care, or go bankrupt, I may never get paid. Please let me know whether this is legitimate.

   Thank you,
   Erin

2. Posted by: Amelia

   Hi Erin! With all due respect, you may be wrong about one very critical fact. It appears that you do not have a job — you are (illegally) volunteering at a private business. The fact that your boss has left the country and cannot be contacted, and employees are unpaid, probably indicates that she has already gone out of business — she just hasn’t closed the doors yet.
   Under the Illinois Wage Payment Act, every Illinois employee must be paid at least twice per month. And, employees must be paid on payday — no exceptions. You should file a wage claim with the Illinois Department of Labor or IDOL. Please do this TODAY. They will investigate the situation and force the employer to pay you.
   In Illinois, when an employee quits a job due to nonpayment of wages, the employee qualifies for unemployment benefits (subject to the usual eligibility rules about how long the employee has worked, etc.)
   Unfortunately, your information is correct. If the company goes out of business, even IDOL cannot get blood out of a turnip. If there is no money in the business account to pay employees, they may never receive the wages they are owed. If the company goes bankrupt, the employees will become a creditor. Creditors may receive a portion of the money they are owed, or nothing at all.
   Our recommendation is that you a) file a wage complaing with IDOL immediately and b) quit due to nonpayment of wages, and file for unemployment (if you believe you are otherwise qualified.) You should also begin searching for a paying job immediately. HTH, and thanks for reading the blogs!~ Amelia