Florida Minimum Wage Change 2009

July 8th, 2009 Posted by Cara

The Florida minimum wage will increase by 3 cents on July 24, 2009.

 

Many employers wonder what sparks such a change, since it is an administrative hassle for employers and provides few benefits for workers. The answer is simple. Under the Florida minimum wage statute, the state minimum wage cannot be lower than the federal minimum wage.

 

Currently, the Florida minimum wage is $7.21 per hour. On July 24, 2009 the federal minimum wage increases to $7.25 per hour. Under a little-known provision of the Florida minimum wage statute, the state rate will increase at the same time –  even though the difference is only 3 cents.

 

Of course, this change has a number of ramifications for Florida employers. For one thing, they must update their state and federal minimum wage posters. By law, employers must prominently display accurate, up-to-date minimum wage posters in the workplace.

 

The Florida minimum wage is not the only one changing this month. On July 1, 2009, Illinois and two other states increased their minimum wage. Several other states will increase their minimum wage rates in July. Thirteen states, including South Dakota, Virginia, Utah, Nebraska and Oklahoma, will increase their minimum wage rates on July 24, 2009.

 

All of these states have laws that tie their minimum wage to the federal minimum wage. On July 24, 2009, the federal minimum wage will increase to $7.25, so the minimum in these thirteen states will increase $7.25 per hour, too.

 

When the labor laws change, employers are required to post updated labor law posters. Companies may obtain updated posters from www.laborlawcenter.com.

 

The change in the federal minimum wage will affect most of the employers in the United States. The federal law applies to companies that earn $500,000 or more annually or engage in interstate commerce, and to individual employees who are involved interstate commerce.

 

Any employee who answers out-of-state calls, such as an administrative assistant or a receptionist is actually engaged in interstate commerce. A buyer for a clothing store who orders from out-of-state vendors is engaged in interstate business, too. These employees would be covered under the federal minimum wage law.

 

With the advent of modern technology, nearly every company engages in interstate commerce. If they utilize the Internet or accept credit cards, they are doing business across states, and that constitutes interstate commerce.

 

When an employee qualifies for his or her state’s minimum wage and for the federal minimum wage, the worker is entitled to whichever wage provides the greater benefit to the employee.

 

For instance, an employee in Georgia would be paid the federal minimum wage, of $7.25 per hour, because the federal rate is higher than the Georgia state minimum wage of $5.15 per hour. A California employee, however, would be paid the California minimum wage of $8.00 per hour, because that is higher than the federal minimum wage of $7.25 per hour. So the higher minimum wage always prevails. In Florida, of course, that is a moot point, since by law the state minimum wage must be at least as high as the federal rate.

 

Last 10 posts by Cara

  1. Posted by: Carol

    Hi Cara - I enjoyed the blog re: FL minimum wage increase. I recently had a client confused about the “tipped employee” direct cash wage - Federal Minimum wage v. FL minimum wage. Some of the readers affected by this portion of the laws may appreciate your insight…I know I would. Thanks for all your great info!
    C

  2. Posted by: Cara

    Hi Carol! Thanks!! I will post an article next week on the tipped minimum wage in Florida. Stay tuned! ~ Cara

  3. Posted by: Cara

    Hi again, Carol! I’ve written the Florida Tipped Minimum Wage blog, and it’s scheduled to go live on Monday July 20. Just thought you might want to look for it. Feel free to post any additional questions or comments you might have. HTH, and thanks for reading the blogs!~ Cara

  4. Posted by: Ann Le

    Cara - great blog. The information on the simple tasks that constitute interstate commerce was very interesting. I’ve never really thought about it like that before. Very useful info!

  5. Posted by: Cara

    Hi Ann! Thanks!! We totally agree with you. According to one Texas Department of Labor attorney, if the employer has email or an internet connection at work, they are engaging in interstate commerce, and therefore covered by federal law. So the whole concept of a “lower state minimum wage” may be obsolete very soon. Cheers!~ Cara

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