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Facts - Books - News    U.S. Facts Of Law:

Employment Wages

 

Employment wages are sums of money paid for a specified quantity of labor.  When expressed as an amount of money for a specific time frame it is called a wage rate.  The wage rate is usually the most important aspect of negotiation with regards to the employment contract.

A salary is an employment wage that is normally not paid by the hour but more often at a monthly or annual rate.  The term, salary, derives from an earlier time when employee wages included, among other things, salt.

Wages in the United States are mostly market driven and heavily dependent upon the number of jobs available versus the number of qualified workers available to fill those jobs.  Hourly wages in the U.S. vary depending upon the job requirements and worker availability and can vary from a minimum wage of a few dollars per hour up to one hundred dollars per hour or more.

Minimum wage rates have been established by federal and state governments in an effort to prevent exploitation of low skilled, low paid workers.

Minimum Wages In The United States

The first minimum wage established by the federal government was $0.25 per hour as established by the National Recovery Act of 1933.  The U.S. Supreme Court decided in 1935 that the law establishing the minimum was was unconstitutional and it was abolished until 1938 when Congress passed the Fair Labor Standards Act again establishing the minimum wage at $0.25 per hour again which amounted to $3.22 in 2005 dollars.  The federal minimum wage reached its highest purchasing power in 1968 when it was set at $1.60 per hour or $8.85 in 2005 dollars.

During the 1990's states local jurisdictions were allowed to set their own minimum wage above that established by federal statute.  Some states and cities have enacted legislation that increases the minimum wage above federal levels.  The most notable is the City of San Francisco which currently has the highest minimum wage of any jurisdiction in the United States.

 

The debate over where to set the minimum wage rages around two issues.  The first being the supposed right of any worker to receive sufficient income to lead a normal life.  This is opposed on the other side by the second that stresses that wages should be market driven and some businesses are placed at a disadvantage when forced to pay a higher wage than that set by a free wage market.  The latter can have a disastrous effect on the economy if business is forced to pay some workers more than they produce in return.  Some have proposed indexing the minimum wage to the Consumer Price Index thereby eliminating the debate each time a higher rate is proposed.

Below is a list of the recent minimum wage as set by each state for those jobs covered by the minimum wage laws.  Some jobs which are in small companies or include tip income may be subject to lower minimum wage rates.  Some local jurisdictions may have higher minimum wages within states and are not noted.

Legal Minimum Employment Wage by State

* Federal $6.55 (29 USC Sec. 206)

* Alabama No state minimum wage law.
* Alaska $7.55
* Arizona $6.90
* Arkansas $6.25
* California $8.00 ($9.36 in San Francisco)
* Colorado $7.02
* Connecticut $7.65
* Delaware $7.15
* District of Columbia $7.55
* Florida $6.79 (rises with inflation)
* Georgia $5.15
* Hawaii $7.25
* Idaho $6.55
* Illinois $7.75
* Indiana $6.55
* Iowa $7.25
* Kansas $2.65
* Kentucky $6.55
* Louisiana No state minimum wage law.
* Maine $7.00
* Maryland $6.55
* Massachusetts $8.00
* Michigan $7.40
* Minnesota $6.15
* Mississippi No state minimum wage law
* Missouri $6.65
* Montana $6.55
* Nebraska $6.55
* Nevada $6.85
* New Hampshire $6.55
* New Jersey $7.15
* New Mexico $6.50
* New York $7.15
* North Carolina $6.55
* North Dakota $6.55
* Ohio $7.00
* Oklahoma $6.55
* Oregon $7.95
* Pennsylvania $7.15
* Rhode Island $7.40
* South Carolina No state minimum wage law
* South Dakota $6.55
* Tennessee No state minimum wage law
* Texas $6.55
* Utah $6.55
* Vermont $7.68
* Virginia $6.55
* Washington $8.07 (with future increases linked to inflation)
* West Virginia $7.25
* Wisconsin $6.50
* Wyoming $5.15

 

 

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Employment Wages News
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Minimum Wage And Job Loss: One Alarming Seattle Study Is Not The Last Word N...
New York Times Minimum Wage and Job Loss: One Alarming Seattle Study Is Not the Last Word New York Times The basic idea in both studies is that if the minimum wage rises to 13 an hour, for example, the effect on jobs can be inferred by looking at changes in employment below a cutoff like 18 or 19. Of course, jobs are added and lost and wages change German Minimum Wage Not Just The Money Social EuropeSocial Europe all 15 news articles raquo

The Latest Bright Idea That Wonapost Work A Federal Jobs Guarantee Program ...
The Latest Bright Idea That Won39t Work A Federal Jobs Guarantee Program Forbes Their plan fails, of course it does, and fails on two grounds. They39ve not understood the relationship between wages and employment, something of a difficulty to start with, and then they39ve really not understood Hayek39s point about knowledge in the

Broad Base Of Charleston Area Workers See Income Hikes Once Residential Costs...
Broad base of Charleston area workers see income hikes once residential costs factored out Charleston Post Courier Wage advances are outpacing rent increases for many Lowcountry employees, Apartment List.com reports. The region39s among just 7 percent of cities that show quotinclusive wage growth,quot in which income expands faster than rents rise in multiple employment

Where Have All The HQ Employees Gone Crainaposs Chicago Business Crainaposs...
Crainaposs Chicago Business Where have all the HQ employees gone Crain39s Chicago Business Crainaposs Chicago Business Visit Crain39s Chicago Business for complete business news and analysis including healthcare, real estate, manufacturing, government, sports and more. and more raquo

Study: Seattleaposs Minimum Wage Hike Hurting Hours, Employment AOL
AOL Study: Seattle39s minimum wage hike hurting hours, employment AOL Not all is rosy in Seattle as the city gradually pushes to raise the minimum wage to 15 per hour, according to a new study that suggests hiring and the number of hours worked among lower wage employees took a hit last year as minimum pay rose. No, Seattle39s 15 Minimum Wage Is Not Hurting WorkersThe Nation. Do minimum wage hikes aid workers The jury is still out.The Hill blog Workers celebrate LA39s new 12 minimum wage, businesses brace for impactLos Angeles Times National Review Forbes LAist NBER all 115 news articles raquo

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Facts of Law covering employee wage laws

Facts of Law - Employee Wages