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The federal minimum wage in United States
In United States, the minimum wage is $6.55 per hour. According to the Fair Minimum Wage Act of 2007, every nonexempt employee should receive at least this amount for each working hour. The maximum working hour in United States is 40 hours in a calendar workweek. In case employees work beyond 40 hours, they are entitled to receive time-and-a half overtime. At present, the minimum amount of overtime is $8.78 per hour.
In addition, the federal minimum wage will be raised to $7.25 per hour on July 24, 2009, as stated in the Fair Minimum Wage Act of 2007.
The picture of California
In California, the minimum wage has been raised from $7.50 per hour to $8.00 per hour. This has been effective from January 1, 2008 and all individuals working in California are entitled to receive these minimum wages. However, there are certain exceptions where the minimum wage law will not be applicable. The employers, who want to avail these exceptions, will have to apply to the Division of Labor Standards Enforcement for a special license. These exceptions include:
•Trainees working under the State Division of Apprenticeship Standards.
•Immediate family members of the employer.
•Individuals working in external sales or working in a non-profit organization.
•Apprentices working in unrelated fields. They will receive at least 85% of the minimum wage after working for 160 hours.
There are certain regulations in which companies in California are also subjected to both the state and federal rules. Thereby, according to the state law the employers need to stick to the wages, which are more beneficial to their employees. In fact, if an employer fails to meet the terms, the company will be liable for a serious offence that may cause legal predicaments.
Moreover, employees can also file wage claim with the DLSE (Division of Labor Standards Enforcement) if they are underpaid. The employees can also bring a lawsuit in court in order to recuperate the lost wages. All these statutes are clearly mentioned in the Labor Code of California.
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