 |
|
||||||
FOR MORE INFORMATION CONTACT: Tammy Cavender (573)
751-7500
FOR IMMEDIATE RELEASE: December 11, 2006
New Minimum Wage Law Effective January 1, 2007
Hourly wage to increase from $5.15 to $6.50 per hour
Jefferson City, MO – Missouri’s new minimum wage law goes into effect January 1, 2007, increasing the minimum wage from $5.15 to $6.50 per hour. The new law also requires the state minimum wage to adjust annually beginning January 1, 2008, based on changes in the Consumer Price Index.
“The Department’s Division of Labor Standards is working diligently to supply employers and employees with information regarding the new law,” said Rod Chapel, director of the Missouri Department of Labor and Industrial Relations.” “The Division is an excellent resource and is available to assist with any questions.”
The Division launched a new web site at www.dolir.mo.gov/ls/minimumwage/ to assist employers and employees understand the new minimum wage law under Proposition B. The new web site provides answers to frequently asked questions, links to ballot language and additional state and federal contact information.
At this time, most employers are covered under the federal Fair Labor Standards Act (FLSA) and Missouri’s current minimum wage law does not apply in nearly all cases. However, effective January 1st, changes will impact many Missouri employers. Proposition B excludes certain FLSA exemptions towards state law. Therefore, Missouri employers will be required to comply with state minimum wage requirements and the FLSA.
The new minimum wage law applies to Missouri retail or service businesses whose annual gross sales are $500,000 or more.
Employers subject to the new minimum wage law will be responsible for keeping a record of the following information for a period of at least three years: name, address and occupation of each employee; the rate of pay; the amount paid each pay period to each employee; the hours worked each day and each workweek by the employee; and any goods or services provided by the employer to the employee as provided under the law. In addition, a summary of wage regulations must be posted in a conspicuous and accessible place for employees to view. Minimum wage posters will soon be available to print at no charge at www.dolir.mo.gov/ls/minimumwage/.
For employers of “tipped” employees, the minimum base wage is $2.13 according to federal law. If the combination of $2.13 per hour, plus the amount of tips does not equal at least $6.50 per hour, employers must make up the difference.
The change in the law also gives the Missouri Division of Labor Standards the responsibility to educate the public and investigate complaints to assure compliance with the new minimum wage law. Wage & Hour staff members are available to provide information and assistance to any Missouri employers or employees who have questions about the new minimum wage law changes.
To learn more about Missouri’s new minimum wage law or to print a minimum wage poster, please visit www.dolir.mo.gov/ls/minimumwage/ or call the Missouri Division of Labor Standards at (573) 751-3403.
###
Information and Planning · 421 East Dunklin
· P.O. Box 504 · Jefferson City, MO
65102-0504
573-751-7500 · 573-751-6552 (Fax)
Relay Missouri: 1-800-735-2966 (TDD) 1-800-735-2466 (Voice)