Overview of Arkansas's Minimum Wage Requirements
As of the most recent data available, the minimum wage in the state of Arkansas is $11.00 per hour. This requirement applies to employers with four or more employees and is a mandate that employers must adhere to in order to avoid legal penalties. The minimum wage is adjusted periodically based on the state's economic conditions and cost of living, ensuring that workers receive a wage that supports a basic standard of living.
It's important to note that the Arkansas minimum wage is higher than the federal minimum wage of $7.25 per hour. Premium pay is required after designated hours, specifically after 40 hours in a week. However, as economic conditions and cost-of-living can change, it's always advisable to check for any updates or changes in the minimum wage rates.
Understanding Local Minimum Wage Variations
The minimum wage requirements in Arkansas are consistent across the state, including in Benton County, Pulaski County, Washington County, Sebastian County, Little Rock, Fort Smith, Fayetteville, Springdale, and Jonesboro. In all these locations, the minimum wage is set at $11.00 per hour.
This rate applies to most employees, with certain exceptions such as tipped employees and some student workers. For tipped employees, the wage must be at least $2.63 per hour, and their tips should bring them up to the applicable minimum wage per hour. If not, the employer is required to make up the difference.
Minimum Wage Eligibility and Exemptions
In Arkansas, the minimum wage is applicable to employers with four or more employees, including those covered by the federal Fair Labor Standards Act (FLSA). If an employer is covered by both state and federal laws, they are required to pay the highest minimum wage. Tipped employees must be paid at least $2.63 per hour. If their tips do not bring their total earnings up to the minimum wage, the employer is obligated to make up the difference.
There are exemptions for certain categories of employees. For instance, full-time students can be paid a sub-minimum wage of not less than 85% of the applicable minimum wage rate under certain conditions. The employer must have a full-time student certificate issued by the department in advance of employment at less than the applicable minimum wage rate.
Minimum Wage Considerations and Compliance Tips
Food business employers in Arkansas must adhere to several key minimum wage legal and compliance considerations. The basic combined cash and tip minimum wage rate is $11.00. Employers can claim a maximum tip credit against the minimum wage of $8.37, meaning they must pay a minimum cash wage of $2.63 to their tipped employees.
Employers are required to post the “Notice to Employer and Employee” which includes information on minimum wage, overtime, child labor, and wage collection. This notice is required for employers with 4 or more employees. They must also comply with the “Your Rights Under the Fair Labor Standards Act – Federal Minimum Wage and Overtime Laws”.
FAQs
- What is the current minimum wage in Arkansas? The current minimum wage in Arkansas is $11.00 per hour.
- Who is eligible for minimum wage in Arkansas? The minimum wage in Arkansas applies to employers with four or more employees, including those covered by the federal Fair Labor Standards Act (FLSA).
- Are there any exemptions to the minimum wage in Arkansas? Yes, full-time students can be paid a sub-minimum wage of not less than 85% of the applicable minimum wage rate under certain conditions.
Information Source Links
- Department of Labor's website
- National Conference of State Legislatures' page on State Minimum Wages
- Workstream Wage Index for Arkansas
- Arkansas Minimum Wage
- Federal Minimum Wage
- Arkansas Minimum Wage Rules
- Administrative Rules Pertaining to the Arkansas Minimum Wage Act
- Arkansas Department of Labor's official website
- U.S. Department of Labor's Wage and Hour Division
- Fact Sheet #2
- Fact Sheet #15
- Fact Sheet #15A
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