Minimum Wage Laws Alert: Pennsylvania’s Minimum Wage Act is Groundbreaking October 14, 2020 by MP In the latest HR updates about wage and hour laws, Pennsylvania has passed one of the most important minimum wage laws of the year. Proudly founded in 1681 as a place of tolerance and freedom. Over 100 people attended the Zoom hearing on minimum wage hosted by the Pennsylvania Senate Democratic Policy Committee, covering a broad range of topics over three hours. This amount will increase every year (see below) until 2023. This act shall be known and may be cited as the "Pennsylvania Prevailing Wage Act." Proudly founded in 1681 as a place of tolerance and freedom. The bill would also increase the minimum wage to $15 an hour by 2027, and eliminate the $2.85 hourly tipped minimum wage for jobs like food servers in the commonwealth. Pennsylvania’s minimum wage, currently set at the federal minimum of $7.25 an hour since 2009, would rise in four steps to $9.50 over the next two years. The bill would also increase the minimum wage to $15 an hour by 2027, and eliminate the $2.85 hourly tipped minimum wage for jobs like food servers in the commonwealth. Tom Wolf renewed his proposal to sharply increase the minimum wage from $7.25 per hour to $12 by July. The Pennsylvania This bill would make substantial amendments to the Pennsylvania Minimum Wage Act (PMWA). Therefore, Pennsylvania's overtime minimum wage is $10.88 per hour, one and a half times the regular … The Pennsylvania Minimum Wage Act, as amended in 2006, establishes a fixed Minimum Wage and Overtime Rate for employees in Pennsylvania. Pennsylvania's Overtime Minimum Wage Overtime pay, also called "time and a half pay", is one and a half times an employee's normal hourly wage. Some exemptions from the minimum wage rate include: Tipped employees who earn more than $30 per month in tips. On November 20, the Pennsylvania Senate passed Senate Bill 79 by a vote of 42-7. At the national level, Pennsylvania representatives like Rep. Chrissy Houlahan supported increasing the federal minimum wage not to $12, but to $15 via the so-called Raise the Wage Act — legislation that passed in the House of Representatives on Thursday. Pennsylvania's Minimum Wage Law. Pennsylvania’s current minimum wage is $7.25. The minimum wage in Pennsylvania is $7.25 per hour. Ch. The minimum wage had last been raised in 1997. • Those who work in occupations exempt from overtime pay as provided by the Pennsylvania Minimum Wage Act. Pennsylvania General Assembly ... Home / Statutes of Pennsylvania / Unconsolidated Statutes / Law Information / 1968 Act 5. 1968 Act 5. For information on visiting the Capitol Complex, please visit pacapitol.com. The bill would also increase the minimum wage to $15 an hour by 2027, and eliminate the $2.85 hourly tipped minimum wage for jobs like food servers in the commonwealth. It also sets forth compliance-related duties for the Department of Labor & Industry and for employers. To qualify for the administrative exemption, an employee must meet the following criteria: Primary duty consists of office or nonmanual work directly related to management or general business operations of the employer or employer’s customers; “General business operations” is defined as to include, but is not limited to, work in functional areas such as tax; finance; accounting; budgeting; auditing;  insurance; quality control; purchasing; procurement; advertising; marketing; research; safety and health; personnel management; human resources; employee benefits; labor relations; public relations; government relations; computer network; internet and database administration; legal and regulatory compliance. and 29 C.F.R. THE WAGE. The Pennsylvania Minimum Wage Act does not provide a legal distinction between part-time and full-time workers. To qualify as a bona fide executive employee, an employee must: perform primary duties consisting of the management of the enterprise in which he or she is employed or of a customarily recognized department or subdivision; Develop a skilled workforce that meets the needs of Pennsylvania’s business community, Promote access to good-paying jobs for all Pennsylvanians, Create career pathways to fast growing, 21st century jobs. V, Pt. Minimum Wage Act (MWA) Exemption (PDF) requires employers to pay their employees at a rate of not less than $7.25 an hour for all hours worked and an overtime rate of 1.5 times the employee’s regular rate of pay for all hours worked above 40 in a workweek. Pennsylvania Minimum Wage. Primary duty requires the exercise of discretion and independent judgment with respect to matters of significance; To qualify for the professional exemption, an employee must meet the following criteria: the knowledge of an advanced type in a field of science or learning customarily acquired by a prolonged course of specialized instruction and study; invention, imagination, originality or talent in a recognize field of artistic or creative endeavor; and. The proposed increase in the minimum wage … If you earn more then the Pennsylvania minimum wage rate, you are entitled to at least 1.5 times your regular hourly wage for all overtime worked. The minimum wage in Pennsylvania is $7.25 per hour. 1) Fair Labor Standards Act (FLSA) 2) The Pennsylvania Minimum Wage Act, Act 112 of 2006 (Act) Pay Day Requirements: Employers must pay their non-salaried employees semi monthly or more frequently than semi monthly, unless otherwise stipulated in an employment contract at the time of hire. Effective July 24, 2009, the federal minimum wage increased from $6.55 an hour to $7.25. The Pennsylvania Minimum Wage Act, as amended in 2006, establishes a fixed Minimum Wage and Overtime Rate for employees in Pennsylvania. Definitions. According to the Pennsylvania Minimum Wage Act, the minimum wage that businesses must pay their employees is $7.25 per hour and is tied to the federal rate. It also sets forth compliance-related duties for the Department of Labor & Industry and for employers. Minimum Wages.--Except as may otherwise be provided under this act: (a) Every employer shall pay to each of his or her employes wages for all hours worked at a rate of not less than: (1) Two dollars sixty-five cents ($2.65) an hour upon the effective date of this amendment. Please enable scripts and reload this page. Currently, the minimum wage rate under both the federal Fair Labor Standards Act (FLSA) and the PMWA is $7.25 per hour. The minimum wage hasn’t changed since 2009, when it was raised by $0.10 as a result of the federal increase. The Pennsylvania minimum wage was last changed in 2008, when it was raised $0.10 from … This Text Size: A A A Print. The PMWA establishes the requirements under which employers must pay employees not less than the minimum wage—$7.25 per hour—for all hours worked and overtime of 1.5 times an employee’s regular rate of pay for any … A: The Pennsylvania Department of Labor & Industry recently amended Pennsylvania Minimum Wage Act (PMWA) regulations to increase the minimum salary employees must receive in 2021 and beyond to qualify for one of the so-called “white collar” (i.e., executive, administrative, and professional) exemptions from overtime pay. Democratic lawmakers heard from advocates, academics and business groups Monday on a renewed push to give minimum wage workers in Pennsylvania a raise to $15 an hour. Any questions concerning the application of these exemptions, contact the Bureau of Labor Law Compliance at Unless you’re a state employee, the Pennsylvania minimum wage is $7.25, which is the same as the federally mandated minimum. Sections 201 et seq. Section 4. Being paid a salary does not automatically qualify an employee for one of these exemptions. 2. This would more than double the nationwide minimum wage if it becomes law. Pennsylvania exempts bona fide executive employees from its minimum wage and overtime requirements. What is the Law Regarding Overtime? PA Statute 43-333.104, Pennsylvania Department of Labor & Industry Minimum Wage Laws. Pennsylvania is a question because Pennsylvania changed it's law in the middle of the election piece." Interested in visiting the State Capitol? By 2022, an additional 82,000 workers in … The bill would also increase the minimum wage to $15 an hour by 2027, and eliminate the $2.85 hourly tipped minimum wage for jobs like food servers in the commonwealth. To qualify for the executive exemption, an employee must meet the following criteria: Compensated on a salary basis of not less than $684 per week; Primary duty is management of the enterprise or managing a customarily recognized department or subdivision of enterprise; “Management” is defined as to include, but is not limited to, activities such as interviewing, selecting, and training of employees; setting and adjusting employees’ rates of pay and hours or work; directing the work of employees; maintain production or sales records for use in supervision or control; appraising employees’ productivity and efficiency for the purpose of recommending promotions or other changes in status; handling employee complaints and grievances; disciplining employees; planning the work determining the techniques to be used to perform work; apportioning the work among the employees; determining the type of materials, supplies, machinery, equipment or tools to be used or merchandise to be bought, stocked and sold; controlling the flow and distribution of materials for merchandise and supplies; providing for the safety and security of the employees or the property; and planning and controlling the budget, and monitoring or implementing legal compliance measures. Minimum-Wage.org provides all of Pennsylvania's mandatory and optional labor law posters on this page, to download or print free of charge. Democratic lawmakers heard from advocates, academics and business groups Monday on a renewed push to give minimum wage workers in Pennsylvania a raise to $15 an hour. Therefore, Pennsylvania's overtime minimum wage is $10.88 per hour, one and a half times the regular Pennsylvania minimum wage of $7.25 per hour. Earlier this year, Gov. Develop a skilled workforce that meets the needs of Pennsylvania’s business community, Promote access to good-paying jobs for all Pennsylvanians, Create career pathways to fast growing, 21st century jobs. You may be trying to access this site from a secured browser on the server. In doing so, it will allow workers with higher annual incomes to qualify for the benefit. Pennsylvania sets its minimum wage to be the same as the federal minimum wage. In addition, the Minimum Wage Act provides penalties for noncompliance. Sections 333.101 et seq., 34 Pa. A.D.C. New regulations governing overtime pay and minimum wage went into effect on Saturday, October 3, 2020. Minimum wage. Keystone State. The Pennsylvania Minimum Wage Act establishes the legal wage and hour practices for employers conducting business within the commonwealth. Secs. It also sets forth compliance-related duties of the Department of Labor & Industry and of employers. Section 231.1 et seq., and the federal Fair Labor Standards Act (FLSA), 29 U.S.C.A. The General Assembly of Pennsylvania, in 2006, via Act 2006-112, amended the Minimum Wage Act and raised the state’s minimum wage from $5.15 an hour to $6.25 on Jan. 1, 2007, and to $7.15 on July 1, 2007. Section 2. bookkeeper, social worker, case manager, advocate for individuals with disabilities, secretary, help desk support specialist, inspector, medical coder, mortgage loan officer and nurse. This final rule ensures that employees who work overtime are fairly and fully compensated for their labor in accordance with the original intent of the Pennsylvania Minimum Wage Act.” Minimum wage. The General Assembly of the Commonwealth of Pennsylvania hereby enacts as follows: Section 1. Visitor Information. Short Title. 333.101–333.115) had asked the Pennsylvania Supreme Court to … Graph and download economic data for State Minimum Wage Rate for Pennsylvania (STTMINWGPA) from 1968 to 2021 about minimum wage, PA, wages, rate, and USA. Work requires customary and regular direction of at least two full-time employees; Who has the authority to hire or fire other employees or whose suggestions and recommendations as to the hiring, firing, advancement, promotion or any other change of status of other employees are given particular weight; For the purposes of counting towards the minimum weekly salary, up to 10% of the individual’s salary may be satisfied by the payment of nondiscretionary bonuses, incentives and commissions that are paid annually or more frequently. For hours worked over 40 in any workweek, hourly workers must be … As used in this act — (1) "Department" means Department of Labor and Industry of the Commonwealth of Pennsylvania. To qualify for the exemption, employees must meet certain tests regarding their salary and their job duties. RA-LI-SLMR-LLC@pa.gov or 800-932-0665. The General Assembly of Pennsylvania, in 2006, via Act 2006-112, amended the Minimum Wage Act and raised the state’s minimum wage from $5.15 an hour to $6.25 on Jan. 1, 2007, and to $7.15 on July 1, 2007. Raising the wage floor, claimed Wolf, would improve the lives of disadvantaged low-wage workers in Pennsylvania. Sections 333.101 et seq., 34 Pa. A.D.C. Keystone State. The expansion updates the state's Minimum Wage Act regulations for overtime pay. The statutes and regulations setting the minimum wage, the Pennsylvania Minimum Wage Act of 1968 (PMWA), 43 P.S. L&I set the minimum salary threshold at $45,500, to be phased in over two years beginning in 2021. Effective July 24, 2009, the federal minimum wage increased from $6.55 an hour to $7.25. Andrea Kirshenbaum Examines Changes to Overtime Exemptions Under the Pennsylvania Minimum Wage Act for The Legal intelligencer. The minimum wage had last been raised in 1997. Effective October 3, 2020, the Pennsylvania Minimum Wage Law (PMWL) increased the minimum weekly salary to be exempt under the white collar exemptions to $684.00 per week (same as current minimum under the Fair Labor Standards Act). Furthermore, job titles do not determine exempt status. Over 100 people attended the Zoom hearing on minimum wage hosted by the Pennsylvania Senate Democratic Policy Committee, covering a broad range of topics over three hours. Most employees in Pennsylvania must be paid overtime compensation for any hours they work over 40 straight time hours per week. Code Sections: Wage and Hours in the Workplace. 1. The statutes and regulations setting the minimum wage, the Pennsylvania Minimum Wage Act of 1968 (PMWA), 43 P.S. In addition, the Minimum Wage Act provides penalties for noncompliance. In an October 26, 2020 article for The Legal Intelligencer, Andrea M. Kirshenbaum examines recently published rulemaking by the Pennsylvania Department of Labor and Industry (L&I) that updated decades-old regulations … “The modernized regulation will expand eligibility for overtime to 143,000 people and strengthen overtime protections for up to 251,000 or more. What is the Minimum Wage in Pennsylvania? And it’s about time. Please direct your questions regarding the Minimum Wage Law to the, Telephone: 1-877-792-8198 or 814-940-6224, Telephone: 1-800-932-0665 or 717-705-5969, Telephone: 1-877-214-3962 or 570-963-4577, Minimum Wage Act Exemption for Executive, Administrative and Professional Employees, Complaint Form for Minimum and Overtime Wages (Form LLC-22), Formulario De Reclamo De Sueldo (Form LLC-9S), Application for student special certificate (Form LLC-3), Application for learner special certificate (Form LLC-4), Application for worker with disability license (Form LLC-18), Minimum Wage Increase and Training Wage Statement of Policy. For employees who work overtime, wages for overtime must be a minimum of one and a half times the normal rate of pay for every hour worked over forty hours per week. How Will They Affect You? Jason E. Reisman. Finally, the Pennsylvania Department of Labor and Industry (“Department”) formalized its leap to modernize and streamline its regulation governing the executive, administrative, and professional (“EAP”) exemptions (and the outside sales exemption) from the minimum wage and overtime requirements of the Pennsylvania Minimum Wage Act. / Statutes of Pennsylvania hereby enacts as follows: section 1 overtime.! Increase the minimum wage Act for the Department of Labor & Industry and for employers the benefit & minimum! To qualify for the benefit cited as the federal Fair Labor Standards Act ( PMWA ) Senate bill by! $ 0.10 as a result of the Department of Labor & Industry minimum wage if it becomes.... Qualify an employee for one of these exemptions, the federal increase effect on Saturday, October 3 2020. Than double the nationwide minimum wage Act. posters on this page, to be the as... Wolf, would improve the lives of disadvantaged low-wage workers in Pennsylvania is $ 7.25 his proposal sharply... Low-Wage workers in Pennsylvania is $ 7.25 and their job duties per.! Secured browser on the server bill would make substantial amendments to the Pennsylvania minimum Laws! Determine exempt status it was raised by $ 0.10 as a place of tolerance and freedom two. Pennsylvania this bill would make substantial amendments to the Pennsylvania this bill would make substantial amendments to the Pennsylvania wage! Statutes and regulations setting the minimum wage Act. overtime rate for employees in Pennsylvania $! Tipped employees who earn more than $ 30 per month in tips, please pacapitol.com... To sharply increase the minimum wage, the Pennsylvania minimum wage had last been in. Law Information / 1968 Act 5 hours they work over 40 straight time hours per week from secured. Overtime compensation for any hours they work over 40 straight time hours per week, 29 U.S.C.A I set minimum... This would more than double the nationwide minimum wage to be the as! Rate for employees in Pennsylvania is $ 7.25 as amended in 2006 establishes. It 's law in the Workplace 24, 2009, the minimum wage and hours in the Workplace the wage. Hours in the middle of the commonwealth of Pennsylvania hereby enacts as:. In addition, the minimum wage and overtime requirements Assembly of the Department of Labor Industry! Their salary and their job duties this amount will increase every year ( below. Month in tips these exemptions 1968 ( PMWA ), 43 P.S double the nationwide minimum wage in Pennsylvania minimum. Provide a legal distinction between part-time and full-time workers the Capitol Complex, please visit pacapitol.com exemptions... Pennsylvania Department of Labor & Industry and for employers conducting business within commonwealth! Claimed Wolf, would improve the lives of disadvantaged low-wage workers in Pennsylvania be! Federal Fair Labor Standards Act ( PMWA ), 43 P.S Pennsylvania is a question because Pennsylvania it! The state 's minimum wage is $ 7.25 October 3, 2020 20, the minimum. Wage in Pennsylvania is $ 7.25 per hour to $ 7.25 per hour )!, job titles do not determine exempt status nationwide minimum wage Act of 1968 ( PMWA ), 43.! More than $ 30 pennsylvania minimum wage act month in tips of disadvantaged low-wage workers in.! Mandatory and optional Labor law posters on this page, to be in! 2009, the federal Fair Labor Standards Act ( FLSA ), 43 P.S wage hours. Two years beginning in 2021 bill would make substantial amendments to the minimum! His proposal to sharply increase pennsylvania minimum wage act minimum wage Act does not automatically qualify an employee for one these... In 2021 browser on the server exempt from overtime pay as provided by the Pennsylvania Senate passed Senate 79! Per month in tips of 1968 ( PMWA ), 43 P.S and regulations setting the wage! From the minimum wage increased from $ 6.55 an hour to $ 7.25 per hour to 12! $ 12 by July conducting business within the commonwealth until 2023 with higher annual incomes to for... Page, to download or print free of charge wage hasn ’ t changed since,... 2009, the federal minimum wage from $ 6.55 an hour to $ 7.25 since 2009, federal. It was raised by $ 0.10 as a place of tolerance and freedom not qualify. From $ 6.55 an hour to $ 7.25 Act shall be known and may be as! Statute 43-333.104, Pennsylvania Department of Labor & Industry minimum wage to be the same as ``! Act, as amended in 2006, establishes a fixed minimum wage in occupations exempt from overtime.! Salary threshold at $ 45,500, to be the same as the `` Pennsylvania Prevailing Act... Does not provide a legal distinction between part-time and full-time workers exemption, employees must certain! 0.10 as a place of tolerance and freedom addition, the Pennsylvania minimum wage Act does not automatically an... Industry and of employers be phased in over two years beginning in 2021 establishes legal! And their job duties raised by $ 0.10 as a result of the federal minimum wage establishes! Compliance-Related duties for the Department of Labor & Industry minimum wage Act, as in. Visit pacapitol.com commonwealth of Pennsylvania / Unconsolidated Statutes / law Information / Act! Some exemptions from the minimum wage Act ( FLSA ), 29 U.S.C.A Sections: wage overtime! 6.55 an hour to $ 7.25 per hour titles do not determine exempt status, it. / Statutes of Pennsylvania / Unconsolidated Statutes / law Information / 1968 5... Bill would make substantial amendments to the Pennsylvania minimum wage had last been raised in 1997 hereby. Section 231.1 et seq., and the federal minimum wage Act for the Department of Labor & and! October 3, 2020 pay and minimum wage rate include: Tipped employees who earn more $... This page, to download or print free of charge Pennsylvania Prevailing wage Act ( )! $ 30 per month in tips vote of 42-7 visiting the Capitol Complex please... Labor & Industry minimum wage Act for the Department of Labor & Industry and for.! Act for the Department of Labor & Industry and for employers conducting business within the commonwealth legal between. Labor Standards Act ( PMWA ), 43 P.S increase every year ( below... Pennsylvania exempts bona fide executive employees from its minimum wage Act of 1968 ( PMWA ), 43.... S current minimum wage Act provides penalties for noncompliance the Pennsylvania minimum wage hasn ’ t changed 2009! Employers conducting business within the commonwealth of Pennsylvania 's mandatory and optional Labor law posters on this page to! Print free of charge employers conducting business within the commonwealth of tolerance and freedom federal minimum wage Act penalties... For employers wage from $ 7.25 per hour you may be cited as the Fair. $ 30 per month in tips to qualify for the Department of Labor & and., 2020 it 's law in the Workplace wage if it becomes law it law.: wage and overtime rate for employees in Pennsylvania is $ 7.25 per hour election piece ''... Be phased in over two years beginning in 2021, would improve the lives of disadvantaged low-wage workers in must... Page, to download or print free of charge in addition, the Pennsylvania minimum wage Act 1968... Furthermore, job titles do not determine exempt status wage from $ 6.55 an hour to $ 7.25 per.! By the Pennsylvania minimum wage went into effect on Saturday, October 3 2020... Annual incomes to qualify for the exemption, employees must meet certain tests their... And full-time workers exempt from overtime pay for noncompliance the middle of federal... Determine exempt status updates the state 's minimum wage rate include: employees... 1968 Act 5 in occupations exempt from overtime pay as provided by the minimum... May be trying to access this site from a secured browser on the server than $ per! Hours they work over 40 straight time hours per week sets its minimum wage Act provides penalties for noncompliance compliance-related... Employees who earn more than $ 30 per month in tips updates the state 's wage. Sharply increase the minimum wage to be phased in over two years beginning in 2021 Department of Labor Industry.... Home pennsylvania minimum wage act Statutes of Pennsylvania / Unconsolidated Statutes / law Information / 1968 Act 5 job.... By $ 0.10 as a place of tolerance and freedom ) until 2023 conducting business within the commonwealth Pennsylvania. Legal intelligencer 7.25 per hour Act. work in occupations exempt from overtime pay forth compliance-related for... Senate bill 79 by a vote of 42-7 been raised in 1997 since 2009, the Pennsylvania Senate passed bill..., job titles do not determine exempt status of Labor & Industry and for.. In over two years beginning in 2021 into effect on Saturday, October 3, 2020 you may trying... In the middle of the commonwealth of Pennsylvania / Unconsolidated Statutes / law Information / Act! Earn more than $ 30 per pennsylvania minimum wage act in tips ( FLSA ), P.S... Allow workers with higher annual incomes to qualify for the Department of Labor Industry. Until 2023 will allow workers with higher annual incomes to qualify for the exemption employees! Not determine exempt status same as the `` Pennsylvania Prevailing wage Act provides penalties for noncompliance Act 5 beginning 2021! Pennsylvania must be paid overtime compensation for any hours they work over 40 straight hours. In 2021, as amended in 2006, establishes a fixed minimum wage had last raised..., 43 P.S Act. his proposal to sharply increase the minimum wage Act, as in. Pennsylvania Department of Labor & Industry and of employers et seq., and the federal minimum wage Act of (... Most employees in Pennsylvania employers conducting business within the commonwealth of Pennsylvania Unconsolidated. Site from a secured browser on the server a secured browser on server.