Georgia Minimum Wage Laws vs. Federal Law: Which Applies?

As an hourly worker, you are entitled to a specific hourly wage. However, with both state and federal minimum wage laws in place, determining what you are owed can be confusing. This sometimes results in employers underpaying workers. If you have been underpaid by your employer, you may be entitled to recover what you are owed by filing a lawsuit. As explained below, your specific circumstances dictate which law applies to your situation. In this article, we explain the difference between state and federal minimum wage laws. 

Federal Minimum Wage

The federal minimum wage is $7.25 per hour. Any business that participates in interstate commerce and employers that employ a specific minimum number of employees are required to pay their employees the federal minimum wage. The federal law that establishes the federal minimum wage amount is called the Fair Labor Standards Act (FLSA). Unfortunately, some employers knowingly underpay their employees in violation of this federal law. In addition, other employers sometimes underpay their employees due to a failure to understand the FLSA, which is a complicated law. Either way, any employee who has been underpaid in violation of the FLSA may take legal action to recover unpaid wages. 

Georgia Minimum Wage 

In addition to the federal minimum wage established under the FLSA, Georgia has its own minimum wage laws. In the state of Georgia, the minimum wage is $5.15. As noted above, not all employers are subject to the FLSA. In cases in which an employer is not subject to the FLSA, the Georgia minimum wage law will apply. 

Minimum Wage Exceptions

There are some exceptions to the minimum wage laws in Georgia. In Georgia, there is a separate minimum wage for service industry employee who earn gratuities, such as servers and bartenders. The minimum wage for these types of employees is $2.13 an hour. However, if an employee in this category doesn’t earn an hourly wage that is equivalent to the federal minimum wage, then the employer must pay the employee enough to make up the difference. Exceptions to the minimum wage laws also sometimes apply to teenagers and students. 

Although state minimum wage laws apply to all Georgia employees, there are some exceptions to this rule. For example, employers with less than $40,000 in sales per year or who have less than five employees are not held to Georgia’s minimum wage standards. In addition, farm owners are not required to pay Georgia’s minimum wage. Also, if a job provides an employee with free room and board, then the employer may not have to pay minimum wage.

Contact an Employment Discrimination Attorney 

If you have been underpaid by your employer or are a victim of employment discrimination in Georgia, you need a knowledgeable and experienced employment discrimination attorney on your side. At Pankey & Horlock, LLC, we will work diligently on your behalf and do everything we can to achieve a successful outcome in your employment matter. Please contact us today to arrange a consultation with an employment discrimination attorney.