June 22, 2007 / Issue No. 3-07
 
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Compensation
Minimum Wage to Increase on July 24
Staff Salaries Up 4% This Year
Contractor Not Required to Pay Workers for Transportation or Security Time
Equal Employment Opportunity
EEOC Issues Guidance on Caregiver Discrimination
Labor Law
NLRB Sets New Standard for Determining Backpay for Salts
Upcoming Events
Save the Date for Audio Conference on Overtime Exemptions
AGC to Hold 1st Annual Training & Development Conference
Call for Presentations at AGC’s 2008 Annual Convention
Recent Events
Recruitment & Retention Tactics Discussed at AGC’s 6th HR Professionals Forum
Davis-Bacon Seminar Held at AGC Headquarters

  Minimum Wage to Increase on July 24
On May 25, President Bush signed legislation amending the Fair Labor Standards Act to raise the federal minimum wage for the first time in 10 years.

The increase is being phased in as follows:

On July 24, 2007 (60 days after enactment of the law), the federal minimum wage increases from the current rate of $5.15 per hour to $5.85 per hour.

On July 24, 2008 (12 months after that 60th day), the federal minimum wage will increase to $6.55 per hour.

On July 24, 2009 (24 months after that 60th day), the federal minimum wage will increase to $7.25 per hour.

At least 30 states have established a minimum wage rate higher than the current federal rate.  Where an employee is subject to both the state and federal minimum wage laws, the employee is entitled to higher of the two minimum wages.  For information on state minimum wage laws, click here.

Every employer of employees subject to the Fair Labor Standards Act's minimum wage provisions must post a notice explaining the Act in a conspicuous place at all work sites.  The Department of Labor is expected to provide new language and a new model poster reflecting the rate changes in the coming weeks.  AGC will update its Consolidated Federal Employment Laws Posters soon after. [ return to top ]