Effective January 1, 2021, the state minimum wage is $11.75 per hour. The basic tipped wage rate for service or tipped employees must equal fifty percent (50%) of the state minimum wage and will be $5.88 per hour effective January 1, 2021.
“Service or tipped employees” are those who work in the hotel, motel, tourist place, or restaurant industry who customarily and regularly receive more than $120.00 per month in tips for direct and personal customer service.
Employers subject to the state minimum wage laws are those with two (2) or more employees, unless they fall under a statutory exemption.
Employees exempt from the state minimum wage requirements include:Full-time high school students;Agricultural workers;Taxicab drivers;Outsides salespersons; andFederal employees, among others.
