Monday, September 29, 2008

Maine's Minimum Wage to Increase

Maine's minimum wage will increase from $7.00 to $7.25 per hour on October 1st. Another increase will take place in October 2009 when the rate rises to $7.50 per hour. The increases are a result of a bill, "An Act to Ensure Fair Wages," passed by the 123rd Legislature. This is the third minimum wage hike signed into law by Governor John Baldacci. According to the Maine Department of Labor, approximately 26,000 Maine workers have earnings at or below the minimum wage. Certain employers are exempt from paying the minimum wage. Tipped employees may be paid one-half provided the employer makes up the difference if tips plus the hourly wage do not average at least the minimum wage. Many states have their own minimum wage laws and an employee subject to both a state and federal minimum wage is entitled to the higher of the two wages. The current federal minimum wage is $6.55 an hour. In July of 2009 the federal minimum wage will increase to $7.25 per hour. The federal minimum wage was established in 1938 and was set at 25 cents per hour. The other New England states' minimum wage rates are: Massachusetts - $8.00; Vermont - $7.68; Connecticut - $7.65; Rhode Island - $7.40; and New Hampshire - $7.25.

No comments: