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Federal Hourly Minimum Wage increased to $7.25

WASHINGTON, D.C., July 24, 2009: The federal minimum wage has increased to $7.25 an hour for workers who are covered by the Fair Labor Standards Act (FLSA). Congress in 2007 approved the minimum wage increase in three increments.  Prior to the increase, the minimum wage was $6.55 an hour.

U.S. Rep. Marcy Kaptur (D-OH) supported the minimum wage increase, which passed the House with bipartisan support (348-73) as part of an emergency supplemental appropriations bill in May 2007.

An employee who works 40 hours a week at the federal minimum wage would now gross $15,080 a year.  Secretary of Labor Hilda Solis noted that two thirds of U.S.-America's minimum-wage workers are women.  A family with a full-time minimum wage earner would see its monthly income increase by approximately $120.

The U.S. Department of Labor reported that millions of workers in 30 states and the District of Columbia will benefit from the wage increase.

The minimum wage in Ohio, established by state law, is $7.35 an hour for non-tipped workers or $3.65 for tipped workers (defined as workers who customarily receive at least $30 a month in tips). 

Many states have minimum wage laws with provisions that differ from the federal law. When an employer is subject to both, the employer must pay the higher of the two rates. Employers and employees seeking more compliance information on the increased minimum wage should call the Wage and Hour Division hotline at 800-4US-WAGE (800-487-9243).





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