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    Need information about minimum wage in Alabama.

    Have teen relative who started working this summer at small shop (mom and pop type).
    When he got his first pay check it was way below minimum wage. I thought all businesses had to pay minimum wage or the subminimum wage for student workers.

    When I read about minimum wage in FLSA it seems to only include businesses making over $500,000 or involved in interstate commerce.

    Can anyone shed light on this for me.

    #2
    I have heard this for this first time as well

    Originally posted by Earl View Post
    Need information about minimum wage in Alabama.

    Have teen relative who started working this summer at small shop (mom and pop type).
    When he got his first pay check it was way below minimum wage. I thought all businesses had to pay minimum wage or the subminimum wage for student workers.

    When I read about minimum wage in FLSA it seems to only include businesses making over $500,000 or involved in interstate commerce.

    Can anyone shed light on this for me.
    I refer out my clients that need payroll to a large third party company (the one with 3 letters) and my referral partner dropped by a fact sheet that confirms exactly what you have stated, no minimum wage required for employees working for a company with annual gross revenues under $500K.

    Here's a link to the DOL for reference: http://www.dol.gov/compliance/guide/minwage.htm

    I had never heard of this little law either; it could be useful to a lot of companies especially little cafes, mom and pop shops etc.

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    Comment


      #3
      I think that is the way the law is (or was) in AZ. But I learned that if you take Credit Cards, YOU ARE involved in interstate commerce.

      Comment


        #4
        Around here

        a person who can speak, read, wirte and understand English, do four function math, learn to operate "complex machines" such as computers and cash registers and who will reliably show up as scheduled cannot be found for less than $9 an hour.

        This young person in OP may need to learn to ask rate of pay when offered a job.
        Last edited by erchess; 06-19-2011, 04:11 PM.

        Comment


          #5
          Actually I've never in all these years actually researched the issue, but now that it has come up, this URL answers our question:



          So then, no min wage under AL law and therefore the federal applies.

          Main concern therefore is "does the business engage in interstate commerce?"
          ChEAr$,
          Harlan Lunsford, EA n LA

          Comment


            #6
            Both Federal and State

            I believe we have to review both the Federal Minimum Wage and then also the respective State Law.

            Is it not the State Law that supercedes, if higher, other wise it would be the Federal Law?

            Sandy

            Comment


              #7
              State law

              Yes, state law applies for overtime and minimum wage, but if the employee crosses state lines or even processes or receives packages from other states for example - he might then fall under federal rule. That is why some states labor deparments tell an employer to consult an attorney.

              I have no idea what Alabama law is but look for the department of labor's information about wages - perhaps they have a brochure on line? - because it may address many issues such as whether Alabama is a right-to-work state, mandatory breaks or lack or them, mandatory lunch hours or lack of them, when and if overtime is required. As you said the dollar amount only applies if there is no interstate activity.
              JG

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