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What is the Minimum Wage in NC?

Published in Minimum Wage North Carolina 2 mins read

The minimum wage in North Carolina is $7.25 per hour.

This rate aligns with the current federal minimum wage standard. Employers in North Carolina are legally required to pay non-exempt employees at least this amount for every hour worked. For further details on state minimum wage laws across the United States, comprehensive resources like the State Minimum Wages overview are available.

North Carolina's Minimum Wage in Context

North Carolina's minimum wage is currently the same as the federal rate. Here's a brief comparison with a few other states and territories:

State / Territory Minimum Wage Other Information
North Carolina $7.25
North Dakota $7.25
Northern Mariana Islands $7.25
Ohio $10.45 Indexed annual increases began Jan 1, 2007. (Constitutional amendment 2006)

Federal vs. State Minimum Wage Standards

In situations where a state's minimum wage differs from the federal minimum wage, employers are generally obligated to pay employees the higher of the two rates. Since North Carolina's minimum wage currently matches the federal rate of $7.25 per hour, this is the prevailing wage standard for most workers within the state.

Key Considerations for Minimum Wage

Understanding minimum wage regulations involves more than just the hourly rate. Here are some important points for both employers and employees:

  • Tip Credits: For employees who regularly receive tips, such as those in the service industry, employers may be allowed to pay a lower direct wage, provided that the employee's tips combined with the direct wage meet or exceed the standard minimum wage.
  • Exemptions: Not all workers are covered by minimum wage laws. Certain categories of employees, including some executive, administrative, professional, and outside sales staff, may be exempt from minimum wage requirements if they meet specific criteria regarding their job duties and salary level.
  • Compliance: Employers must ensure they are in full compliance with both federal and state labor laws to avoid penalties. Accurate record-keeping of hours worked and wages paid is crucial.
  • Potential Changes: Minimum wage rates can change due to legislative action at both state and federal levels. Staying informed about potential policy changes is advisable for businesses and workers alike.

Knowing the applicable minimum wage is essential for fair labor practices and economic well-being across North Carolina.