Different states find it their prime duty to set minimum wages for hardworking employees. As with this essential step being implemented everywhere, it’s sometimes difficult for employers to stay informed about the payments. We have written this article to help you know every important thing about minimum wage in Georgia.
The state hasn’t increased the salary rate per hour in these recent years, and it’s still lesser than the defined rate by Federal Government. The minimum wage in Georgia was $6.55 before 2008, which raised to $7.25/hour by 0.7 dollars. This law of the lowest possible pay rate every hour is eligible on companies with six or more workers.
Let’s talk about the current Georgia situation below.
Review the Minimum Wage in Georgia for 2021
The Federal Fair Labor Standards Act (FLSA) counters the particular state’s law dealing with the minimum wage. Georgia finds it just to offer a rate of 5.15 dollars to its employees, while the FLSA claims that every employee should at least earn $7.25 every hour. This way, the federal decision overrides the minimum salary fixed by Georgia. Besides this, the federal wages surpassing the law of Georgia also hold importance for its exemptions. Following are the few exemptions by the Federal wage rate per hour:
1. People who fall under 20 will be paid 4.25 dollars/hour as the training amount for the initial ninety days of service.
2. According to the law, the minimum tipped amount for employees is $2.13/ hour, which extends up to $5.12/hour as the maximum tip credit.
3. The students earning to meet their needs are paid almost 85% of the minimum wage, which calculates to be $6.16 for an hour. It is only applicable when the respective student worked for twenty hours a week.
Discover the Rules Applicable for Georgia’s Overtime Minimum Wage
Many workers around the world prefer serving more hours on work to earn more. These excessive duty hours than usual are referred to as overtime, and the state pays its employees accordingly. If a worker served for more than forty hours a week, according to FLSA, he is entitled to get an overtime pay rate by the employer. Most regions have specified an hour limit for overtime working, but that’s not the case with Georgia.
Generally, an overtime salary is 1.5 times the original minimum wage rate per hour for all employees. So with this under observation, Georgia has a minimum overtime wage of $10.88/hour. If you are employed in any company in Georgia and worked for more than 40 hours in seven days, you are eligible to get 1.5 times more amount than your regular salary.
Who Are Eligible for This Overtime Minimum Wage?
The Fair Labor Standards Act ensures the calculated overtime amount to low-grade workers spending their maximum time serving. If you fall under employees manually working, such as in construction, as a cashier, or industrial attendants, you’re eligible to get the extra amount.
List of People Exempted to Get Overtime Salary in Georgia
There are a few exemptions not getting the overtime salary because of already being paid a handsome amount. The government wisely set rules and excluded people with bright futures to benefit themselves from overtime salaries. According to a survey, almost 50 million workers cannot get the overtime minimum wage in a population of 120 million employees. Let’s look at the list of exemptions below:
· Whitecoat professionals, administrative, and other such reputed designations
· A Section 13(a)(1) by FLSA excludes the workers who are already earning a minimum of 455 dollars every week.
· All salesmen, many independent contractors, software-related employees are those people who earn by setting their own working hours, so also excused.
· Agricultural workers, transportation employees fall on the list.
You can further check the details on the official website of the Department of Labor in Georgia.
Georgia doesn’t seem to increase the minimum wage in the coming years. If this step is initiated, it’s a huge favor for the economy of the state. The government should think about creating something that benefits everyone. A study revealed that if the federal wage rate increases by $2.85, calculating to be $10.10 every hour, it can boost up the market to 22 billion dollars. They should open up the books to generate better opportunities and enjoy a wealthy life!
Matthew is a Co-Founder at BusinessFinanceArticles.org. Matthew was a floor manager at a local restaurant in Wales. He lost his job after the pandemic and took initiative to make a team and start the project.