As one of the many states that have taken initiative to set their own minimum wage rates above the federal wage rate, it is incredibly important for employers to understand the differences. Understanding the ins-and-outs of minimum wage laws per state is vital for any business aiming to succeed while remaining compliant with regulations. These regulations includes how much you have to pay an employee, legal consequences, employee dissatisfaction and a tarnished brand or reputation.
In this article, we will discuss everything you need to know about West Virginia’s minimum wage, wage laws and how to stay compliant with these laws. From recent changes to the states minimum wage to wage laws, this all-in-one guide will provide you with the correct information so that you can successfully navigate the wage regulations in West Virginia.
- US Minimum Wage: how it works
- West Virginia minimum wage timeline
- West Virginia minimum wage 2024 and looking ahead
- Additional West Virginia wage laws
- How to ensure compliance with wage laws
- How Factorial can help you
- Simplify your HR processes with Factorial’s all-in-one solution🚀
US Minimum Wage: How It Works
The minimum wage is the lowest amount of money that employers are legally allowed to pay their employees per hour. However, there is no single minimum wage in the United States. Instead, there are three tiers of minimum wage laws: federal, state, and municipal.
Federal Minimum Wage
The federal minimum wage, set by the Fair Labor Standards Act (FLSA), is currently $7.25 per hour. This is the lowest wage that any employer in the United States can legally pay their employees. However, the federal minimum wage is not always the highest minimum wage that applies to employees.
State Minimum Wage
Multiple states have their own minimum wage laws that are higher than the federal minimum wage. In these states, employees are entitled to the higher of the two minimum wages. As of right now, 34 states have minimum wages that are higher than the federal minimum wage.
Municipal Minimum Wage
Some cities also have their own minimum wage laws that are higher than both the federal and state minimum wages. These municipal minimum wages are typically set by the city council or by ballot initiative. There are currently over 60 U.S. cities with minimum wages that are higher than the federal minimum wage.
Ultimately, while the federal minimum wage provides a nationwide standard. The tiered structure at the state and local levels acknowledges the diverse economic landscapes across the country and allows for more localized adjustments to account for varying economic conditions.
West Virginia minimum wage timeline
Before we look at the specific minimum wage rates that employers in the state need to comply with, let’s take a look at the history of West Virginia’s minimum wage to understand the context that has shaped the current regulatory landscape. The minimum wage was introduced 55 years ago in West Virginia, beginning in 1969. West Virginia’s minimum wage has seen incremental increases as state policies change to keep up with inflation rising.
So, what are the key historical changes in the minimum wage in West Virginia? Heres everything you need to know!
Historical Dates
- January 1st, 1969: West Virginia begins its minimum wage journey in 1969, pleasing the citizens of the State. The minimum wage is set at $1.00 per hour in compliance with the Federal Fair Labor Standards Act which was introduced in 1967.
- January 1st, 1971: Just 2 years later the minimum wage in West Virginia rises by 20 cent to $1.20.
- July 1st, 1972: 1 year later, the minimum wage in West Virginia increases to $1.40.
- July 1st, 1973: The minimum wage in West Virginia continues to see an increase in 1973 where it rises by 20 cent to $1.60.
- July 1st, 1974: Just 1 year later, the minimum wage increases to $1.80 which is a 20 cent increase.
- July 1st, 1975: The minimum wage in West Virginia rises by 20 cent to $2.00.
- July 1st, 1976: The minimum wage in West Virginia rises by 20 cent to $2.20.
- July 1st, 1981: After 5 years, the minimum wage in West Virginia saw a significant increase. This year it increased by 55 cent to $2.75.
- July 1st, 1982: Jumping forward 4 years, the minimum wage in West Virginia rises by 30 cent to $3.05.
- July 1st, 1986: The minimum wage in West Virginia rises by 30 cent to $3.35.
- April 1st, 1992: In 1992 the minimum wage in West Virginia rises by 90 cent to $4.25.
- October 1st, 1997: The minimum wage in West Virginia is changed to $4.75.
- September 1st, 1998: The minimum wage in West Virginia rises to $5.15.
- July 1st, 2006: The minimum wage in West Virginia rises by 70 cent to $5.85.
- July 1st, 2007: The minimum wage in West Virginia increases to $6.55.
- July 1st, 2008: The minimum wage in West Virginia increases to $7.25.
- January 1st, 2015: 7 years later, the minimum wage in West Virginia rises by 75 cent to $8.00.
- January 1st, 2016: The minimum wage in West Virginia increases by 75 cent again to $8.75.
West Virginia Minimum Wage 2024 and Looking Ahead
So, what is the current minimum wage in West Virginia? As of 2024, the minimum wage is set at $10 per hour. It is worth noting that the minimum wage did not increase from 2016 until 2024 which is an 8 year gap. Where can we expect this journey to continue to? The state of West Virginia has made a commitment to continuing the growth of the minimum wage and will introduce further adjustments year on year. Each year from 2024 to 2029 will see an increase of $1 to the minimum wage in West Virginia.
Changes to the minimum wage in the future
- In 2025, the minimum wage will increase to $11 in West Virginia.
- In 2026, the minimum wage will increase to $12 in West Virginia.
- In 2027, the minimum wage will increase to $13 in West Virginia.
- In 2028, the minimum wage will increase to $14 in West Virginia.
- In 2029, the minimum wage will increase to $15 in West Virginia.
Unlike some other states such as Colorado and Minnesota where the minimum wage varies across different cities or counties, the minimum wage in West Virginia maintains one state minimum wage. This simplifies the process for employers across the state.
Exemptions
While the Wisconsin minimum wage rate is $10.00 per hour for most workers, there are a few exemptions and special cases that employers need to be aware of. There are several categories of workers who are exempt from this minimum wage requirement. This includes:
- Administrative employees
- Agricultural employees
- Volunteers
- Executive employees
- Drivers covered by federal DOT regulations
- Federal employees
- Firefighters employed by the state of West Virginia
- Golf caddies
- Handicapped individuals working in a nonprofit sheltered workshop
- Immediate family members
- Individuals 62 years of age or older receiving social security benefits
Additional West Virginia wage laws
Overtime Laws
According to the Fair Labor Standards Act (FLSA), West Virginia must comply with the standard overtime rate of 1.5 times the normal minimum wage rate for any hours worked outside of the 40-hour workweek. This provision ensures that employees can get fair compensation for any additional hours worked, acting as a deterrent against excessive working hours and promoting a healthy work-life balance. Employers have to actively and continuously track employee work hours, implement accurate timekeeping systems, and adhere to overtime pay requirements to avoid legal repercussions and maintain a workplace that prioritizes fair compensation practices.
Break Laws
Employees in West Virginia are legally entitled to a 20-minute break if they work longer than 6 consecutive hours. This break is used as time to eat a meal and can be given at any time throughout the employee’s work day. This time is often deemed by the employer. There are two exemptions to this rule:
- The employee is already being afforded a lunch and/or break period.
- The employee is allowed necessary restroom breaks and is allowed to eat while working.
Pay Transparency Laws
Pay transparency laws are quite common across the US at the moment as many states looks to ensure that employees are paid fairly and that employers can easily follow the requirements.
In West Virginia there is currently no pay transparency law. The states House of Delegates introduced a law in 2023 that required all employers in West Virginia to provide salary and wage information to all potential job candidates that requested the information. This law was not passed and is not in place in 2024.
Equal Pay
Equal pay laws in West Virginia, prohibits employers from paying employees of one gender less than employees of the opposite gender for substantially similar work. Ensuring pay parity in this way is crucial for fostering a workplace that works in harmony and displays values of fairness and eliminating discrimination.
The Equal Pay Act requires employers to regularly review their compensation structures, evaluating factors such as skill, responsibility, and experience, to identify and rectify any gender pay gaps. By proactively addressing and fixing any gender pay gap, employers not only comply with legal requirements but also aid the process to a more inclusive and equitable workplace culture. This demands that all employers support the principles of fairness and diversity.
Recordkeeping
Accurate recordkeeping is crucial for employers in the State of West Virginia. The states regulations require employers to maintain a written record of the name and address of each employee, the employee’s rate of pay, hours of employment, payroll deductions, and amount of net pay for each pay period. These records serve as a crucial defense in the event of audits or legal disputes, demonstrating employer compliance to wage and hour laws.
To ensure adherence with this law, employers must keep records that are extremely organized and accessible. This needs to be recorded for a period of several years. Establishing an efficient record keeping practice not only ensures compliance with state and federal regulations but also promotes transparency, efficiency, and accountability in employment practices. This acts as a safeguard for employers against potential legal challenges.
Final Paychecks
West Virgina has dedicated laws for final paychecks. For any employee who resigns from the organization, the employer must pay that employee’s final wages, including any fringe benefits that are payable directly to the employee, on or before the next standard payday that the wages would be paid.
Understanding and following these requirements is crucial in avoiding any legal complications. Employers must communicate clearly with departing employees about the timing and details of their final paychecks to maintain a positive relationship and uphold legal obligations.
How to ensure compliance with wage laws
Implementing proactive and informed best practices is crucial for navigating West Virginia’s wage landscape with confidence.
With this in mind, we have put together an essential list of recommendations to help you implement your own wage compliance strategy. By implementing these best practices, you can ensure fair compensation for your workforce, avoid legal issues, and foster a positive work environment. This will ensure that your workplace is trustworthy and compliant.
- Know the minimum wage rate: Stay updated on the state minimum wage, and any industry-specific requirements. Be sure to check the Department of Commerce website often!
- Classify employees correctly: Distinguish between full-time, part-time, exempt, and non-exempt employees. Placing employees in the wrong group can lead to expensive losses.
- Maintain accurate records: Use a time tracking software to track hours worked, overtime, meal breaks, and wages paid. This will help you comply with state meal and rest break laws and ensure that your organization keeps a detailed record for at least three years.
- Post required information: Display the state’s minimum wage poster and any relevant city ordinances onsite and in online channels for employees to be aware of their rights and responsibilities.
- Train your employees: Educate all employees, specifically line managers and supervisors on West Virginia minimum wage laws, overtime rules, break laws and recordkeeping practices to eliminate errors from your processes.
- Conduct regular audits: By conducting regular audits you can make sure that you are calculating overtime correctly and that your employee timecard records are accurate.
- Stay proactive: Ensure that you are up to date on any upcoming changes in wage laws and update your practices accordingly. Early preparation protects you from last-minute surprises and the risk of non-compliance.
Ultimately, by taking these steps, you can navigate West Virginia’s wage laws with confidence, fostering a compliant and positive work environment for your employees.
How Factorial can help you🚀
Ensuring that your organization is compliant with West Virginia’s wage laws is an important aspect of business management. Following these regulations can be a complex task for employers! Thankfully, Factorial’s all-one-one software solution will streamline your processes and procedures saving your employees a lot of time and resources.
Here are some of the specific benefits of using Factorial’s software in your business:
- Easy and efficient time tracking: Forget manual timesheets and attendance spreadsheets. Factorial’s integrated electronic time clock lets employees clock in and out with ease, ensuring every minute is precisely recorded. That way, you can rest assured that you are complying with all time-tracking legal requirements.
- Employee record management: Ensure that you keep every employees information on record. This includes timecards, leave requests, performance reviews etc. Factorial’s employee record management software, allows you to easily generate reports, track historical data, and access records for audits or inquiries.
- Employee handbook & policy creation tools: Easily build and communicate a comprehensive employee handbook, including clear policies on overtime, holidays, breaks, and other wage-related regulations.
- Secure and transparent pay slips: Make sure your employees receive detailed and clear paychecks at the end of each period. This will help them understand how you have calculated their total pay, taking into account all relevant deductions.
- Payroll software. Ditch manual calculations and paper trails. Factorial’s payroll software automatically accounts for the latest West Virginia minimum wage updates, state holidays like Martin Luther King Jr. Day and Labor Day, and additional holiday pay rules in the state. This allows you to be confident that the information and calculations are correct.
