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Federal Minimum Wage Increases to $6.55

The Fair Minimum Wage Act of 2007 amended the FLSA to increase the federal minimum wage in three steps. The first step raised the rate to $5.85 per hour last year. The second step goes into effect today, and raises the minimum wage to $6.55 per hour. On July 24, 2009, the final raise under act becomes effective, at which time the minimum wage in all 50 states will be at least $7.25 per hour. Employees in states with higher minimum wage rates under state law (e.g., California) will still be entitled to the higher rate under state law. Approximately 2 million workers will be affected by the change.

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