My employer pays $7.25 an hour but California's minimum wage is higher, what can I do?
The situation
I work as a cashier at a grocery store in Sacramento, California. I was hired in February 2024 at $16.00 an hour, which is the state minimum wage. In May 2024, my new store manager told me the company would cut my pay to $7.25 an hour starting with the June 1, 2024 pay period because "the federal minimum wage is all the law requires." I work about 35 hours a week, so this would cost me roughly $308 every week. I checked my pay stubs from March, April, and May 2024, and they all show $16.00 an hour. I asked the manager in writing by email on May 20, 2024, to keep my pay at $16.00, but he replied that corporate approved the change. I also called the store's HR line on May 28, 2024, and they said they would look into it but never called back. I have not filed anything yet. My question is: can my employer legally lower my pay from $16.00 to $7.25 just because the federal minimum wage is lower, or does the higher California rate still control? Also, if my hours were raised from 35 to 45 a week at the same time, would that matter?
Quick Summary
Based on the facts stated, your employer is paying $7.25 an hour while California's minimum wage is higher, and the federal rate does not excuse compliance with that higher state minimum. The FLSA therefore does not justify paying you the federal rate; you should be paid at least the applicable California minimum, which you should verify for the current period.
Detailed Analysis
Statutory Citations
Legal Citation: Fair Labor Standards Act of 1938 § 29 U.S.C. § 218 — Relation to other laws
"No provision of this chapter or of any order thereunder shall excuse noncompliance with any Federal or State law or municipal ordinance establishing a minimum wage higher than the minimum wage established under this chapter"View Official Legislation →
Legal Citation: Fair Labor Standards Act of 1938 § 29 U.S.C. § 218 — Relation to other laws
"No provision of this chapter shall justify any employer in reducing a wage paid by him which is in excess of the applicable minimum wage under this chapter"View Official Legislation →
Legal Citation: Fair Labor Standards Act of 1938 § 29 U.S.C. § 206 — Minimum wage
"(C) $7.25 an hour, beginning 24 months after that 60th day"View Official Legislation →
Legal Citation: Fair Labor Standards Act of 1938 § 29 U.S.C. § 207 — Maximum hours
"for a workweek longer than forty hours unless such employee receives compensation for his employment in excess of the hours above specified at a rate not less than one and one-half times the regular rate at which he is employed"View Official Legislation →
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General legal information, not formal legal advice. The information provided on LawAsked does not constitute formal legal advice and creates no attorney-client relationship. If you require legal assistance, please consult a licensed attorney in your jurisdiction.
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