Minimum Wage Law Summaries

The District of Columbia's minimum wage law is codified in the District of Columbia Code Annotated at Title 32, Chapter 10, Subchapter I. Corresponding regulations are located in the D.C. Municipal Regulations at Title 7, Chapter 9 (for full text, see Wages-Hours 9-41,503 et seq. ).

DEFINITIONS

"Employer" includes any individual, partnership, association, corporation, business trust, or any person or group of persons acting directly or indirectly in the interest of an employer in relation to an employee, but does not include the United States or the District of Columbia (Sec. 36-220.1).

A person is "employed in the District" when the person regularly spends more than 50 percent of his or her working time in the District of Columbia, or the person's employment is based in the District and the person regularly spends a substantial amount of his or her working time in the District of Columbia and not more than 50 percent of his or her working time in any particular state (Sec. 32-1003).

"Employee" includes any individual employed by an employer, except (Sec. 36-220.1):

(1) individuals who, without payment and without expectation of any gain, directly or indirectly, volunteer to engage in the activities of an educational, charitable, religious, or nonprofit organization;

(2) lay members elected or appointed to office within any religious organization and engaged in religious functions; or

(3) individuals employed as casual babysitters, in or about the residence of the employer.

"Working" time means all the time an employee is required to be at the workplace, on duty, or at a prescribed place; is permitted to work; is required to travel in connection with the business of the employer; or waits on the employer's premises for work. All interpretations of what constitutes working time will be made in accordance with federal regulations issued under the Fair Labor Standards Act, except references to interpretations of the Portal-to-Portal Act have no force and effect (Sec. 36-220.1).

"Washington metropolitan region" means the area consisting of the District of Columbia, Montgomery, and Prince George's Counties in Maryland, Arlington and Fairfax Counties and the cities of Alexandria, Fairfax and Falls Church in Virginia (Sec. 36-220.1).

COVERAGE

The District of Columbia's minimum wage law covers all private employees except volunteers, lay members working in religious organizations, and casual babysitters (Sec. 36-220.1).

Federal employees and employees of the District of Columbia are not covered by the minimum wage law (Sec. 36-220.1).

Executive, administrative, or professional employees; outside salesmen, and newspaper delivery persons are also exempt from the minimum wage provisions (Sec. 36-220.3).

EXCEPTIONS

The minimum wage provisions do not apply to (Sec. 36-220.3):

(1) bona fide executive, administrative, or professional employees, or to those working in the capacity of outside salesperson; or

(2) employees delivering newspapers to homes.

Additionally, the minimum wage provisions do not apply in instances where other laws or regulations establish minimum rates for the following (DC MunRegs, Sec. 902.4):

(1) Handicapped: All handicapped workers must be paid at a rate not less than the minimum wage, except in those instances where a certificate has been issued by the U.S. Department of Labor that authorizes the payment of less to handicapped workers under the federal Fair Labor Standards Act.

(2) Job Training Partnership Act: Individuals employed under provisions of the JTPA must be paid wages pursuant to that law.

(3) Older Americans Act: Individuals employed under provisions of the OAA must be paid pursuant to that law.

(4) Youth Employment Act: Individuals employed under the YEA must be paid wages pursuant to that law.

(5) Adult learners: Newly hired persons 18 or older may be paid the minimum wage established by the U.S. Government for a period not to exceed 90 calendar days.

(6) Students: Students employed by institutions of higher education may be paid the minimum wage established by the U.S. Government.

(7) Minors: Individuals under 18 may be paid the minimum wage established by the U.S. Government.

WHAT THE EMPLOYER MUST DO

The minimum wage required to be paid to any employee by any employer in the District of Columbia is $7.00 an hour, or the federal minimum wage plus $1, whichever is greater (Sec. 32-1003(a), as amended by B. 888 (Act No. 692, Law No. 296), L. 2003, effective April 8, 2005, effective January 1, 2006).

Board and lodging. --When an employer furnishes lodging to an employee, allowances may be taken at a level that does not exceed more than 80 percent of the rental value as determined by a comparison with the value of similar accommodations in the vicinity of those furnished (DC MunRegs, Sec. 904.1).

Meals. --Allowances for meals may be taken at a rate not to exceed $2.12 for each meal made available to the employee by the employer. An allowance for not more than one meal may be taken for four or less hours of work; for over four hours of work, an allowance of not more than two meals may be taken. Allowances may be taken for meals at a rate not to exceed $6.36 per day for an employee who lives at the place of employment (DC MunRegs, Sec. 904.2).

Uniforms. --In addition to the wages required by the District's minimum wage law, an employer must pay the cost of purchase, maintenance and cleaning of uniforms and protective clothing (including hats and shoes) required by the employer or by law. In lieu of purchasing, maintaining and cleaning plain and washable uniforms, an employer may pay $0.15 per hour in addition to the wages otherwise required, with the weekly maximum payment required being $6.00. Such payment of $0.15 per hour does not apply in the case or protective clothing (DC MunRegs, Sec. 908.1).

When an employer purchases, but an employee maintains and cleans plain and washable uniforms, the payment will be $0.10 per hour in addition to the wages required by law (DC MunRegs, Sec. 908.2).

When an employer cleans and maintains, but an employee purchases plain and washable uniforms, the payment will be $0.08 per hour in addition to the wages required by law (DC MunRegs, Sec. 908.3).

Tipped employee credit. --As of January 1, 2005, the minimum wage required to be paid by any employer in the District of Columbia to any employee who receives gratuities shall be $2.77 per hour, provided that such employee actually receives gratuities in an amount at least equal to the difference between the hourly wage paid and the minimum wage as set by Sec. 32-1003(a) above (Sec. 32-1003(f), as amended by B. 888 (Act No. 692, Law No. 296), L. 2003, effective April 8, 2005).

Employers are not entitled to a credit unless the employee has been informed by the employer of the provisions of the tipped employee credit and all gratuities received by the employee have been retained by the employee. This provision does not prohibit employees from pooling gratuities (Sec. 32-1003).

Wages --special circumstances. --In addition to the wages required by the District's minimum wage law, an employer must pay an employee for one additional hour at the minimum wage for each day during which the employee works a split shift. This does not apply to an employee who lives on the premises of the employer (DC MunRegs, Sec. 906.1).

Minimum daily wage. --An employer must pay an employee for at least four hours for each day on which the employee reports for work under general or specific instructions, but is given no work or is given less than four hours of work. If the employee is regularly scheduled for less than four hours a day, the employee must be paid for the hours regularly scheduled. The minimum daily wage must be calculated as follows: payment at the employee's regular rate for the hours worked, plus payment at the minimum wage for the hours not worked (DC MunRegs, Sec. 907.1).

Wage orders. --The minimum wage provisions do not apply to any revised wage order issued by the Wage-Hour Board that sets a minimum wage that is higher than the legal minimum wage (Sec. 36-220.14).

Laundry and dry cleaning occupations. --The only remaining wage order in the District of Columbia is for laundry and dry cleaning occupations. Once the District's minimum wage exceeds the wage order's $5.45 rate, the wage order is expected to expire.

Subminimum wages: Workers with impaired earning capacity. --All workers with disabilities must be paid at a rate not less than the minimum wage, except in those instances where a certificate has been issued by the United States Department of Labor that authorizes the payment of subminimum wages to "handicapped workers" (Sec. 32-1003).

Collective bargaining. --Nothing in the minimum wage law may interfere with, impede, or in any way diminish the right of employees to bargain collectively with their employers through representatives of their own choosing in order to establish wages or other conditions of work in excess of the standards applicable under the provisions of the minimum wage law (Sec. 36-220.13).

Living Wage Act of 2006. --All recipients of contracts or government assistance in the amount of $100,000 or more shall pay their affiliated employees no less than the living wage of $11.75 per hour, regardless of whether health care benefits are provided. All subcontractors of recipients of these contracts that receive funds of $15,000 or more shall pay their affiliated employees no less than the living wage; provided, that this receipt of funds is from the contract funds received by the recipient from the District government. All subcontractors of recipients of government assistance shall pay their affiliated employees the living wage if the subcontractor receives $50,000 or more from a recipient; provided, that this receipt of funds is from government assistance received by the recipient from the District of Columbia (Act 335, Law 118, L. 2005, enacted March 23, 2006).

The living wage shall be paid to employees of the District government commencing March 1, 2006; provided, that the wage of any such employee established under an existing collective bargaining agreement or by the recipients of a federal law or grant shall continue as long as that agreement, law, or grant remains in effect (Act 335, Law 118, L. 2005, enacted March 23, 2006).

The Department of Employment Services shall adjust this rate for the previous calendar year, on an annual basis by the annual average increase, if any, in the Consumer Price Index for all Urban Consumers in the Washington Metropolitan Statistical Area published by the Bureau of Labor Statistics of the United States Department of Labor up to three percent. This adjustment shall begin the 1st of January occurring at least one year following the enactment date of this title. The Department shall calculate the adjustment to the nearest multiple of $.05 and shall publish the adjusted rate not later than March 1 of each year. Any annual adjustment in excess of three percent shall be approved by the Mayor (Act 335, Law 118, L. 2005, enacted March 23, 2006).

The Mayor shall publish any adjustment to the living wage rate in the District of Columbia Register no later than 45 days after the rate is adjusted (Act 335, Law 118, L. 2005, enacted March 23, 2006).

Contents of contract; notice to subcontractors. --All contracts and government assistance subject to this title shall include the requirements of the law relating to payment of the living wage, notice, records and enforcement. Each recipient of a contract or government assistance shall notify each subcontractor subject to this title of these requirements. The notification shall be in writing (Act 335, Law 118, L. 2005, enacted March 23, 2006).

Exemptions. --The following types of contracts, government assistance, and employment shall be exempt from the requirements of this title (Act 335, Law 118, L. 2005, enacted March 23, 2006, as amended by Emergency Act 411 (B. 806), L. 2005, effective from July 12, 2006, through October 10, 2006):

(1) Contracts or other agreements that are subject to higher wage level determinations required by federal law;

(2) Existing and future collective bargaining agreements, provided, that the future collective bargaining agreement results in the employee being paid no less than the established living wage;

(3) Contracts for electricity, telephone, water, sewer or other services delivered by a regulated utility;

(4) Contracts for services needed immediately to prevent or respond to a disaster or eminent threat to public health or safety declared by the Mayor;

(5) Contracts or other agreements awarded to recipients that provide trainees with additional services including, but not limited to, case management and job readiness services; provided, that the trainees do not replace employees subject to this title;

(6) An employee under 22 years of age employed during a school vacation period, or enrolled as a full-time student, as defined by the respective institution, who is in high school or at an accredited institution of higher education and who works less than 25 hours per week; provided, that he or she does not replace employees subject to this title;

(7) Tenants or retail establishments that occupy property constructed or improved by receipt of government assistance from the District of Columbia; provided, that the tenant or retail establishment did not receive direct government assistance from the District;

(8) Employees of nonprofit organizations that employ not more than 50 individuals and qualify for taxation exemption pursuant to Sec. 501(c)(3) of the Internal Revenue Code of 1954, approved August 16, 1954 (68A Stat. 163; 26 U.S. C. Section 501(c)(3));

(9) Medicaid provider agreements for direct care services to Medicaid recipients; provided, that the direct care service is not provided through a home care agency, a community residence facility, or a group home for mentally retarded persons, as those terms are defined in section 2 of the Health-Care and Community Residence Facility, Hospice, and Home Care Licensure Act of 1983, effective February 24, 1984 (D.C. Law 5-48; D.C. Official Code Section 44-501); and

(10) Contracts or other agreements between managed care organizations and the Health Care Safety Net Administration or the Medicaid Assistance Administration to provide health services.

Notice. --Each recipient and subcontractor of a recipient shall provide to each affiliated employee covered by this title a fact sheet concerning the payment and enforcement requirements, and shall also post a notice concerning these requirements in a conspicuous site in its place of business. The Mayor shall provide the fact sheet and notice to each recipient which shall include (Act 335, Law 118, L. 2005, enacted March 23, 2006):

(1) Notice of the living wage hourly rate;

(2) A summary of the requirements under Secs. 103 and 107 of the Living Wage Act of 2006; and

(3) Information concerning the enforcement of this title including the name, address, and telephone number of the individual or entity to which complaints of noncompliance should be made.

Records. --All recipients and subcontractors shall retain payroll records created and maintained in the regular course of business under District of Columbia law for a period of at least 3 years from the payroll date for employees subject to the living wage law (Act 335, Law 118, L. 2005, enacted March 23, 2006).

Waiver. --Waivers may be granted under limited circumstances (Act 335, Law 118, L. 2005, enacted March 23, 2006).

Applicability. --The requirements of this title shall apply to contracts and agreements for government assistance entered into after the effective date of this title, and shall not apply to any existing agreement entered into prior to that date. Where an agreement is renewed or extended after that date, that renewal or extension shall be deemed a new agreement and shall trigger coverage under this title if the terms of the renewed or extended agreement otherwise meet the requirements for coverage under this title (Act 335, Law 118, L. 2005, enacted March 23, 2006).

Notwithstanding other provisions of the law, a home care agency, community residence facility, or group home for mentally retarded persons shall not be required to pay a living wage until implementing rules are published in the District of Columbia Register and any necessary state plan amendments are approved (Act 335, Law 118, L. 2005, enacted March 23, 2006).

NOTICE

Every employer that is subject to the minimum wage law or any regulation issued under the law must keep a copy or summary of the law and applicable regulations, in a form prescribed or approved by the Mayor, posted in a conspicuous and accessible place in or about the workplace. Employers will be furnished copies or summaries of this law by the Mayor on request without charge (Sec. 36-220.8).

ENFORCEMENT

Investigative authority. --The Mayor or an authorized representative has the authority to investigate and ascertain the wages of persons employed in any occupation in the District; or to enter and inspect workplaces in the District in order to examine, inspect, and copy records or question employees to determine whether the employer is in compliance with the minimum wage law. Employers may be required to submit full and correct statements in writing, including sworn statements, with respect to wages, hours, names, addresses, and any other information that pertains to the employment of the employees as the Mayor or an authorized representative may deem necessary or appropriate to carry out the purposes of the minimum wage law (Sec. 36-220.4).

Court actions. --At the written request of any employee who is paid less than the employee is entitled under the minimum wage law or regulation, the Mayor may take an assignment of the wage claim in trust for the assigning employee and may bring any legal action necessary to collect the claim. In an action of this type, the defendant will be required to pay the costs and reasonable attorney's fees as may be allowed by the court (Sec. 36-220.11).

Employee's remedies. --Any employer who pays an employee less than the wage to which that employee is entitled under the minimum wage law will be liable to the employee in the amount of the unpaid wages, and an additional amount as liquidated damages. Liquidated damages may not be available if the employer shows to the satisfaction of the court that the act or omission that gave rise to the action was in good faith and that the employer had reasonable grounds for the belief that the act or omission was not a violation of the law (Sec. 36-220.11).

The court in which the action is brought must allow for reasonable attorney's fees and costs to be paid by the defendant to the prevailing party (Sec. 36-220.11).

Any agreement between an employer and employee in which the employee agrees to work for less than the wages to which the employee is entitled is not a defense to any action to recover unpaid wages or liquidated damages (Sec. 36-220.11).

Any action for unpaid wages or liquidated damages under the minimum wage law must be started within three years after the cause of action accrued or it will be barred (Sec. 36-220.12).

WHO TO CONTACT

Contact the Deputy Director of Labor Standards, Employment Services Department, 1200 Upshur St., N.W., Washington, D.C. 20011. Telephone: (202) 576-6942.

RECORDKEEPING

Every employer subject to the provisions of the minimum wage law or any minimum wage regulation must make, keep, and preserve for a period of not less than three years a record for each employee of (Sec. 36-220.7; DC MunRegs, Sec. 911.1):

(1) Full name of employee, including last, first and middle initial.

(2) Social Security number.

(3) Occupation of the employee.

(4) Address of the employee, including zip code.

(5) Date of birth.

(6) Regular hourly rate of pay, total number of hours worked each work day and each workweek and time of day and day of week on which employee's workweek begins.

(7) Basis on which wages are paid.

(8) A daily record of the hours of beginning and stopping work and the hours of beginning and ending the meal recess if the employee works a split shift.

(9) Total daily or weekly straight-time earnings and excess overtime earnings for the workweek, or total earnings for nonovertime hours worked during the workweek and total earnings for overtime hours worked during the workweek.

(10) Total gross and net wages paid each pay period and deductions from and/or additions to wages.

(11) Date of payment and the pay period covered by the payment.

(12) If the employee is a tipped employee, the application of tips to the minimum wage rate must be accurately documented and retained by the employer.

(13) If the employee is paid by commission, the following information must also be retained by the employer: (a) notation on the payroll record to readily identify each employee receiving wages based on commission; (b) an indication for each workweek during which the employee's regular rate of pay is in excess of one and one-half times the applicable minimum hourly rate; (c) a copy of an agreement or a written summary of the terms under which the employee and employer have formally understood the commission basis of compensation (the agreement or written summary must show the applicable representative period, the date it was entered into and the period in which it remains in effect); and (d) total compensation paid each pay period showing separately the amount of commission and the amount of noncommission straight-time earnings.

Open records. --All records required under the minimum wage law must be open and available for inspection or transcription by the Mayor or an authorized representative at any reasonable time. Every employer must furnish the Mayor or an authorized representative on demand a sworn statement of records and information upon forms prescribed or approved by the Mayor (Sec. 32-1003).

POSTING

Every employer that is subject to the minimum wage law or any regulation issued under the law must keep a copy or summary of the law and applicable regulations, in a form prescribed or approved by the Mayor, posted in a conspicuous and accessible place in or about the workplace. Employers will be furnished copies or summaries of the minimum wage law by the Mayor on request without charge (Sec. 36-220.8).

PENALTIES

Wage violations. --It is unlawful for any employer to violate any provision of the minimum wage law or regulation (Sec. 36-220.9).

Any person who willfully violates the provisions of the minimum wage law will, upon conviction, be subject to a fine of not more than $10,000, or to imprisonment of not more than six months, or both (Sec. 32-1011, as amended by D.C. Law 13-245, effective April 3, 2001).

No person will be imprisoned for an offense committed unless that person has been convicted on a prior offense (Sec. 32-1011, as amended by D.C. Law 13-245, effective April 3, 2001).

In addition to and apart from the penalties or remedies provided for in this section or Sec. 32-1012, the Mayor must assess and collect administrative penalties up to a maximum of $300 for the first violation and up to a maximum of $500 for each subsequent violation. In addition, the Mayor may assess more than one administrative penalty against an employer for the same adversely affected employee if the employer has violated more than one statutory provision of this subchapter (Sec. 32-1011, as amended by D.C. Law 13-245, effective April 3, 2001).

Records violations. --Employers may not violate any recordkeeping, posting, or open records provisions, including making false statements of a material matter on any record (Sec. 36-220.9).

Any person who willfully violates the provisions of the minimum wage law will, upon conviction, be subject to a fine of not more than $10,000, or to imprisonment of not more than six months, or both (Sec. 32-1011, as amended by D.C. Law 13-245, effective April 3, 2001).

No person will be imprisoned for an offense committed unless that person has been convicted on a prior offense (Sec. 32-1011, as amended by D.C. Law 13-245, effective April 3, 2001).

See also "Wage violations," above.

Interference with enforcement. --Employers may not hinder or delay the Mayor or an authorized representative in the enforcement of the minimum wage law or refuse to admit the Mayor or an authorized representative to any place of employment upon demand; refuse to make available any required record under the minimum wage law to the Mayor or an authorized agent; or fail to post a summary or copy of the minimum wage law or regulation (Sec. 36-220.9).

Any person who willfully violates the provisions of the minimum wage law will, upon conviction, be subject to a fine of not more than $10,000, or to imprisonment of not more than six months, or both (Sec. 32-1011, as amended by D.C. Law 13-245, effective April 3, 2001).

No person will be imprisoned for an offense committed unless that person has been convicted on a prior offense (Sec. 32-1011, as amended by D.C. Law 13-245, effective April 3, 2001).

See also "Wage violations," above.

Discrimination. --It is unlawful for any employer to discharge or in any other manner discriminate against an employee because that employee filed a complaint or instituted or caused to be instituted any proceeding under, or related to, the minimum wage law, or testified or is about to testify in any proceeding (Sec. 36-220.9).

Any person who willfully violates the provisions of the minimum wage law will, upon conviction, be subject to a fine of not more than $10,000, or to imprisonment of not more than six months, or both (Sec. 32-1011, as amended by D.C. Law 13-245, effective April 3, 2001).

No person will be imprisoned for an offense committed unless that person has been convicted on a prior offense (Sec. 32-1011, as amended by D.C. Law 13-245, effective April 3, 2001).

See also "Wage violations," above.

This is a summary of Minimum Wage Laws in the District of Columbia.