Minimum Wage Law Summaries
Missouri, Minimum Wage Law Summaries
Missouri's minimum wage law is codified in the Revised Statutes of Missouri at Title 18, Chapter 290. The full text of the law is available beginning at Wages-Hours ¶26-41,001 .
DEFINITIONS
“Agriculture” means farming and all its branches including, but not limited to, the cultivation and tillage of the soil; dairying; the production, cultivation, growing and harvesting of any agricultural commodities; the raising of livestock, fish and other marine life, bees, fur-bearing animals or poultry; and any practices performed by a farmer or on a farm as an incident to or in conjunction with farming operations, including preparation for market, delivery to storage or to market or to carriers for transportation to market (Sec. 290.500, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
“Employer” means any person acting directly or indirectly in the interest of an employer in relation to an employee (Sec. 290.500, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
“Employee” includes any individual employed by an employer, but the term does not include (Sec. 290.500, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007):
executive, administrative, or professional employees;
volunteers for educational, charitable, religious, or nonprofit organizations;
foster parents;
individuals employed for less than four months in a year in a resident or day camp for children or youth, or individuals employed by educational conference centers operated by educational, charitable or nonprofit organizations;
individuals employed by educational organizations, where employment is in lieu of the payment of tuition, housing or other educational fees or where the employee's earnings are credited toward the payment of the cost of tuition, housing or other educational fees;
individuals employed in private residences on an occasional basis for six hours or less on each occasion;
persons with disabilities employed in sheltered workshops, certified by the department of elementary and secondary education;
persons employed on a casual basis to provide baby-sitting services;
any individual employed by an employer subject to the provisions of Part A of Subtitle IV of Title 49, United States Code, 49 USC Sec. 10101 et seq. ;
any individual employed on a casual or intermittent basis as a golf caddy, newsboy, or in a similar occupation;
commissioned salespersons whose hours and places of employment are not substantially controlled by the employer;
any individual who is employed in any government position defined in 29 USC Sec. 203(e)(C)(i)-(ii);
retail or service business employees, if the business' annual gross volume sales made or business done is less than $500,000;
offenders who are incarcerated in correctional facilities operated by the Department of Corrections, including offenders who provide labor or services on the grounds of the correctional facilities;
individuals described by the provisions of Sec. 29 USC 213(a)(8).
“Person” means any individual, partnership, association, corporation, business, business trust, legal representative, or any organized group of persons (Sec. 290.500, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
COVERAGE
Missouri's minimum wage law applies to all employees, except agricultural employees and others defined above (Sec. 290.500, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
Local governments.- The minimum wage and overtime requirement enacted by the passage of Proposition B, a ballot initiative approved by voters on November 7, 2006, did not apply to local governments, according to a Missouri court of appeals. Before the passage of the ballot initiative, the state's minimum wage law did not apply to local governments, and the initiative made no mention of extending minimum wage coverage to local governments. Consequently, local governments must meet the definition of “person” (see DEFINITIONS just above) to be covered by the new law, and the “person” category most adaptable to local governments would be that of “corporation.” However, Missouri courts have consistently found that the term “corporation” does not encompass municipal corporations (Wright v State of Missouri , MoCtApp, 155 LC ¶60,549).
EXCEPTIONS
Sections 290.500 to 290.530 shall not apply to any employee or employer engaged in agriculture, as defined in Sec. 290.500 (see DEFINITIONS above) (A) if such employee is employed by an employer who did not, during any calendar quarter during the preceding calendar year, use more than 500 man-days of agriculture labor, (B) if such employee is the parent, spouse, child, or other member of his or her employer's immediate family, (C) if such employee (i) is employed as a hand harvest laborer and is paid on a piece rate basis in an operation which has been, and is customarily and generally recognized as having been, paid on a piece rate basis in the region of employment, (ii) commutes daily from his or her permanent residence to the farm on which he or she is so employed, and (iii) has been employed in agriculture less than 13 weeks during the preceding calendar year, (D) if such employee (other than an employee described in clause (C) of this subsection) (i) is 16 years of age or under and is employed as a hand harvest laborer, is paid on a piece rate basis in an operation which has been, and is customarily and generally recognized as having been, paid on a piece rate basis in the region of employment, (ii) is employed on the same farm as his or her parent or person standing in the place of his or her parent, and (iii) is paid at the same piece rate as employees over age 16 are paid on the same farm, or (E) if such employee is principally engaged in the range production of livestock (Sec. 290.507, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
See also DEFINITIONS above.
WHAT THE EMPLOYER MUST DO
Missouri's minimum wage is $7.05 per hour, effective as of January 1, 2009. Every employer must pay this rate, or wages at the same rate or rates set under the provisions of federal law as the prevailing federal minimum wage applicable to those covered jobs in interstate commerce, whichever rate per hour is higher (Sec. 290.502, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007; Missouri Department of Labor and Industrial Relations Labor News, October 5, 2007; Missouri Department of Labor and Industrial Relations Labor News, October 3, 2008).
The minimum wage shall be increased or decreased every January 1 by the increase or decrease in the cost of living. On each September 30, the director shall measure the increase or decrease in the cost of living by the percentage increase or decrease as of the preceding July over the level as of July of the immediately preceding year of the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) or successor index as published by the U.S. Department of Labor or its successor agency, with the amount of the minimum wage increase or decrease rounded to the nearest five cents (Sec. 290.502, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
St. Louis living wage.- Employers benefiting from certain taxpayer-funded contracts with the City of St. Louis or benefiting from multi-million dollar awards of taxpayer-funded financial assistance must pay their employees a living wage equal to 130% of the federal poverty guidelines for a family of three. Effective April 1, 2009, the living wage rate is $11.33 per hour where health benefits are provided, and $14.57 per hour where health benefits are not provided; Wages required under Chaper 6.20 of the Revised Code of the City of St. Louis, $3.24 per hour (Living Wage Adjustment Bulletin, February 14, 2009). (St. Louis City Ordinance 65597, 2002; http://www.mwdbe.org/livingwage/).
Tipped employee credit.- The maximum amount of gratuities that an employer may claim as a credit towards payment of the state minimum wage rate is 50 percent. The total amount of wages and gratuities can not be less than the applicable minimum wage; if so, the employer must pay the difference. Hourly wages, tips, gratuities and commissions must be counted in the workweek in which they are earned to determine if an employee has earned at least the minimum wage; Once the employer has established a workweek (based on the seven-day period for determining an employee's hourly earnings, an employer can not change or manipulate the employee's workweek in order to evade the requirements of the Missouri Minimum Wage Law (Sec. 290.512, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007; 8 CSR 30-4.020, adopted as amended effective March 30, 2009).
If an employee receives and retains compensation in the form of goods or services as an incident of his or her employment and, if the employee is not required to exercise any discretion in order to receive the goods or services, the employer is required to pay only the difference between the fair market value of the goods and services and the minimum wage. The fair market value of the goods and services must be computed on a weekly basis. The Director of the Department of Labor and Industrial Relations will provide by regulation a method of valuing the goods and services received by an employee in lieu of wages and a method of determining those types of goods and services that are an incident of employment, the receipt of which does not require any discretion on the employee's part (Sec. 290.512, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
Subminimum wages.- The director will provide by regulation for the employment in any occupation of individuals whose earning capacity is impaired by physical or mental deficiency at wages lower than Missouri's minimum wage. The individuals must be employed as the director finds appropriate to prevent curtailment of opportunities for employment, to avoid undue hardship, and to safeguard the minimum wage. Individuals who maintain a production level within the limits required of other employees may not be paid less than the minimum wage rate (Sec. 290.515, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007). A public hearing for the purpose of establishing a subminimum wage rate for any occupation may be held by the director on his/her own motion, or at the request of an interested person; Employees affected by a proposed subminimum wage are to be given reasonable notice of the public hearing and opportunity to submit oral or written testimony (8 CSR 30-4.040, adopted as amended effective March 30, 2009).
The director must provide by regulation for the employment in any occupation, at wages lower than the minimum wage rate, of learners and apprentices as the director finds appropriate to prevent curtailment of opportunities for employment. The wage rate for learners and apprentices shall be not less than 90 cents less than the general state minimum wage. At no time may this provision be used for the purpose of evading the spirit and meaning of the minimum wage law (Sec. 290.517, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007). Note: Regulation covering training wages for learners and apprentices, 8 CSR 30-4.030, is rescinded effective March 30, 2009. The director, in interpreting and enforcing the state minimum wage law, will follow the written regulations of the federal Fair Labor Standards Act, 29 CFR Chapter V, as last amended on December 16, 2004 (8 CSR 30-4.010 is amended and 30-4.030 is rescinded, effective March 30, 2009).
Learners and apprentices are individuals under 20 years of age who have not completed the required training for a particular job. Employees may not be “learners or apprentices” after three months of training, except where the director finds, after investigation, that for the particular occupation, a minimum of proficiency cannot be acquired in three months. In no case may a person be declared to be a learner or apprentice after six months of training for a particular employer or job. Employees of an amusement or recreation business may be deemed a learner or apprentice for 90 working days (Sec. 290.500, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
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 Missouri's applicable minimum wage rates (Sec. 290.530, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
ENFORCEMENT
The Director of the Labor and Industrial Relations Department has the authority to investigate and ascertain the wages of persons employed in any occupation covered by Missouri's minimum wage law (Sec. 290.510, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007). In interpreting and enforcing the Missouri Minimum Wage Law, the Director will follow the written regulations established by the United States Department of Labor pertaining to the Fair Labor Standards Act (29 CFR Chapter V), as last amended December 16, 2004 (8 CSR 30-4.010, adopted as amended effective March 30, 2009).
Court actions.- An employer that pays an employee less wages than the wages to which the employee is entitled under Missouri's minimum wage law is liable for the full amount of the wage rate and an additional equal amount as liquidated damages, less any amount actually paid, and for costs and reasonable attorney fees. The employee may bring any legal action necessary to collect the claim. Any agreement between the employee and the employer to work for less than the minimum wage rate is not a defense to the action. All actions for the collection of any wage deficiency must be commenced within two years of the accrual of the cause of action (Sec. 290.527, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
WHO TO CONTACT
Contact the Director of the Labor and Industrial Relations Department, 3315 W. Truman Blvd., P.O. Box 504, Jefferson City, MO 65102. Telephone: (314) 751-4091. Fax: (314) 751-4135.
RECORDKEEPING
Every employer subject to Missouri's minimum wage law or regulations must make and keep records for not less than three years on or about the workplace, or at some other premises suitable to the employer, that show the name, address and occupation of each of its employees, the rate of pay, the amount paid each pay period to each employee, the hours worked each day and each workweek by the employee and any goods or services provided by the employer to the employee (Sec. 290.520, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
Open records.- The records must be open for inspection by the Director of the Department of Labor and Industrial Relations by appointment. Records kept out of state must be made available to the director upon demand. Also, every employer must furnish to the director a sworn statement of time records and information upon forms prescribed or approved by the director, on demand (Sec. 290.520, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
Confidential records.- All the records and information obtained by the department are confidential and will be disclosed only on court order (Sec. 290.520, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
POSTING
Every employer covered by the minimum wage law or regulation must keep an approved summary of the law, and copies or a summary of any applicable wage regulations, posted in a conspicuous and accessible place in or about the premises where any person covered by Missouri's minimum wage law is employed. Employers will be furnished copies of the summaries and regulations by the state, on request, without charge (Sec. 290.522, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
PENALTIES
Wage violations.- An employer that pays or agrees to pay wages at a rate less than the applicable minimum wage, or otherwise violates provisions of the law, is guilty of a class C misdemeanor. Payment at that rate for any week or portion of a week constitutes a separate offense as to each employee, and each day of violation constitutes a separate offense (Sec. 290.525, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
Records violations.- An employer that fails to make, keep and preserve required records; falsifies required records; refuses to make records accessible to the Director of Labor and Industrial Relations; refuses to furnish a sworn statement to the director upon demand; or fails to post a summary of the minimum wage law and regulations; or otherwise violates the minimum wage provisions is guilty of a class C misdemeanor. Each day of violation constitutes a separate offense (Sec. 290.525, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
Interference with enforcement.- An employer that hinders the director in the enforcement of the minimum wage law by refusing to admit the director to any place of employment; or by otherwise violating the minimum wage provisions is guilty of a class C misdemeanor. Each day of violation constitutes a separate offense (Sec. 290.525, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
Discrimination.- Any employer that discharges or in any other manner discriminates against an employee who has notified the director that the employee has not been paid wages in accordance with the provisions of the minimum wage law; or who has caused a minimum wage proceeding to be instituted; or who has testified or is about to testify in any such proceeding; or otherwise violates the minimum wage law, is guilty of a class C misdemeanor. Each day of violation constitutes a separate offense (Sec. 290.525, as amended by Proposition B, approved November 7, 2006, effective January 1, 2007).
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