Proposal Would Raise Arkansas' Minimum Wage Rate

by Arkansas Business Staff  on Monday, Jul. 21, 2014 12:00 am  

Arkansas’ minimum wage of $6.25 an hour, which applies to all employers with four or more employees, is one of only four state minimums that remain below the federal wage of $7.25 hourly. However, employers with annual revenue above $500,000 must pay the federal minimum wage of $7.25 per hour.

The law requires tipped employees to be paid at least $2.63 an hour, and the tips they earn must be enough to bring their pay up to the applicable minimum wage of either $6.25 or $7.25 per hour. If tips fail to bring an employee up to minimum wage, the employer must add enough to his pay to do so.

The group Give Arkansas a Raise Now has submitted 77,288 signatures for a proposed initiated act that would increase the state minimum wage. Initiated acts require at least 62,507 signatures from registered voters to qualify for the ballot. The proposal would gradually raise the state’s minimum wage from $6.25 hourly to $8.50 by 2017.

 

 

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