What is the federal minimum wage?

The federal minimum wage is the lowest rate of pay that an employer is legally required to pay their employees. In the United States, the federal minimum wage is currently set at $7.25 per hour and is enforced by the Fair Labor Standards Act (FLSA). Employees who are covered by the FLSA must receive at least the federal minimum wage. In Tennessee, the state minimum wage is based on the federal minimum wage and is also currently set at $7.25 per hour. However, some cities and counties have set their own, higher minimum wage rates. For example, in 2019 the city of Memphis set its minimum wage at $10.10 per hour. In addition, employers in Tennessee are required to pay tipped employees a minimum wage of $2.13 per hour, which is also based on the federal rate. Overall, workers in Tennessee are entitled to the higher of the two wages, meaning that employees in Memphis will receive a minimum wage of $10.10 per hour, while employees in other areas of the state are entitled to receive at least the federal minimum wage of $7.25 per hour. Employees should check with their employer to ensure they are receiving the correct minimum wage for their particular area.

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