Are there any exceptions to minimum wage laws?
Yes, there are some exceptions to minimum wage laws in New Mexico. For employees who receive tips, employers are only required to pay a minimum wage of $2.13 per hour. This base wage creates a “tip credit” which allows employers to factor in the gratuities that the employee receives from customers. However, the total amount of the wage and tips must meet or exceed the state’s minimum wage rate. Some non-profit organizations or their employees may also be exempt from minimum wage requirements. This is usually the case for those providing religious, charitable, educational, or other services deemed to be in the public interest. Additionally, certain types of employees who are engaged in passing out leaflets or door-to-door sales may also be exempt from minimum wage laws. Finally, businesses with a gross annual sales volume of less than $200,000 may be exempt from minimum wage laws in New Mexico. Overall, most employees in New Mexico are protected by the state’s minimum wage laws. However, there are certain exceptions based on the type of employee, the compensation they receive, or the size of the employer. It is important to know the law in order to protect your rights.
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