Arkansas HVACR NewsMagazine January 2021

S tate, National, Chapter News State national Chapter News

Overtime is required to be paid when a nonexempt employee exceeds 40 hours in an employer declared workweek. A declared work week is the seven consecutive days that an employer bases employee on. An example is Sunday through Saturday or Saturday through Friday etc. • If the employer has less than 4 employees 1 • Apprentices, Learners, Student Learners can be paid 85% of the minimum wage as long as the student and employer are participating in a Department of Labor certified program. AR Code 11-4- 215; AR Wage and Hour Regs 010.14-104(A) 2 • Arkansas law allows employers to pay student workers a wage that is not less than 85% of the standard minimum wage rate if: o the employer obtains a certificate from the Arkansas Department of Labor to do so; o the full-time student attends an accredited institution of education in Arkansas or a border town of a sister state; o the full-time student works not more than (20) hours per week while school is in session or (40) hours per week when school is not in session; o the full-time student qualifies for employment under any child labor laws. AR Code 11-4-210(b); AR Wage and Hour Regs 010.14-103 2 There are some exemptions, (Subminimum wage).

Just a Reminder MINIMUM WAGE INCREASES

Beginning January 1, 2021, the Arkansas State minimum wage increases to $11.00 / hour. As you may recall in 2018, Ballot Issue 5, the Minimum Wage Increase Initiative, was approved. Minimum wage at the time, $8.50, increased incrementally to $11 beginning in 2021. At the time, there was lots of talk about taking it to $15 / hour but that was not included in the Initiative. According to Lindsay Moore, Section Manager of the Arkansas Department of Labor and Licensing which administers the Arkansas Minimum Wage Act, Arkansas employers are governed by the AMWA and the Fair Labor Standards Act administered by the US Department of Labor, USDOL. Both laws have similarities but some differences as well. The most notable difference is the minimum wage. Federal law is set at 7.25 and the state is $11 beginning 2021. Since the strictest rule applies, the AMWA minimum wage applies to all Arkansas employers.