I recently posted about Florida’s new minimum wage law, passed by voters as Amendment 2 during the November 2020 general election. As I noted in my earlier post, Amendment 2 (which calls for a gradual increase to a $15 minimum wage in Florida) is supposed to begin with an increase to a $10 minimum wage beginning on September 30, 2021. Please note that Florida’s legislature will create regulations to implement Amendment 2 which may change who is covered by same.
As a result, employers need to be aware of the annual increase of Florida’s minimum wage which is triggered by Florida Statute § 448.110, and will increase Florida’s minimum wage separate and apart from Amendment 2. Accordingly, come January 1, 2021, Florida’s minimum wage will rise from the current rate of $8.56 per hour to $8.65 per hour.
Under Florida Statute § 448.110 4(a) and (b), the Florida Department of Economic Opportunity must calculate Florida’s minimum wage based upon the increase, if any, in the Federal Consumer Price Index for Urban Earners and Clerical Workers in the southern region. Based upon this year’s calculation, Florida’s new minimum wage for 2021 will rise by nine (9) cents.
Employers of tipped employees, who meet eligibility requirements for the tip credit under the Fair Labor Standards Act, may count tips actually received as wages under the Florida minimum wage. However, the employer must pay tipped employees a direct wage. The direct wage is calculated as equal to the minimum wage $8.65 minus the tip credit for Florida, $3.02, or a direct hourly wage of $5.63 as of January 1, 2021.
The photo in this post is of the Surf Board Christmas Tree in Palm Beach, Florida (photo by me).
Dori K. Stibolt is a partner with the law firm of Fox Rothschild LLP. Dori defends and counsels management in labor and employment litigation matters pertaining to wage and overtime claims, discrimination, harassment, retaliation, leave/restraint, and whistle-blower claims. You can contact Dori at 561-804-4417 or dstibolt@foxrothschild.com.