1. What is the current minimum wage in South Dakota and how does it compare to federal minimum wage?
As of January 1, 2021, the minimum wage in South Dakota is $9.45 per hour. This is slightly higher than the federal minimum wage of $7.25 per hour.2. Has there been recent legislation to increase the minimum wage in South Dakota?
Yes, there have been recent efforts to increase the minimum wage in South Dakota. In 2014, voters approved a ballot measure that gradually increased the state’s minimum wage to its current rate of $9.45 per hour. There have also been ongoing discussions about further increases, with some legislators proposing a gradual increase to $15 per hour by 2022.
3. How does South Dakota’s minimum wage compare to those of other states?
South Dakota’s minimum wage is lower than many other states’ minimum wages, including neighboring states such as North Dakota and Minnesota which have minimum wages of $7.25 and $10 respectively. However, it is higher than several other states such as Kansas and Nebraska which also have a minimum wage of $9-$10 per hour.
4. Who sets the minimum wage in South Dakota?
The minimum wage in South Dakota is set by state law and can be changed through legislation or ballot measures approved by voters.
5. Are there any exemptions or exceptions to the state’s minimum wage laws?
Yes, certain employees may be exempt from receiving the full state minimum wage, including tipped workers who may receive a lower hourly rate as long as their tips bring their total earnings up to at least the state minimum wage. Other exemptions include agricultural workers, seasonal employees, and employees at small businesses with fewer than four employees.
6 . Is there a different minimum wage for minors in South Dakota?
No, there is no separate minimum wage for minors in South Dakota. The same state and federal standards apply to all employees regardless of age.
2. Has there been any recent legislation proposed to increase the minimum wage in South Dakota?
At this time, there is no recent legislation proposed to increase the minimum wage in South Dakota. The current minimum wage in South Dakota is $9.45 per hour, and it was last increased in 2020 after a successful ballot measure increasing the minimum wage gradually over several years. However, some activists and organizations have called for a higher minimum wage of $12 or $15 per hour, which may lead to potential future legislation on the issue. In addition, some cities and counties in South Dakota, such as Sioux Falls and Minnehaha County, have implemented their own local minimum wages that are higher than the state minimum.
Overall, while there is currently no active legislation for an increase in the minimum wage at the state level, it is possible that this issue may be addressed again in the future through ballot measures or elected officials proposing legislation.
3. Are there any exemptions or exceptions to the minimum wage law in South Dakota?
Yes, there are several exemptions and exceptions to the minimum wage law in South Dakota. These include:
1. Tipped employees: Employers may pay tipped employees a lower hourly rate ($4.725) as long as their tips bring their total hourly earnings up to at least the state minimum wage.
2. Seasonal and temporary employees: Employers are not required to pay minimum wage to seasonal and temporary employees who work for 20 weeks or less in a calendar year.
3. Independent contractors: Independent contractors are not covered by the state minimum wage law.
4. Agricultural workers: Agricultural workers who are employed on a farm owned or operated by an immediate family member do not have to be paid the state minimum wage.
5. Employees under 18 years old: Employers may pay employees who are under 18 years old a lower hourly rate ($7.65) for the first 90 days of employment, after which they must be paid the state minimum wage.
6. Executive, administrative, and professional employees: These types of employees may be exempt from the state minimum wage if they meet certain criteria, such as being salaried and performing primarily managerial or professional duties.
7. Volunteers: Individuals who volunteer their services without expectation of compensation are not covered by the state minimum wage law.
8. Employees covered by federal minimum wage laws: Some occupations and industries (such as those involving interstate commerce) may be covered by federal minimum wage laws instead of state laws.
It is important for employers and employees alike to understand these exemptions and exceptions in order to ensure compliance with the South Dakota minimum wage law.
4. How often does the minimum wage in South Dakota get reviewed and potentially adjusted?
The minimum wage in South Dakota is reviewed and potentially adjusted on an annual basis.
5. Is there a difference in minimum wage for different industries or job types within South Dakota?
Yes, there can be differences in minimum wage for different industries or job types within South Dakota. Certain industries such as agriculture and seasonal amusement or recreational establishments may have exempted minimum wage rates. Tipped workers, such as restaurant servers, also have a different minimum wage rate that includes tips. However, in general, the statewide minimum wage applies to all other industries and job types.
6. Have there been any significant changes to the minimum wage laws in South Dakota over the past decade?
Yes, there have been several significant changes to the minimum wage laws in South Dakota over the past decade. Here are some of the most notable changes:
1. Minimum wage increase: In 2014, voters in South Dakota approved a ballot initiative to raise the minimum wage from $7.25 to $8.50 per hour. This was followed by three additional increases over the next three years, raising the minimum wage to its current level of $9.30 per hour.
2. Tipped minimum wage: South Dakota is one of many states that allows employers to pay a lower minimum wage to tipped employees. The state’s tipped minimum wage has also increased over the past decade, from $2.13 per hour in 2010 to its current level of $4.65 per hour.
3. Annual cost-of-living adjustments: In addition to the scheduled increases mentioned above, South Dakota also has a law that requires the minimum wage rate to be adjusted annually based on inflation and cost-of-living factors.
4. Youth minimum wage: In 2015, South Dakota passed a law allowing employers to pay a lower minimum wage rate to workers under 18 years old.
5. Exemptions for small businesses: Under South Dakota’s current minimum wage law, small businesses with fewer than 10 employees are exempt from paying the state minimum wage and instead must pay a lower federal minimum wage of $7.25 per hour.
6. Minimum salary for overtime exemption: Beginning in 2021, salaried workers in South Dakota who make less than $48,500 per year will be entitled to receive overtime pay for hours worked over 40 hours per week, thanks to an update to federal overtime regulations that set this new threshold.
7. How does South Dakota’s minimum wage compare to neighboring states?
As of 2021, South Dakota’s minimum wage is $9.45 per hour. Compared to neighboring states, it is higher than North Dakota’s minimum wage of $7.25 per hour, but lower than Montana’s minimum wage of $8.75 per hour and Wyoming’s minimum wage of $5.15 (however, most employers in Wyoming are required to pay the federal minimum wage of $7.25). Minnesota has the highest minimum wage among its neighboring states at $10 per hour, while Nebraska has a minimum wage of $9 per hour. Iowa and Nebraska also have the option for certain employers to pay a lower training or youth minimum wage rate.
8. Is it legal for employers in South Dakota to pay less than minimum wage, such as through tip credits or youth wages?
In South Dakota, employers are required to pay employees at least the minimum wage of $9.10 per hour. There are no exceptions for tip credits or youth wages, so it is not legal for employers in South Dakota to pay less than the minimum wage unless they have special authorization from the state government (such as through a training wage program for youth workers). 9. Are small businesses exempt from paying the state minimum wage in South Dakota?
No, all employers in South Dakota are required to pay their employees at least the state minimum wage, regardless of the size of their business.
10. What is considered a livable or fair wage according to cost of living in South Dakota?
It is difficult to determine a specific livable or fair wage in South Dakota as the cost of living varies depending on location within the state and individual factors such as family size, housing preferences, and personal spending habits. However, according to the MIT Living Wage Calculator, a single adult would need to make at least $12.54 per hour in Minnehaha County and $11.04 per hour in Pennington County to cover necessary expenses such as housing, food, healthcare, transportation, and taxes. This may provide a baseline for considering a livable or fair wage in South Dakota.
11. Does South Dakota have a plan for gradually increasing the minimum wage towards a certain target amount?
No, South Dakota does not currently have a plan for gradually increasing the minimum wage towards a certain target amount. The state’s current minimum wage is set at $9.30 per hour and is adjusted annually based on inflation. Any changes to the minimum wage would need to be proposed and passed by the state legislature.
12. Are there any debates or controversies surrounding the current minimum wage laws in South Dakota?
Yes, there are debates and controversies surrounding the current minimum wage laws in South Dakota. One of the main debates is whether the current minimum wage of $9.45 per hour is enough for workers to live on and support themselves and their families. Some advocates believe that the minimum wage should be increased to $15 per hour to ensure workers receive a living wage.Another controversy is related to tipped workers, who are currently only guaranteed a base pay of $4.725 per hour before tips. Some argue that this is not enough and that tipped workers should also be entitled to at least the state minimum wage.
There have also been discussions about changing or repealing the state’s minimum wage law, with some businesses and political leaders arguing that it will lead to job losses and hinder economic growth.
Additionally, there have been calls for exemptions or special rates for certain industries or types of employment, such as youth workers or seasonal employees. These proposals have sparked criticism from those who believe everyone should receive a fair and equal minimum wage regardless of their age or employment status.
13. Do employees who receive tips have a separate, lower minimum wage requirement in South Dakota?
Yes, employees who regularly receive tips can be paid a lower minimum wage in South Dakota. The minimum wage for tipped employees in South Dakota is currently $4.825 per hour, which is 50% of the regular minimum wage of $9.65 per hour. However, if the employee’s tips combined with their hourly wages do not equal or exceed the standard minimum wage, the employer is required to make up the difference.
In other words, if an employee receives at least $4.825 per hour in tips and their hourly wage from their employer is at least $4.825 per hour, they are considered to have met the regular minimum wage requirement and no further compensation from their employer is necessary.
This requirement does not apply to all tipped workers in South Dakota. According to state law, only employees who are customarily and regularly receiving more than $30 per month in tips must be paid the tipped minimum wage.
It’s important for employers to keep accurate records of how much their tipped employees are earning in order to ensure compliance with the state’s minimum wage laws. Additionally, tipped employees should also keep track of their own tip earnings and report any discrepancies to their employer.
For more information on South Dakota’s minimum wage laws and requirements for tipped employees, you can visit the state’s Department of Labor and Regulations website or contact your local labor office.
14. Are non-profit organizations exempt from paying their employees at least state minimum wage in South Dakota?
No, non-profit organizations are still required to pay their employees at least the state minimum wage in South Dakota. They must comply with all state and federal labor laws, including minimum wage requirements.
15. What are the consequences for employers who violate the state’s minimum wage laws in South Dakota?
Employers who violate South Dakota’s minimum wage laws may face penalties such as fines and civil lawsuits from affected employees. They may also be required to pay back wages to affected employees. In some cases, repeated violations or intentional violations of the law may result in criminal charges.
16. How does overtime pay affect employees who are paid at or near the state’s minimum wage level in South Dakota?
Under state law in South Dakota, the minimum wage for non-tipped employees is $9.30 per hour and the minimum wage for tipped employees is $4.65 per hour. Overtime pay does not affect the minimum wage rate for these employees.
Employees who are paid at or near the state’s minimum wage level may be entitled to overtime pay if they work more than 40 hours in a workweek. The overtime pay rate must be at least 1.5 times their regular rate of pay.
For example, if a non-tipped employee is paid $10 per hour and works 45 hours in a workweek, they would earn $400 ($9.30 x 40 hours) for their first 40 hours and an additional $75 ($10 x 1.5 x 5 hours) for their five overtime hours, resulting in a total of $475 for the week.
If the employee were a tipped employee and received an hourly wage of $4.65 and reported tips that brought their total compensation up to the state’s minimum wage of $9.30 per hour, they would still be entitled to receive at least $7 per hour for any overtime hours worked (1.5 x $4.65). In this case, if the same employee worked an additional five overtime hours, they would earn a total of $347 (40 regular hours x $4 + 5 overtime hours x$7).
It’s important to note that employers in South Dakota are not required by state law to provide paid time off or holiday pay for employees who work on holidays or weekends unless it is part of their employment contract or company policy.
Additionally, certain types of workers may be exempt from receiving overtime pay, such as salaried executives, professionals, administrative employees, or certain commissioned salespeople.
Overall, while overtime laws do not affect the minimum wage rate in South Dakota, it can still greatly impact the pay and income of employees who work more than 40 hours in a workweek, especially if they are paid at or near the state’s minimum wage level. It is important for employers to understand and comply with state overtime laws to ensure fair compensation for their employees.
17. Are there any specific industries or job types that are exempt from following state-level minimum wage laws in South Dakota?
Yes, there are a few exemptions from following state-level minimum wage laws in South Dakota. These include:
1. Agricultural workers: Agricultural workers who are employed on a farm or ranch that did not employ more than five non-family members during the preceding calendar year are exempt from state minimum wage laws.
2. Seasonal recreation establishments: Employees of seasonal recreation establishments, such as summer camps and amusement parks, may be paid 85% of the state minimum wage for any employees under 18 years old.
3. Apprentices and trainees: Employers may pay apprentices and trainees at least 85% of the state minimum wage for the first two months of employment.
4. Disabled workers: Workers with disabilities may be paid less than the state minimum wage if they have a physical or mental impairment that limits their productivity.
5. Tipped employees: Tipped employees, such as wait staff and bartenders, can be paid a lower hourly rate as long as their tips bring their total earnings up to the state minimum wage.
6. Learners: Employers may pay learners (employees with no previous similar work experience) 75% of the state minimum wage for the first 90 days of employment.
7. Domestic workers: Domestic workers who are employed in private homes are exempt from following state minimum wage laws.
It is important to note that federal minimum wage laws still apply to all industries and job types in South Dakota, even those that may be exempt from following state-level laws.
18. If an employee works remotely for a company based outside of South Dakota, do they still receive at least state-mandated minimum wage?
Yes, remote employees are still subject to state minimum wage laws for the state in which they physically perform their work. Even though the company is based outside of South Dakota, the employee is still working within the state’s jurisdiction and must receive at least the state-mandated minimum wage.
19. Are there any age restrictions for employees earning the minimum wage in South Dakota?
Yes, employees must be at least 14 years old to be eligible for the minimum wage in South Dakota. However, minors under the age of 16 are subject to certain restrictions on hours and types of work they can perform.
20. In what ways does South Dakota enforce compliance with their minimum wage laws?
South Dakota enforces compliance with their minimum wage laws through several methods, including:
1. Investigations and Inspections: The South Dakota Department of Labor and Regulation conducts regular investigations and inspections of businesses to ensure they are paying the correct minimum wage to their employees.
2. Complaints: Employees who believe they are not being paid the correct minimum wage can file a complaint with the state labor department. The department will then investigate and take action if necessary.
3. Penalties and Fines: Employers found to be in violation of minimum wage laws may face penalties and fines, which can include back pay for affected employees, as well as additional monetary penalties.
4. Education and Outreach: The labor department also conducts outreach and education initiatives to inform employers about their obligations under minimum wage laws.
5. Employee Rights Posters: Employers must display posters in a visible place in the workplace that inform employees of their rights under minimum wage laws.
6. Cooperation with Federal Agencies: South Dakota’s labor department works closely with federal agencies such as the US Department of Labor’s Wage and Hour Division to ensure compliance with both state and federal minimum wage laws.
7. Legal Action: In cases where employers refuse to comply with minimum wage laws despite being notified by the labor department, legal action may be taken against them.