Minimum Wage Rhode Island Municipalities

The 2014-15 fiscal year budget signed by Governor Chafee on June 19, 2014 prohibits Rhode Island municipalities from establishing a minimum wage higher than the state or federal law requirements. This budget provision was in response to efforts by certain cities to raise minimum wages at the local level.

MINIMUM WAGE RATE RHODE ISLAND: $9.60

Full Time Minimum Wage: $384 per week

$76.80 daily, $384 weekly, $19,968 annual

Based on a 8 hour day and 260 day work per year before taxes.

FEDERAL MINIMUM WAGE: $ 7.25 per hour

Where Federal and state law have different minimum wage rates, the higher standard applies.

Minimum Wage Trainees, Internship: $9.60

Interns or trainees in the for-profit private sector who are qualifying more as employees than as trainees must be paid at least the minimum wage and overtime compensation for more then 40 hours worked in a workweek.

Read more via the next link about Minimum Wage Internships

Violations Minimum Wage

The Rhode Island Department of Labor and Training may bring criminal action against any employer who pays substandard wages to an employee and seek, upon conviction, a penalty up to $500.00 and/or imprisonment of up to 90 days. Each week an employer fails to pay the applicable minimum wage constitutes a separate violation.

For more information call (40) 462-8550 or (040) 462 - 8530
email: aborstandards@dlt.ri.gov
Labor Standards Unit
Rhode Island Department of Labor and Training

Minimum Wage Tipped Workers

Cash Wage: $3.39

Maximum Tip Credit: $6.21

Note:The cash wage or basic or direct wage rate is the minimum required employer contribution towards your hourly minimum wage. The "maximum tip credit" is the amount of tips you will need on top of your cash wage to make the minimum wage of $9.60 per hour. If you do not receive sufficient tips in your workweek to achieve the minimum wage for all hours worked that week, your employer must make up the difference.

Rhode Island Minimum Wage Coverage - Exemptions

  • Full-time students - $8.64 per hour
    under 19 years of age working in nonprofit religious, educational, librarial, or community service organizations
  • 14 and 15 year olds -  $7.20 per hour
    who do not work more than 24 hours a week. If they work more than 24 hours a week, the higher applicable minimum wage must be paid for all hours worked in that week.
  • Workers employed in domestic service in or about a private home, federal service, voluntary service in educational, charitable, religious or nonprofit organizations where employer/employee relationships don't exist, such as home delivery, shoe shining, caddies on a golf course, ushers in a theatre, travelling or outside sales occupations.
  • Services performed by an individual employed by a son, daughter or a minor child employed by a parent.
  • Occupations in resort establishments serving meals to the general public that are not open for more than 6 months during a year between May 1 and October 1.
  • Individuals employed - but not on annual full-time basis - by an organized camp with a structured program  (recreation, education, religion or a combination) that not operates for more than 7 months a year. (This exemption does not apply to employees of trailer camps)
  • Employees receiving gratuities - incentive based wage - certain employees of nonprofit companies: less than $3.39 per hour / Jan. 1 2017: less than $3.89 per hour.

Overtime Pay Rhode Island

Overtime Pay Rhode Island: $14.40 per hour
Overtime pay is the cash compensation for the hours eligible employees work in excess of 40 hours in a workweek (a workweek = 7x24= 168 hours) and for hours that employees work on Sundays and holidays. The overtime pay rate is one and one-half (1.5) times the regular working hour rate of pay.

Example: overtime for minimum wage workers in non-retail - 60 hours work week and 8 of these hours worked on a holiday. Extract the overtime hours from the total = 20, these hours are to be paid at 1.5 times the regular working hour rate. Extract the 8 hours worked holiday hours from the remaining 40 hours = 32. That leaves 8 hours to be paid at 1.5 times rate and 32 hours at the regular rate.
That is:
20 x $14.40 = $288.00
8 x  $14.40 = $ 115.20
32 x $9.60  = $ 307.20
Total wage     $ 710.40
Example: overtime for minimum wage workers in retail - 60 hours work week and 8 of these hours worked on a holiday. Extract the holiday hours from the total hours = 60 - 8 = 52 hours. 8 hours worked on the holiday are paid at 1.5 rate. The excess of 40 in the balance = 12 hours, these hours are paid at a 1.5 rate. The other 40 hours are paid against the regular pay rate.
That is:
8 x $14.40 = $115.20
12 x $14.40 = $172.80
40 x $9.60 = $384.00
Total wage     $672.00
Some workers are exempt from overtime law including police officers, firefighters and rescue service personnel employed by cities and towns, independent contractors, seasonal workers and some farm workers. Find the whole list of exempt workers in the next link: Exempt from Overtime Rhode Island's Overtime Law.
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