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Topics Wage/Hour

Florida's Minimum Wage Rate Increases January 1, 2021

Date   Oct 19, 2020

Effective January 1, 2021, Florida's minimum wage rate will increase from $8.56 per hour to $8.65 per hour. The increase is calculated by the Florida Department of Economic Opportunity and is based on the percentage increase in the Consumer Price Index for the South Region.

Florida’s minimum wage law applies to all employees in the state of Florida who are covered by the federal minimum wage law.  For "tipped employees" who meet eligibility requirements for the tip credit under the federal Fair Labor Standards Act (FLSA), employers may take a “tip credit” of up to $3.02 per hour, for tips actually received by the employee, but must still pay employees a direct wage. The direct hourly wage for tipped employees in Florida for 2021 is $5.63 (the 2021 Florida minimum wage rate ($8.65) minus the federal tip credit ($3.02)).

Both Florida’s minimum wage rate and the direct hourly wage rate for tipped employees are higher than the federal rates, so Florida employees must be paid the higher Florida rates.

Employers who must pay their employees the Florida minimum wage must post a notice of the state minimum wage requirement (in addition to posting a notice as required by the FLSA). The notice is available at http://www.floridajobs.org/business-growth-and-partnerships/for-employers/display-posters-and-required-notices.

Florida employers should keep an eye on proposed Amendment 2, which is on the November 3, 2020 ballot.  If enacted, Amendment 2 would increase the Florida minimum wage to $10.00 on September 30, 2021, and then by $1.00 each subsequent September 30, until it reaches $15.00 on September 30, 2026, with annual adjustments thereafter based on changes to the Consumer Price Index for Urban Wage Earners and Clerical Workers. 

If you have any questions regarding the increased minimum wage rate or other labor or employment related issues, please feel free to contact Shane Muñoz, smunoz@fordharrison.com, who is a partner in our Tampa office. You may also contact the FordHarrison attorney with whom you usually work.