Sunday, March 04, 2007

Iowa Has A New Minimum Wage Law

Effective April 1, 2007, the state of Iowa will increase its minimum wage rate from the current $5.15 per hour to $6.20 per hour. The minimum training wage will increase to $5.30 per hour, effective April 1, 2007. This is the first step of the minimum wage increase.

Tipped workers will be paid 60% of the new minimum wage, which is $3.72 per hour beginning April 1, 2007.

The current minimum wage in Iowa is $5.15, same as federal rate, hasn't been increase for ten years. This increase will make Iowa be the 29th state with a minimum wage higher than the federal rate.

About 128,000 Iowa workers who earn less than $5.15 will see a direct wage raise.

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