Arkansas 2015 Minimum Wage Increase
Arkansas increased its 2015 minimum wage rate to $7.50 per hour effective January 1, 2015. The 20 percent increase finally pushes the Arkansas’ State minimum wage rate to a level higher than the Federal minimum wage.
[wc_divider style=”dotted” line=”single” margin_top=”” margin_bottom=””]The current Arkansas minimum wage was established in 2006 and applies to employers with four or more employees, with certain exceptions:
- Executive, administrative, or professional employees
- Outside commission-paid salesmen
- Independent contractors
- Employees of the United States
- Certain students and farm laborers
Arkansas Planned Minimum Wage Increases
Arkansas minimum wage workers will see additional increases in 2016 and 2017.
- 2014: $6.25
- 2015: $7.50
- 2016: $8.00
- 2017: $8.50
Arkansas Minimum Wage for Tipped Workers
Tipped workers will not see an increase in their base minimum wage of $2.63, because Arkansas is increasing the allowance for gratuities each year. For math lovers, the equation looks something like this:
(Minimum Wage Rate) – (Gratuity Allowance) = Base Minimum Wage
Arkansas Schedule of Gratuity Allowances
- 2014: $3.62 per hour
- 2015: $4.87 per hour
- 2016: $5.37 per hour
- 2017: $5.87 per hour
Arkansas Minimum Wage Poster
The Arkansas Minimum Wage poster is required for Arkansas employers with four or more employees and must be displayed in a conspicuous location. The minimum wage posting, along with other postings required for display in Arkansas workplaces, is available as part of the GovDocs Arkansas Poster Compliance Package. Order now and save 20% with coupon code 2015MIN.
The Arkansas Poster Compliance Package includes:
- How to Claim Unemployment Insurance
- Workers’ Compensation Notice
- Notice to Employer/Employee – General (MINIMUM WAGE)
- Right to Know
- No Smoking Poster
In Arkansas – If a tip worker receive’s 10.00 per hr. in tips – does that mean they must only be paid the $2.63 by he employer ?
If the worker only makes $4.87 per hr in tips, will the employer still only have to pay the
$2.63 per hr.
You are correct in both examples, arkieguide! The employer would pay the tipped worker $2.63 per hour in those situations at least through 2017.
I FEEL LIKE WE DIDNT GET A TRUTHFUL RAISE BECAUSE MINIMUM WAGE FOR ARKANSAS HAS BE 7.25 FOR A WHILE AN FOR THE GOVERNMENT TO SAY 6.25 TO MAKE IT LOOK LIKE THEY GAVE US 1.25 RAISE IS WRONG WHEN WE ONLY GOT A QUARTER
I don’t understand why they don’t raise the server minimum wage in Arkansas. In Florida anytime the minimum wage goes up, so does the minimum wage for tipped employees. The tipped minimum wage in Florida is $4.91/hr. What is wrong with Arkansas? And can you please answer Kendra’s question?
Hi Jacqueline. It sounds like you’re frustrated by the “base wage” that Arkansas tipped workers make. I can only speculate that the Arkansas State government may be concerned about increasing the “cost of doing business” for restaurants and hospitality establishments. In other words, when wages go up, the employers’ costs go up. Government may hold the perception that smaller restaurants already operate on a thin margin and that any increase to costs could drive them out of business, thus increasing unemployment. (I’m not saying this is true, I’m saying it’s a possible explanation). Let me ask you this: is it true that all restaurants in Arkansas pay servers only the minimum wage, or are there restaurants that offer a more competitive base rate to attract the best staff?
As to Kendra’s comment, she also seems frustrated by the level of minimum wage increase. To that I would point out that the states where there have been large increases to the minimum wage tend to have well organized workers’ movements that are able to persuade politicians to vote for increased wages. You or Kendra may find an organization that actively works for increased wages and agitate for change.