Emergency Minimum Wage for City of Portland, Maine (Updated)

Portland Maine Emergency Minimum Wage

UPDATE Jan. 18, 2024: The state of emergency in Maine ended on Jan. 18, 2024, at 12:15 p.m. Eastern Standard Time. To maintain compliance with the Portland, Maine minimum wage ordinance, employers should ensure that their minimum wage workers were paid the correct emergency minimum wage rate of $22.50 for regular employees or $11.25 for tipped employees starting Jan. 11, 2024, and continuing through the end of the state of emergency on Jan. 18, 2024.

Maine’s Governor declared a state of emergency on Jan. 11, 2024 for eight counties along the coast that were impacted by flooding caused by a storm last week. Included in the counties affected is Cumberland County, which includes the City of Portland. This state of emergency will activate the hazard pay measure in Portland’s minimum wage ordinance.

The new emergency minimum wage in the city of Portland will be $22.50 per hour and tipped employee minimum wage will be $11.25 per hour effective Jan. 11, 2024, and will continue until the state of emergency ends. The duration of this emergency measure is expected to last for a week or so, though the exact timeline remains uncertain. During a declared emergency, employees working within the geographical limits of the City of Portland must receive 1.5 times the regular minimum wage. Please note, however, that this requirement does not apply to work performed under a teleworking arrangement.

Who is Eligible for the Portland, Maine Hazard Pay?

An “employer” under Portland’s minimum wage ordinance is defined as “any individual, group of individuals, partnership, association, corporation, business trust, or any other entity or group of persons or entities who employs or exercised control over the wages, hours, or working conditions of any employee and who has a place of business within the City limits.” And an “employee” is defined as “any person who performs work for an employer for monetary compensation within the municipal limits of the city.” Essentially, most minimum wage employees working within the city limits of Portland are eligible for hazard pay.

Penalties for Non-Compliance

Failure to comply with the emergency minimum wage may include back wages and a $100 penalty for each day a violation has occurred. Non-compliance with the ordinance may also be considered a civil violation.

Conclusion

Employers with a place of business in Portland, Maine should ensure they are paying their minimum wage workers the emergency minimum wage of $22.50 or $11.25 for tipped employees during this state of emergency. The increased rate applies beginning on Jan. 11, 2024, and will continue until the end of the state of emergency.

This Employment Law News blog is intended for market awareness only, it is not to be used for legal advice or counsel.