Living Wage laws & compensation compliance analysis

Living Wage: What you need to know

What is a living wage ordinance? A living wage is a pay rate above the minimum wage that is considered to be sufficient to meet basic subsistence needs in a particular geographic area. Contractors that do business with a city or county that has a living wage ordinance must pay their employees at least a certain hourly rate and comply with other provisions of the ordinance, such as offering health benefits, providing leave, maintaining adequate records, and/or posting notice about living wage provisions.
For a Limited Time receive a FREE Compensation Market Analysis Report! Find out how much you should be paying to attract and retain the best applicants and employees, with customized information for your industry, location, and job. Get Your Report Now!
Living wage ordinances apply primarily to certain service contractors (and sometimes their subcontractors) doing business with a city or county government, contractors that receive financial assistance from the city or county, and/or city or county employees. Some ordinances require that both part-time and full-time workers be paid the living wage, and some refer only to particular types of jobs, such as healthcare workers, food service workers, janitors, security guards, landscapers, or clerical workers. Because some ordinances include provisions for automatic increases in the hourly wage rate on particular dates, or adjustments as a result of changes in the federal poverty level, employers should always determine the current requirements--even if they have done business with the same city in the past. Depending on the ordinance requirements, the city might be obligated to notify contractors of the change in writing before an increase takes effect.
Living wage ordinances are gaining in popularity. Although a majority of those ordinances have been implemented in cities and counties, a handful of universities, school boards, and other ...

Read more about Living Wage

Living Wage Resources

Type Title
See all Living Wage Resources