Puerto rico minimum wage 2022: Puerto Rico raises its minimum wage to $8.50 starting January 2022

Puerto Rico raises its minimum wage to $8.50 starting January 2022

Puerto Rico has enacted the Minimum Wage Act, Act No. 47-2021, increasing the Island’s minimum wage from $7.25 to $8.50 effective January 1, 2022.

 

Additional increases will take effect on July 1, 2023, when the minimum wage will be raised to $9.50, and potentially on July 1, 2024, when it will reach $10.50, unless a mandatory decree alters that increase.

 

Act 47-2021, enacted on September 21, 2021, establishes as public policy the periodic revision of the minimum wage to bring it in line with the cost of living and to  ensure that people earn enough to meet their basic needs.

 

To this end, Act 47-2021 creates the Minimum Wage Evaluation Commission, which will prepare an annual report analyzing work conditions, benefits, cost of living and other factors that should be considered in establishing the minimum wage.  The report will also explain how the minimum wage for each calendar year has been calculated. The minimum wage will be set by the Commission each year in a mandatory decree. This process will launch in July 2024, when the Commission will determine if the increase will reach $10.50 or another amount.

 

The Commission, which is conferred quasi-legislative powers by the law, cannot establish an increase of more than 25 percent over the preceding year’s minimum wage; nor  can the Commission reduce a previously approved minimum wage.

 

The Commission will be composed of the Puerto Rican Secretary of Labor, two worker representatives recommended by labor unions, two employers representatives recommended by business or industry associations, an economist recommended by the University of Puerto Rico’s Economy Department and the Puerto Rico Economists Association, and another economist with expertise in labor relations recommended by the University’s Labor Relations Institute.

 

Puerto Rico’s minimum wage, including its regular increases, will prevail as long as it is higher than the US federal minimum wage, currently set to $7. 25.

 

Who is covered?

 

The minimum wage increase applies to non-exempt employees covered by the federal Fair Labor Standards Act (FLSA).

 

Puerto Rico’s minimum wage will not apply to the following:

 

  • agriculture workers
  • administrators, executives and professionals
  • employees covered by a collective bargaining agreement establishing a higher wage
  • governmental employees, including the government’s executive agencies, legislative and judiciary branches, municipalities, and instrumentalities, but excluding employees of public corporations and other public entities that operate as private corporations.

The Commission is authorized to issue special mandatory decrees setting minimum wages for agriculture workers; administrators, executives, or professionals; and tipped workers.

 

Employees whose compensation includes receiving tips will be entitled to be paid the federal minimum wage plus tips, and both amounts should add up to at least the local minimum wage.

 

Employees will be entitled to any increase in the minimum wage approved after their hiring date.

 

Noncompliance

 

Any employer who does not comply with Act 47-2021 or with mandatory decrees or regulations issued under this law will be subject to fines of $500 to $5,000. In cases of repeated violation, the fines will be of $5,000 to $10,000.

 

The employer may also incur civil responsibility to the employee, who may be entitled to recover statutory damages of $500 to $5,000 or actual damages, which amount will be duplicated in the judgment. Additionally, the employee will be entitled to receive the difference between the wage paid below the minimum and the minimum wage, as well as an equivalent amount as additional compensation, plus costs and attorney’s fees. An agreement between employee and employer to the contrary will not be valid. The statute of limitations for this claim for wages is five years, which will run from the date in which the employment relationship ends; Act 47-2021 does not specify a date for the statute of limitations to lapse when the employee is still employed.

 

Nevertheless, in either case, only wages for the last five years of employment may be claimed. The Secretary of Labor may file the claim on behalf of an employee or group of employees.

 

Moreover, the Secretary of Labor may request injunctive relief to impede any action in violation of Act 47-2021. The Secretary of Labor is also granted investigation powers to verify compliance with the minimum wage mandates.  Any obstruction of these investigations may lead to a $600 fine, which may be increased to $1,500 in event of recurrence.

 

Cases pending before the courts prior to the enactment of Act 47-2021 will not be affected by its provisions.

 

If you have any questions about the implications of Puerto Rico’s Minimum Wage Act, please contact the authors or your DLA Piper relationship attorney.

Puerto Rico Minimum Wage 2023

Contents :: Puerto Rico Minimum Wage

  • Overtime Wage Law
  • Minimum Wage Exemptions
  • PR Labor Law Poster
  • FAQ

2023202220212020201920182017201620152014201320122011201020092008

2023 Hourly Minimum Wage

$8. 50 / hour

Weekly Minimum Wage1

$340.00 / 40-hr week

Yearly Minimum Wage2

$17,680.00 / year

2022 Hourly Minimum Wage

$8.50 / hour

Weekly Minimum Wage1

$340.00 / 40-hr week

Yearly Minimum Wage2

$17,680.00 / year

2021 Hourly Minimum Wage

$6.55 / hour

Weekly Minimum Wage1

$262.00 / 40-hr week

Yearly Minimum Wage2

$13,624.00 / year

2020 Hourly Minimum Wage

$6.55 / hour

Weekly Minimum Wage1

$262.00 / 40-hr week

Yearly Minimum Wage2

$13,624. 00 / year

2019 Hourly Minimum Wage

$6.55 / hour

Weekly Minimum Wage1

$262.00 / 40-hr week

Yearly Minimum Wage2

$13,624.00 / year

2018 Hourly Minimum Wage

$6.55 / hour

Weekly Minimum Wage1

$262.00 / 40-hr week

Yearly Minimum Wage2

$13,624.00 / year

2017 Hourly Minimum Wage

$6.55 / hour

Weekly Minimum Wage1

$262.00 / 40-hr week

Yearly Minimum Wage2

$13,624.00 / year

2016 Hourly Minimum Wage

$6.55 / hour

Weekly Minimum Wage1

$262. 00 / 40-hr week

Yearly Minimum Wage2

$13,624.00 / year

2015 Hourly Minimum Wage

$6.55 / hour

Weekly Minimum Wage1

$262.00 / 40-hr week

Yearly Minimum Wage2

$13,624.00 / year

2014 Hourly Minimum Wage

$6.55 / hour

Weekly Minimum Wage1

$262.00 / 40-hr week

Yearly Minimum Wage2

$13,624.00 / year

2013 Hourly Minimum Wage

$6.55 / hour

Weekly Minimum Wage1

$262.00 / 40-hr week

Yearly Minimum Wage2

$13,624.00 / year

2012 Hourly Minimum Wage

$6. 55 / hour

Weekly Minimum Wage1

$262.00 / 40-hr week

Yearly Minimum Wage2

$13,624.00 / year

2011 Hourly Minimum Wage

$6.55 / hour

Weekly Minimum Wage1

$262.00 / 40-hr week

Yearly Minimum Wage2

$13,624.00 / year

2010 Hourly Minimum Wage

$6.55 / hour

Weekly Minimum Wage1

$262.00 / 40-hr week

Yearly Minimum Wage2

$13,624.00 / year

2009 Hourly Minimum Wage

$6.55 / hour

Weekly Minimum Wage1

$262.00 / 40-hr week

Yearly Minimum Wage2

$13,624. 00 / year

2008 Hourly Minimum Wage

$6.55 / hour

Weekly Minimum Wage1

$262.00 / 40-hr week

Yearly Minimum Wage2

$13,624.00 / year


Puerto Rico’s state minimum wage rate is $8.50 per hour.
This is greater than the Federal Minimum Wage of $7.25. You are entitled to be paid the higher state minimum wage.
The minimum wage applies to most employees in Puerto Rico, with limited exceptions including tipped employees, some student workers, and other exempt occupations.

The Puerto Rico minimum wage was last changed in 2008, when it was raised $1.95 from $6.55 to $8.50.

The minimum wage in Puerto Rico is currently $8.50 per hour.
Puerto Rico has enacted the Minimum Wage Act, Act No. 47-2021, increasing the Island’s minimum wage from $7.25 to $8.50 effective January 1, 2022.
Additional increases will take effect on July 1, 2023, when the minimum wage will be raised to $9. 50

The Secretary of Labor and Human Resources may allow certain employers to pay a special rate below the Puerto Rico Minimum Wage if they can prove that paying the minimum wage would substantially hurt employment in their business.

Puerto Rico employers may not pay you under $8.50 per hour unless you or your occupation are specifically exempt from the minimum wage under state or federal law.

If you have questions about the Puerto Rico minimum wage, please ask us and someone will respond to you as soon as possible. Looking for a new job? Use the free Puerto Rico job search utility to find local job openings hiring now.

All Puerto Rico employers must display an approved Puerto Rico minimum wage poster in a prominent place to inform employees about the minimum wage and their worker’s rights under Puerto Rico labor law.


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Puerto Rico Minimum Wage & Labor Law Posters

The Fair Labor Standards Act (FLSA) and Puerto Rico labor law requires all employers in Puerto Rico to visibly display an approved Puerto Rico minimum wage poster, and other Puerto Rico and federal labor law posters, to ensure that all employees are aware of federal and Puerto Rico labor law and overtime regulations. Failure to display a Puerto Rico labor law poster in the workplace can result in severe fines.


The Puerto Rico minimum wage poster, and additional required Puerto Rico labor law posters, are also available on the Puerto Rico labor law posters download page.

Puerto Rico Overtime Minimum Wage

PR Overtime Wage

$12.75 / hour

Daily Cutoff for Overtime

8 hours/day

Weekly Cutoff for Overtime

40 hours/week

All workers who put in over 40 weekly hours are entitled to a minimum wage of at least 1.5 times the regular applicable minimum wage (learn more about Puerto Rico overtime pay). Some states require workers who work over a certain number of daily hours to be eligible for this overtime rate as well (Puerto Rico law does specify a daily overtime limit).

The FLSA guarantees all PR employees adequate overtime compensation for all qualifying overtime hours worked. If your employer does not pay adequate overtime wages, you can file an unpaid overtime claim with the Puerto Rico Department of Labor.

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Puerto Rico Minimum Wage Exemptions

In addition to any Puerto Rico-specific minimum wage exemptions described above, the Federal Fair Labor Standards act defines special minimum wage rates applicable to certain types of workers. You may be paid under the Puerto Rico minimum wage if you fit into one of the following categories:

  • Puerto Rico Under 20 Minimum Wage$4.25 — Federal law allows any employer in Puerto Rico to pay a new employee who is under 20 years of age a training wage of $4.25 per hour for the first 90 days of employment.
  • Puerto Rico Student Minimum Wage$7.23 — Full-time high school or college students who work part-time may be paid 85% of the Puerto Rico minimum wage (as little as $7.23 per hour) for up to 20 hours of work per week at certain employers (such as work-study programs at universities).
  • Puerto Rico Tipped Minimum WageSee Here — Employees who earn a certain amount of tips every month may be paid a lower cash minimum wage, but must earn at least $8.50 including tips every hour. For more details, read about the Puerto Rico tipped minimum wage.

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Frequently Asked Questions — Puerto Rico Minimum Wage & Labor Law

What is the Puerto Rico minimum wage?

The current Puerto Rico minimum wage of $8.50 per hour is the lowest amount a non-exempt employee in Puerto Rico can legally be paid for hourly work. Special minimum wage rates, such as the «Puerto Rico waitress minimum wage» for tipped employees, may apply to certain workers.[1]

How much will I earn working a minimum wage jobin Puerto Rico?

A full time minimum wage worker in Puerto Rico working 40 hours a week, 52 weeks a year, will earn $68.00 per day, $340.00 per week, and $17,680.00 per year1. The national poverty line for a family unit consisting of two people is $16,020.00 per year.

What is the Puerto Rico under 18 minimum wage?

Puerto Rico employers may pay 18 year olds and minors the youth minimum wage of $4.25 for the first 90 days of employment. Other labor law exemptions for minors in Puerto Rico may exist.

I still can’t find the answer to my question about the Puerto Rico minimum wage!

If you have read the FAQ and still cannot find the information you need, please contact us with your question.


1 These earnings estimates do not account for the Puerto Rico income tax , federal income tax, or local/municipal income taxes.
2 Poverty line for a family of two in the lower 48 published 2016 by the U.S. Department of Health & Human Services


Labor Law Footnotes, Sources & Citations:

  1. The weekly earnings estimate of $340.00 is based on a standard 40-hour workweek
  2. The yearly earnings estimate of $17,680. 00 is based on 52 standard 40-hour work weeks. Since most hourly employees don’t work full time and/or take time off, actual yearly earnings will likely be lower.

Japan — Minimum wage | 2002-2022 Data

  • Summary

nine0002

  • 10Y
  • 25Y
  • 50Y
  • MAX
  • nine0010


  • source: tradingeconomics.com

    height

    Preview

    nine0052
    Thousand

    nine0052
    Thousand

    nine0052
    Thousand

    nine0052
    JPY / Month

    nine0052
    Percent

    nine0052 930.00

    nine0052 63. 00

    nine0052 63.00

    nine0052 1.35

    Japan Latest Previous Block Link

    Full employment

    22215. 00 22223.00 Nov 2022

    Underemployment

    7161.00 7155.00 Nov 2022

    Jobs

    898.45 872. 02 Nov 2022

    Wage

    323036.00 314281.00 Nov 2022

    Wage growth

    0.50 1.80 Nov 2022

    Wages in the manufacturing industry

    353669. 00 337233.00 JPY / Month Nov 2022

    Minimal salary

    961.00 JPY / hour Oct 2022

    Women’s retirement age

    64.00 Years Sep 2022

    Retirement age for men

    64.00 Years Dec 2022

    Ratio of vacancies to resume

    1.35 Nov 2022

    Japan — Minimum wage

    Current values, previous values, forecasts, charts and economic calendar — Japan — Minimum wage.

    nine0052 663.00

    nine0039
    Actual
    Previous Highest Lowest Dates Block Frequency
    961.00 930.00 961.00 2002 — 2022 JPY / hour Annual

    Hungary — Minimum wage | 1999-2022 Data

    nine0002

  • Summary

    • 3Y
    • nine0003 10Y

    • 25Y
    • MAX


    source: tradingeconomics.com

    height

    Preview

    nine0052 1.30

    nine0052 9.50

    nine0052 151. 26

    nine0052 541.73

    nine0052 4392.60

    nine0052 0.00

    nine0052 116.62

    nine0052 193. 80

    Hungary Latest Previous Block Link

    Long term unemployment

    1. 20 Percent Jun 2022

    Youth unemployment rate

    12.00 Percent Nov 2022

    Labor costs

    146.36 Dots Sep 2022

    Minimal salary

    503.73 EUR / month Sep 2022

    Full employment

    4406.00 Thousand Sep 2022

    Employment change

    0. 00 Percent Sep 2022

    Performance

    117.19 Dots Sep 2022

    Underemployment

    195.20 Thousand Sep 2022

    Hungary — Minimum wage

    Current values, historical data, forecasts, statistics, charts and economic calendar — Hungary — Minimum wage.

    nine0039
    Actual
    Previous Highest Lowest Dates Block Frequency
    503.

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