The Supreme Court has acknowledged the necessity of legal protection for domestic staff but has refrained from mandating a minimum wage for them. The court noted that trade unions sometimes hurt the interests of workers by filing petitions simply to gain popularity.
Minimum Wage Laws in South Carolina
In South Carolina, the federal minimum wage of $7.25 per hour is the standard, as the state does not have its own minimum wage law. This rate, mandated by the Fair Labor Standards Act (FLSA), has not changed since 2009. Unlike some states that set higher minimum wages or adjust them annually, South Carolina defaults to the federal standard.
Legislative Efforts to Change Minimum Wage
Recent legislative proposals in South Carolina have aimed to establish a state minimum wage. For example, the South Carolina Minimum Wage Act proposed a state rate $2 above the federal wage, with annual inflation adjustments. Another proposal, Bill 3226, suggested a gradual increase to $10.10 per hour by 2028, followed by inflation-indexed adjustments. As of now, no state-specific wage laws have been passed, so employers and employees must adhere to the federal minimum.
South Carolina House Bill 3226 sought to amend the state's code of laws to establish a base minimum wage and a schedule to gradually implement an adjusted minimum wage of $10.10 per hour over three years. The bill also included a method for calculating future mandatory adjustments and provisions for notifying employers and employees of these adjustments through the Department of Labor, Licensing, and Regulation. It would have been unlawful for employers to fail to pay the state minimum wage or retaliate against employees for actions regarding the enforcement of the state minimum wage law. The bill outlined remedies for violations and established a five-year statute of limitations, also allowing actions to be brought as a class action under state law.
Another bill, H3809, proposed a minimum wage of $17 per hour starting January 1, 2027. This bill also stipulated that the Department of Labor, Licensing, and Regulation must provide written or electronic notice of this minimum wage to all employers before November 1, 2026. It included clauses to prevent discrimination or adverse action against anyone filing a complaint or informing others about the provisions of the section. Aggrieved individuals could bring civil action against employers violating the provision, potentially recovering unpaid back wages, economic damages, and attorney's fees.
Compliance with Wage Laws
South Carolina employers operating under the FLSA must adhere to the federal minimum wage of $7.25 per hour. This applies to businesses with annual gross sales of $500,000 or more, or those engaged in interstate commerce. Industries like hospitality, retail, healthcare, and manufacturing often meet these criteria and are required to follow federal wage laws.
