Minimum Wage in Vermont

State-specific overview · Employment Law

Quick summary

Vermont's minimum wage is $7.25 per hour, but the state has historically indexed increases to inflation.

How Vermont treats Minimum Wage

Vermont generally follows the federal minimum wage of $7.25 per hour. However, Vermont has a history of adjusting its minimum wage for inflation when the federal rate does not increase, though recent adjustments depend on legislative action. The state also provides specific rules for tipped employees and youth minimum wages that may differ from the standard rate.

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The general definition of Minimum Wage

The lowest hourly wage an employer is legally required to pay employees.

Minimum wage is the lowest hourly rate that employers must pay workers by law. The federal minimum wage in the United States is currently $7.25 per hour, but many states and cities have set their own higher minimums. Employers cannot pay workers less than the applicable minimum wage, even if the worker agrees to it. The minimum wage applies to most employees, though some categories (like certain trainees or workers with disabilities) may have exceptions. Violations can result in lawsuits, penalties, and back-pay owed to employees.

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This page is a plain-English reference and is not legal advice. State laws change frequently. For specific situations consult a licensed attorney in Vermont.