The United States does not have a single state with a minimum wage lower than all others. Instead, several states effectively adhere to the federal minimum wage of $7.25 per hour, which currently represents the lowest applicable minimum wage nationwide.
Understanding the Lowest Minimum Wage
The federal minimum wage of $7.25 per hour acts as a baseline, or floor, for wages across the United States. While many states have adopted their own state minimum wages that are higher than the federal rate, some states either have no state minimum wage or have a state minimum wage set below the federal standard. In these cases, the federal minimum wage automatically applies, ensuring that workers are paid at least $7.25 per hour.
States with the Lowest Effective Minimum Wage
Based on current regulations, there are seven states where the federal minimum wage of $7.25 per hour is the effective minimum wage. These states fall into two categories:
- States with No State Minimum Wage: These states have not enacted their own legislation to set a minimum wage. Therefore, employers in these states must follow the federal standard.
- States with a State Minimum Wage Below Federal Rate: These states have a state minimum wage law, but the rate they've set is lower than the federal minimum wage. In such instances, the higher federal rate takes precedence.
The states that fall into these categories, and consequently have an effective minimum wage of $7.25 per hour, are:
| Category | States | Effective Minimum Wage |
|---|---|---|
| No State Minimum Wage Adopted | Alabama, Louisiana, Mississippi, South Carolina, Tennessee | $7.25 per hour |
| State Minimum Wage Below Federal Rate ($7.25) | Georgia, Wyoming | $7.25 per hour |
In all seven of these states, despite variations in state-level legislation, the federal minimum wage of $7.25 per hour is the minimum an employer must pay, making it the lowest effective minimum wage in the country.
