The authors are a professor at the Dyson School of Applied Economics and Management, a dairy management specialist, and an agricultural workforce specialist, all with Cornell University.
The Fair Labor Standards Act (FSLA) of 1938 is a federal law that created the right to a minimum wage as well as overtime pay when people work more than 40 hours a week. The federal minimum wage was 25 cents per hour when it was introduced in 1938, and it has been adjusted upward over time. Since July 2009, the federal minimum wage has been $7.25 per hour.
While there are some exceptions for agricultural workers, most workers are subject to the federal minimum wage. States can enact their own laws regarding minimum wage and require employers to pay more than the federal minimum wage. However, for states that do not establish their own minimum wage laws, or if agricultural workers are not included in the state’s minimum wage laws, federal law applies. Some states have raised minimum wage above this level, reaching as high as $15 per hour. The impacts of this increase vary depending on the local or regional labor market, the industry, and job expectations.
With respect to overtime, as defined in the FLSA, agricultural workers were exempted. As a result, in states where there are no overtime laws or where state overtime laws do not cover agricultural workers, these workers do not have legal rights to overtime pay. However, in recent years, some states have implemented their own laws that...
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