Many student workers, as well as students who work off-campus, will see an increase in pay due to the Minimum Wage Act of 2007. Although employees have already seen an increase in their wages, the federal minimum wage will gradually be raised to $7.25 an hour in the next few years. This act was signed into law on May 25, amending the Fair Labor Standards Act of 1983, which first set its minimum wage at 25 cents per hour.
This was signed as part of the U.S. Troop Readiness, Veterans’ Care, Katrina Recovery and Iraq Accountability Appropriations Act.
The first increase in minimum wage was on July 24, setting it to $5.85 per hour. On July 24, 2008, the minimum wage will rise almost a dollar to $6.55. A year later in 2009 the final wage increase will occur, bringing it to $7.25.
This wage increase affects everyone, except exempt employees. Exempt employees are employees who receive tips or young workers. Employees who receives tips are required to pay $2.13 an hour. However, if the employee’s tips, along with their pay, does not equal to the minimum wage, the employer must make up the difference.
Young workers (under the age of 20) are guaranteed $4.25 an hour during their first 90 consecutive calendar days of employment. After 90 days of employment or when the employee reaches 20 years of age, whichever comes first, the employee must receive the regular minimum wage.
Rachel Babin, Assistant Director of Financial Aid and Student Employment said, “All student employees will receive the minimum wage increase benefits. The few students that I personally talked to seemed to be glad for getting extra money.”
Some students like Jennifer Smith, a mass communication junior and a 2-year student employee in Career Services, believe that minimum wage is extremely low.
Smith said, “The money that I earn in Career Services, along with being Publicity Director for the Student Programming Association, is used for my necessities, as my housing is paid for by my parents. However, if I had to pay for everything, this money would not be enough.”
According to Smith, students who have major financial obligations, opt to work off-campus.
“I have friends who live off of their student employment money, and it is hard for them. I’m excited about the increase in minimum wage; it is nice to get some extra money,” Smith said. “I believe that if the cost of living remains the same, a student could make ends meet with their new higher salary.”
Likewise, some students decide to work both on-campus and off-campus. This is the route that Callie Harrison, art sophomore from Matthews, chose to take. She works at the Elkins Counseling Center Association For Retarded Citizens and Hallmark.
“I wish I could only be employed on-campus, but the pay was not enough. So, I had to take two off-campus jobs that pay more than minimum wage to make ends meet,” Harrison said. “I am hoping that after the minimum wage gets to $7.25, that I will be able to work much less at my other jobs.”
Although students like Harrison choose to work off-campus, Babin does not believe that finances are the only factor students take into account when choosing a job. Factors such as time, internships, study time and schedule conflicts are all reasons students quit or do not want student jobs.
Still, the number of students who want to receive jobs is increasing, especially since the increase in minimum wage, Babin said.
“Jobs in student emplyment are always open; if you are looking for a job opening, check your student E-mail regularly,” Babin said.