Ohio Minimum Wage: Current Rate & Scheduled Increases

The Fair Labor Standards Act (FLSA), codified at 29 U.S.C. § 206, establishes the federal minimum wage at $7.25 per hour. This rate has remained unchanged since July 24, 2009. The FLSA applies to employers engaged in interstate commerce with employees, and covers virtually all private employers and most public employers. Covered employers must pay all non-exempt employees at least the minimum wage for all hours worked.

The FLSA defines compensable work broadly to include all time the employee is required to be on the employer's premises, on duty, or at a prescribed workplace. Employers cannot require employees to work off the clock. The federal minimum wage applies nationwide unless a state minimum wage is higher, in which case employees are entitled to the greater amount.

Federal enforcement is handled by the Department of Labor's Wage and Hour Division. Employees may file complaints with the WHD, which can investigate and seek back wages, liquidated damages equal to the amount owed, and civil penalties. Employees also have a private right of action to sue for unpaid minimum wages under 29 U.S.C. § 216, with a two-year statute of limitations for willful violations extended to three years.

Ohio's minimum wage law, Ohio Revised Code § 4111.02, establishes a state minimum wage that is significantly higher than the federal minimum wage. As of January 1, 2024, Ohio's minimum wage is $10.45 per hour. Ohio has adopted an indexing mechanism that adjusts the minimum wage annually on January 1 based on the percentage increase in the Consumer Price Index for All Urban Consumers (CPI-U), rounded to the nearest cent. This ensures that the minimum wage keeps pace with inflation and is not subject to legislative approval each year.

However, Ohio law includes a critical exemption: employers with annual gross receipts of $319,000 or less may pay employees the federal minimum wage of $7.25 per hour instead of Ohio's state minimum wage. This exemption significantly limits the reach of Ohio's higher minimum wage and creates a two-tiered system. The gross receipts threshold is not adjusted annually and has remained at $319,000 since the law was amended.

Ohio's minimum wage applies to all employers meeting the coverage threshold, regardless of size. Unlike the federal FLSA, Ohio law does not contain a broad interstate commerce test but instead applies to all employment relationships subject to the state's wage and hour laws. The state minimum wage applies to all hours worked, including setup time, cleanup, and other preliminary or postliminary activities that are integral to the job.

Ohio's law provides stronger protections than federal law in several respects. The automatic annual adjustment mechanism ensures the minimum wage does not erode with inflation. Additionally, Ohio Revised Code § 4111.99 provides for civil penalties of up to $1,000 per violation, plus back wages and liquidated damages. Employees may bring private actions to recover unpaid wages, and employers cannot deduct the cost of work uniforms, tools, or other items from wages owed, which could theoretically push compensation below the minimum wage. The state's penalty structure incentivizes employer compliance more stringently than federal penalties alone.

Ohio law provides several important exceptions and limitations to minimum wage protections. The most significant is the gross receipts exemption: employers with annual gross receipts of $319,000 or less may pay the federal minimum wage of $7.25 per hour instead of Ohio's minimum wage. This exemption is self-assessed—employers determine their own gross receipts—and creates ambiguity about what constitutes 'annual gross receipts.' There is no clear guidance on whether this includes all business revenue or only revenue from employment subject to Ohio wage law.

Ohio law exempts certain categories of workers from minimum wage protections. These include executive, professional, and administrative employees who are properly classified as salaried exempt workers under the FLSA's salary and duties tests. However, the burden of proving exempt status rests entirely with the employer, and misclassification is common. Casual domestic workers employed in private homes, certain agricultural workers, and employees of religious organizations may also fall outside the minimum wage requirements.

Minors aged 14 and 15 present a more nuanced situation. While Ohio does not set a separate youth minimum wage, federal law allows employers to pay workers under 20 years old a subminimum 'training wage' of $4.25 per hour for their first 90 days of employment. Ohio employers may invoke this federal exception, though it is not favored by Ohio policy.

Self-employed individuals and independent contractors are not covered by minimum wage laws. Proper classification is critical—many workers misclassified as contractors should be classified as employees and are entitled to minimum wage protections. Additionally, certain apprenticeship programs and on-the-job training programs may have alternative wage requirements under both state and federal law. Employers must document the basis for any claimed exemption and maintain records justifying employee classification.

Step 1: Document the violation carefully. Keep detailed records of all hours worked, including dates, times, and tasks performed. Screenshot or photograph wage statements showing the amount paid. Request a copy of your pay stub, timecard, or payroll record from your employer. Save all communication with your employer regarding wages, including emails, text messages, and handwritten notes about pay conversations. If your employer has an employee handbook, save a copy. Create a spreadsheet calculating the difference between what you were paid and what you should have been paid at the minimum wage rate.

Step 2: Attempt internal resolution if safe and feasible. Speak with your manager, human resources department, or payroll in writing (email is best). Clearly state that you were paid below the minimum wage and request the difference be paid immediately. Request a written acknowledgment of the violation and commitment to correct it going forward. Keep all responses from your employer. However, do not jeopardize your safety or employment security—if you fear retaliation, skip internal resolution and proceed directly to filing.

Step 3: File a complaint with the Ohio Department of Commerce, Division of Labor and Worker Safety. Visit the division's website at www.com.ohio.gov/dico/divisions/labor or call the wage and hour hotline at (614) 644-2223. You can file online, by mail at 50 W. Broad Street, Columbus, OH 43215, or by phone. Provide your name, address, phone number, and email. Name your employer and describe the violation, including the wage paid, dates of employment, and hours worked. Include the amount of unpaid wages owed. Provide documentation supporting your claim. The state does not charge a filing fee and will investigate at no cost to you.

Step 4: Understand the investigation process. The Division of Labor and Worker Safety will assign an investigator who will contact your employer for payroll records, timecards, and an explanation. The investigator will interview you and your employer separately. The investigation typically takes 30 to 90 days, though complex cases may take longer. You will be notified of the outcome in writing. If the investigator finds a violation, the state will attempt to recover back wages and penalties. Employers typically have 30 days to pay or appeal the determination.

Step 5: Consult an employment attorney if the state's investigation does not resolve the matter or if your employer retaliates against you. An attorney can file a private lawsuit in Ohio state court or federal court under Ohio Revised Code § 4111.02 for unpaid wages, liquidated damages (equal to the unpaid wages), and attorney fees. Many employment attorneys work on contingency in wage cases, so you pay no upfront fees. The statute of limitations is four years from the date the wage was due. An attorney can also advise on whether you have a retaliation claim if your employer terminates or disciplines you after you file a wage complaint.