South Carolina Minimum Wage: Current Rate & Scheduled Increases

The Fair Labor Standards Act (FLSA), codified at 29 U.S.C. sections 201–219, establishes the federal minimum wage at $7.25 per hour, which has remained in effect since 2009. The FLSA covers employers with $500,000 or more in annual revenue or those engaged in interstate commerce, as well as certain covered industries and enterprises. The law prohibits employers from paying any employee below the minimum wage for hours worked, and it applies equally to full-time and part-time employees.

The FLSA contains several exemptions to minimum wage requirements, including bona fide executive, administrative, and professional (white-collar) employees; computer professionals; certain learners and apprentices; and workers with disabilities employed at special-skill centers. The U.S. Department of Labor Wage and Hour Division enforces the FLSA nationwide. Remedies for minimum wage violations include back pay equal to unpaid wages, liquidated damages (an additional amount equal to back pay), and civil penalties of up to $10,000 per violation. Employees may also bring private lawsuits to recover unpaid wages and liquidated damages, typically within a two-year period (or three years if the violation was willful).

South Carolina has no separate state minimum wage statute and does not set a minimum wage above the federal rate of $7.25 per hour. While South Carolina Code Title 41 governs general labor matters within the state, it contains no independent minimum wage requirement. This means South Carolina employers are subject exclusively to the federal FLSA minimum wage of $7.25 per hour; there is no state wage floor that exceeds or supplements the federal requirement.

Because South Carolina adopts the federal minimum wage entirely, state law provides no additional protections or higher wage floors beyond what the FLSA guarantees. Employers in South Carolina who are covered by the FLSA must comply with the $7.25 federal minimum wage; there is no separate state threshold or different calculation method. The absence of a state minimum wage means that South Carolina offers no amplified wage protections compared to the federal baseline. Workers in South Carolina cannot rely on state law to claim a higher minimum wage than the federal rate.

Enforcement of minimum wage compliance in South Carolina remains exclusively a federal function through the U.S. Department of Labor Wage and Hour Division. South Carolina does not maintain a separate state wage and hour agency or regulatory body to investigate or adjudicate minimum wage disputes. Employees in South Carolina seeking remedies for minimum wage violations must file complaints with the federal Wage and Hour Division or pursue private litigation under the FLSA. The lack of state-level minimum wage protection leaves South Carolina workers dependent on federal enforcement and private legal action for wage violations.

South Carolina employers are exempt from the FLSA minimum wage requirement in the following circumstances: (1) bona fide executive, administrative, or professional employees (white-collar exemptions) who are paid a salary of at least $684 per week and meet specific duties tests under 29 CFR Part 541; (2) computer professionals earning at least $27.63 per hour; (3) outside sales employees; (4) certain commissioned employees in retail establishments; and (5) agricultural workers in specific contexts, though agricultural employment has limited FLSA coverage.

Additional narrow exemptions include: (6) employees with disabilities whose work capacity is less than average, who may be paid below minimum wage with a Special Wage Certificate (certificate of eligibility issued by the Department of Labor); (7) full-time students employed by educational institutions (may be paid 85% of minimum wage); (8) student learners in occupational education programs (may be paid 75% of minimum wage under apprenticeship guidelines); (9) nonprofit organizations in certain limited contexts; and (10) family employment in family-owned businesses (exempt from FLSA if truly family members working on family farm or family business).

Employers with fewer than the required covered employees or revenue threshold are not subject to FLSA minimum wage requirements at all. South Carolina has no separate state exemptions beyond the federal FLSA exemptions. Part-time status, voluntary agreement between employer and employee, or local custom do not override FLSA minimum wage protections. Piece-rate, commission-based, and tip-based compensation arrangements still must result in earnings equal to at least the minimum wage for all hours worked; tips cannot be used to satisfy minimum wage obligations except in narrow circumstances involving the tip credit (which applies only to tipped employees earning at least $5.15 in direct wages plus tips equaling the difference to $7.25).

Step 1: Document all evidence of minimum wage violations immediately. Keep detailed records of: (a) every date and time worked; (b) hours worked each day and week; (c) amount paid for each pay period, including any deductions or withholdings; (d) pay stubs or receipts showing gross and net pay; (e) written communications (text, email, chat) from your employer regarding wages; (f) any written policies or handbooks describing pay practices; (g) photographs of time clocks or scheduling systems; and (h) witness contact information if coworkers can verify your hours or unpaid work. Store copies of all documents securely outside your workplace (email to personal account, cloud storage, or printed copies at home).

Step 2: Attempt an internal complaint if circumstances permit. Contact your direct supervisor or human resources department in writing (email preferred for documentation) stating that you have not been paid the minimum wage of $7.25 per hour for all hours worked. Request a response within 5 business days. Retain copies of this communication and any responses. Document the date, time, and person to whom you spoke. This step is not required to proceed with legal action, but it demonstrates good faith and may prompt corrective action. However, if you have safety concerns or believe retaliation is likely, you may skip this step and proceed directly to filing a complaint.

Step 3: File a formal complaint with the U.S. Department of Labor Wage and Hour Division (federal agency with jurisdiction in South Carolina). Visit www.dol.gov/agencies/whd to access the complaint form or call 1-866-4-USDOL (1-866-487-3652) to file by phone. You may also visit the local Wage and Hour Division office in South Carolina; the main office is located in Charleston at 843-722-4641. Provide: (a) your full name, address, and phone number; (b) your employer's name, address, and phone number; (c) dates of employment and the period during which you were underpaid; (d) specific dates and hours worked that were underpaid; (e) pay rate(s) received; (f) all documentation of hours and pay; and (g) names and contact information of coworkers who can corroborate your claim. There is no filing deadline—you may file at any time, though claims may be subject to a 2-year or 3-year statute of limitations depending on whether the violation was willful.

Step 4: Understand the federal investigation process. The Wage and Hour Division will open an investigation, which typically takes 30–90 days depending on case complexity and agency workload. An investigator will contact your employer to request payroll records, time sheets, and business records. Your employer will be given an opportunity to respond. The investigator may interview you and coworkers. You will be notified of the findings. If the agency determines a violation occurred, it will attempt to obtain a settlement that includes back pay and damages. If settlement fails, the Department of Labor may file a lawsuit on your behalf to recover unpaid wages, liquidated damages (equal to unpaid wages), and attorney's fees. You have the right to participate in this process and receive updates.

Step 5: Consult an employment attorney if the Wage and Hour Division investigation is slow, if your employer retaliates, or if damages are substantial (more than $5,000 in unpaid wages). Contact the South Carolina Bar's Lawyer Referral Service at 803-799-6653 or visit www.scbar.org to find an employment law attorney. An attorney can evaluate whether to file a private lawsuit under the FLSA (which may be more aggressive than the government investigation), help you understand collective action rights (joining with other employees in a single lawsuit), and ensure your claim is filed within the 2-year or 3-year statute of limitations. Many employment attorneys work on contingency, meaning you pay no upfront fee and the attorney receives a portion of any recovery.