Minimum wage law is the body of law which prohibits employers from hiring employees or workers for less than a given hourly, daily or monthly minimum wage. More than 90% of all countries have some kind of minimum wage legislation.
Until recently, minimum wage laws were usually very tightly focused. In the U.S. and Great Britain, for example, they applied only to women and children. Only after the Great Depression did many industrialized economies extend them to the general work force. Even then, the laws were often specific to certain industries. In France, for example, they were extensions of existing trade union legislation. In the U.S., industry specific wage restrictions were held to be unconstitutional. The country's Fair Labor Standards Act of 1938 established a uniform national minimum wage for nonfarm, nonsupervisory workers. Coverage was later extended to most of the labor force.
The first moves to legislate wages did not set minimum wages, rather the laws created arbitration boards and councils to resolve labour conflicts before the recourse to strikes.
- In 1896, New Zealand established such arbitration boards with the Industrial Conciliation and Arbitration Act
- In 1899, the colony of Victoria, Australia established similar boards
- In 1907, the Harvester decision was handed down in Australia. It established a 'living wage' for a man, his wife and two children to "live in frugal comfort"
- In 1909, the Trade Boards Act was enacted in the United Kingdom, establishing four such boards
- In 1912, the state of Massachusetts, United States, set minimum wages for women and children
- In the United States, statutory minimum wages were first introduced nationally in 1938
- In the 1960s, minimum wage laws were introduced into Latin America as part of the Alliance for Progress; however these minimum wages were, and are, low
Famous quotes containing the words minimum, wage and/or law:
“After decades of unappreciated drudgery, American women just don’t do housework any more—that is, beyond the minimum that is required in order to clear a path from the bedroom to the front door so they can get off to work in the mourning.”
—Barbara Ehrenreich (20th century)
“I think it is a wise course for laborers to unite to defend their interests.... I think the employer who declines to deal with organized labor and to recognize it as a proper element in the settlement of wage controversies is behind the times.... Of course, when organized labor permits itself to sympathize with violent methods or undue duress, it is not entitled to our sympathy.”
—William Howard Taft (1857–1930)
“Revenge is a kind of wild justice, which the more a man’s nature runs to, the more ought law to weed it out.”
—Francis Bacon (1561–1626)