Utah Minimum Wage Laws




Minimum wage

Utah’s current minimum wage is $7.25.

Utah minimum wage laws give authority to the Utah Labor Commission to set the minimum wage; however, the Labor Commission may not set the minimum wage to be higher than the federal minimum wage set forth in the Fair Labor Standards Act. When reviewing the minimum wage, the commission:

  • may review it at any time;
  • shall review it at least every three years;
  • shall review it whenever the federal minimum wage changes.

UT Code 34-40-103; UT Admin. Rules 610-1-3.

Utah minimum wage laws exempt all employees entitled to minimum wage under the Fair Labor Standards Act; thus, because most employees in Utah are subject to the Fair Labor Standards Act, the provisions of Utah’s minimum wage law do not apply to most employee working in Utah. UT Statute 34-40-104(1)(a)





Tip minimum wage

Utah’s minimum wage for tipped employees is $2.13.

Utah minimum wage laws define a tipped employee as an employee who customarily and regularly receives tips or gratuities. UT Statute 34-40-102(2)(e) Tipped employees must receive at least $30 per month in tips before an employer may pay the tipped minimum wage. If an employer chooses to pay employees the tipped minimum wage, it must also ensure that the employees earn the standard minimum wage when tipped wages earned are combined with tips received. If employees are not paid the standard minimum wage when tipped wages earned are combined with tips received, the employer must pay employees the difference. Additionally, before an employer may pay tipped employees the tipped minimum wage, it must inform them it will be doing so.

Tips received by tipped employees are the property of those employees. Compulsory or mandatory services charges are not tips or gratuities and are part of the employer’s gross receipts which may be allocated or distributed as the employer chooses. If a customer pays tips by credit card, an employer may reduce the amount of tips given to the employee by the proportional amount of credit card fees attributed to the tip amount. UT Admin. Rules 610-1-4.



Tip pooling and sharing

Utah minimum wage laws allow employers to require tipped employees to participate in tip pooling or sharing arrangements. UT Statute 34-40-104(4)(c) Employers must inform tipped employees in writing of the terms of the tip pooling or tip sharing arrangement before the employees are required to participate in the arrangement. A bona fide tip pooling or tip sharing arrangement may only include employees who customarily and regularly receive tips either directly or via the tip pooling or sharing arrangement. A bona fide tip pooling or tip sharing arrangement may not include dishwashers, chefs, cooks, or janitors. UT Admin. Rules 610-1-4(d)(f)(g).



Subminimum wage

Employees with disabilities

Utah minimum wage laws allow employers to pay employees with disabilities a subminimum wage rate that is less than the standard minimum wage. The Utah Labor Commission is authorized to establish and regulate the wage rate to be paid to employees with disabilities. Utah Code 34-40-104(2).



Trainees

Utah minimum wage laws do not permit employers to pay trainees a subminimum wage rate less than the standard minimum wage.



Apprentices

Utah minimum wage laws allow employers to pay apprentices a subminimum wage that is less than the standard minimum wage, because Utah exempts registered apprentices from its minimum wage requirements. Utah Code 34-40-104.



Learners

Utah minimum wage laws authorizes the Utah Labor Commission to establish a wage rate for learners that is less than the standard minimum wage. Utah Code 34-40-104(2).



Student learners

Utah minimum wage laws do not allow employers to pay student learners a subminimum wage rate that is less than the standard minimum wage unless the student learner qualifies as a learner as discussed above.



Student workers

Utah minimum wage laws do not allow employers to pay student workers a subminimum wage rate that is less than the standard minimum wage unless the full-time student qualifies as a learner as discussed above.