North Dakota minimum wage 2024
North Dakota’s current minimum wage is $7.25. ND Statute 34-06-22(1)(c); ND Admin. Code 46-02-07-03; ND Dept. of Labor and Human Rights – Minimum Wage Poster
North Dakota employers must also comply with federal minimum wage laws, which currently sets the federal minimum wage at $7.25. See FLSA: Minimum Wage.
If an employer chooses to pay employees minimum wage, the employer must pay those employees in accordance with the minimum wage law, either federal or state, that results in the employees being paid the higher wage.
Tip minimum wage
North Dakota’s minimum wage for tipped employees is $4.86. It is calculated as 33% of the standard minimum wage rate. ND Admin. Code 46-02-07-03; ND Dept. of Labor and Human Rights – Minimum Wage Poster
Employers may pay tipped employees the tipped minimum wage. A tipped employee is a service employee who works in an occupation where the service employee customarily and regularly receives more than $30 per month in tips. NC Admin. Code 46-02-07-01(19)
A service employee is an employee who provides direct service to customers and who may receive tips from customers in appreciation for services performed. The employee must regularly and customarily provide face-to-face service to customers, which the customers would recognize as being performed on their behalf. NC Admin. Code 46-02-07-01(14)
If employers choose to pay tipped employees the tipped minimum wage, they must inform the employees in advance they will be paid the tipped wage. Employers must also ensure employees are paid the standard minimum wage when tipped wages earned are combined with tips received. The difference between the standard minimum wage and the tipped minimum wage that is credited to tips is referred to as the tip credit. NC Admin. Code 46-02-07-01(17); ND Admin. Code 46-02-07-03(1)
Tip pooling and sharing
North Dakota law prohibits employers, except for certain gaming organizations, from requiring employees to participate in a tip pooling or tip sharing arrangement; however, tipped employees may agree to participate in a tip pool. For a tip pool to be permissible, 50% plus one of all tipped employees must vote in favor of the tip pool.
The employer is required to maintain written records of each vote on tip pooling, including the names of those employees voting and the total of the votes. To hold a tip pool vote, a minimum of 51% of the tipped employees must request it. Tipped employees must show documentation to verify such requests. Employers are not required to compensate employees for time spent by tipped employees in meetings to discuss tip issues. ND Admin. Code 46-02-07-03(2)
Nonprofit gaming sites that regularly have four (4) or fewer tipped employees on duty may require tip pooling among all the tipped employees. Additionally, gaming organizations may require tip pooling among blackjack dealers, including dealers, pit bosses, or supervisors when actually dealing blackjack. Pit bosses or supervisors are not considered tipped employees and may not participate in the tip pools other than those involving blackjack dealers. ND Admin. Code 46-02-07-03(3)
Subminimum wage
Employees with disabilities
North Dakota minimum wage laws allow employers to pay employees with disabilities a subminimum wage rate that is less than the standard minimum wage if the employee has obtained a special certificate from the North Dakota Department of Labor and Human Rights permitting it. North Dakota’s Department of Department of Labor and Human Rights may also issue special licenses to community rehabilitation programs engaging in the occupation and responsibility of representing and placing for the purpose of training, learning, or employment of those employees whose productive capacity for performed work is impaired by physical or mental disability. ND Code 34-06-15; ND Admin. Code 46-02-07-02(3); ND Dept. Labor – Sub-minimum Wage Licensing
Trainees
North Dakota minimum wage laws do not allow employers to pay trainees a subminimum wage rate that is less than the standard minimum wage. See ND Dept. Labor – Sub-minimum Wage Licensing; ND Dept. of Labor and Human Rights – Minimum Wage Poster.
Apprentices
North Dakota minimum wage laws do not allow employers to pay apprentices a subminimum wage rate that is less than the standard minimum wage.
Learners
North Dakota minimum wage laws allow employers to pay learners enrolled in a career and technical education or related program a subminimum wage rate less than the standard minimum wage if the employee has obtained a special certificate from the North Dakota Department of Labor and Human Rights permitting it. ND Code 34-06-15; ND Dept. Labor – Sub-minimum Wage Licensing
Student learners
North Dakota minimum wage laws allow employers to pay student learners enrolled in a career and technical education or related program a subminimum wage rate less than the standard minimum wage if the employee has obtained a special certificate from the North Dakota Department of Labor and Human Rights permitting it. ND Code 34-06-15; ND Dept. Labor – Sub-minimum Wage Licensing
Student workers
North Dakota minimum wage laws do not allow employers to pay student workers a subminimum wage rate less than 90% of the standard minimum wage unless they qualify as student learners as discussed above.
