May 16, 2017
The Missouri Senate approved a bill last week that provides that no political subdivision, city, or municipality may require an employer to pay a minimum wage higher than that required by applicable Missouri state law. If Governor Greitens does not veto the bill, this new Missouri law will become effective Aug. 28, 2017 and St. Louis City will no longer be able to require or enforce the $10.00 per hour minimum wage. If the Governor vetoes the bill, which is unlikely, the bill will not take effect, and the $10.00 minimum wage law will remain in effect in St. Louis City.
In practical terms, this means that those employers covered by the new St. Louis City minimum wage of $10 per hour must comply with it for now. Assuming the new law takes effect on August 28, 2017, covered employers may at that time reduce the hourly pay rate for employees in the city back to the Missouri minimum wage or the employee’s wage prior to the city required increase.
For employers who plan to decrease pay in August if the bill is signed, we suggest letting employees know that a pay decrease may be coming if the law changes.
We will keep you updated with any additional information on this topic. If you have any questions regarding the minimum wage or any other wage and hour matter, please contact Chris Sanders, Karen Milner, or Jamie Westbrook.