Delaware’s minimum wage laws establish the baseline compensation for workers and include planned increases over time. These regulations also contain specific provisions for different types of employees, such as those who earn tips, and outline rules for overtime pay. The laws provide a framework for handling situations where the correct wages have not been paid.
Delaware’s Standard Minimum Wage
As of January 1, 2025, the standard minimum wage in Delaware is $15.00 per hour.1Justia. 19 Delaware Code § 902 (2024) – Minimum Wage Rate This rate is mandated by state law and applies to the majority of employees. The increase to this level is the final step in a multi-year legislative plan established by Senate Bill 15 to incrementally boost wages.
Wage Rules for Specific Employee Categories
Not all workers in Delaware are subject to the standard minimum wage rate, as state law creates specific rules for certain categories of employment. These exceptions and special conditions are designed to address the unique pay structures of different occupations.
Tipped Employees
Employees who receive tips, such as restaurant servers, are governed by a distinct set of wage rules. The minimum cash wage for a tipped employee in Delaware is $2.23 per hour. However, an employer can only pay this lower rate if the employee’s combined cash wage and tips equal at least the standard minimum wage of $15.00 per hour. If an employee’s tips are insufficient to meet the standard minimum wage, the employer is legally required to make up the difference.
Other Exemptions and Special Rules
Delaware law exempts several other employee categories from the standard minimum wage. These include:
- Some agricultural workers
- Employees in domestic service in private homes
- Outside salespeople paid by commission
- Individuals employed in bona fide executive, administrative, or professional roles
Overtime Compensation in Delaware
Delaware’s overtime regulations require employers to pay non-exempt employees one and one-half times their regular rate of pay for any hours worked beyond 40 in a single workweek. For an employee earning the minimum wage of $15.00, the overtime rate would be $22.50 per hour.
The overtime rule also applies to tipped employees, but the calculation is based on their full minimum wage, not the lower cash wage. The regular rate of pay for a tipped worker for overtime purposes must be at least the standard state minimum wage.
Addressing Unpaid Minimum Wages
An employee who believes they have not been paid in accordance with Delaware’s minimum wage laws can file a wage claim with the Delaware Department of Labor’s Division of Industrial Affairs.2Delaware Department of Labor. Wage Payment This state agency is responsible for investigating and resolving wage disputes.
When filing a claim, it is beneficial to provide thorough documentation, including pay stubs and personal records of hours worked. Delaware law requires employers to maintain records of pay rates, hours worked, and amounts paid to each employee for at least three years. It is unlawful for an employer to retaliate against an employee for filing a wage complaint, and violations can result in significant fines.