OWB 97-20
Minimum Wage Increase
To remind SCSEP sponsors of the Federal minimum wage increase.
Background: The SCSEP Regulations at 20 CFR 641.311, Enrollee Wages and Fringe Benefits, require that enrollees be paid the higher of the Federal, State or local minimum wage, or the prevailing rates of pay for persons employed in similar public occupations by the same employer. On September 1, 1997, the Federal minimum wage was increased to $5.15 an hour. The new Federal minimum hourly rate applies to all States and territories except American Samoa, Palau, and the Northern Mariana Islands. Action: All SCSEP enrollees should be paid in accordance with the Fair Labor Standards Act. Except as noted above, the Act requires that the new Federal minimum wage of $5.15 be paid effective September 1, 1997. Where other provisions may require a higher minimum wage, the higher standard applies. Effective Date: September 1, 1997.
All Senior Community Service Employment Program (SCSEP) Sponsors
Erich W. ("Ric") Larisch Chief Division of Older Worker Programs
Washington, DC: U.S. Department of Labor, Employment and Training Administration