Minimum Wage Update.  On April 5, the U.S. Department of Labor published new Wage and Hour regulations which take effect 30 days after publication.  The regulations were originally published in a proposed rule in July, 2008.  The final rule clarifies a number of provisions and adds one which may be of particular interest to the construction industry.  A new regulation has been added (29 C.F.R. § 786.300) which allows any employer to pay an employee who is less than 20 years of age a wage of not less than $4.25/hour during the first 90 consecutive calendar days of employment.  This provision could be of special significance during the height of the summer construction season.  However, the regulation also makes it clear that no employer hiring workers at such wage may take any action to displace other employees, including partial displacements such as reducing hours, wages or employment benefits.  Construction industry employers desiring to use this sub-minimum wage (Youth Opportunity Wage) should be careful to not violate the FLSA by displacing other workers.      
                        
                                                                                                    By Bill Harding, Chapter Attorney